6,000 Housing Cases in Limbo: Maharashtra's Redevelopment Crisis
As property prices soar and Mumbai's skyline transforms with new buildings, a quieter crisis unfolds: over 6,000 redevelopment cases are stuck in the Bombay High Court, leaving thousands of original homeowners in legal limbo.
RedevelopmentLegal LimboReraHousing CrisisBombay High CourtReal Estate NewsSep 05, 2025
With property prices skyrocketing and Mumbai’s skyline constantly changing as one building after another gives way to redevelopment, a quieter crisis is unfolding behind the scenes—one that has left thousands of original homeowners stuck in legal limbo. Over 6,000 redevelopment-related cases are currently pending before the Bombay High Court, many involving families who were promised new homes after their old buildings were torn down but are still waiting, sometimes for years.
The reason? A glaring gap in the law. Once a building is demolished, the original occupants—many of them senior citizens or middle-class families—are no longer protected under the Real Estate (Regulation and Development) Act (RERA), which governs homebuyers and developers. Since the rehabilitation portion of redevelopment projects doesn’t fall under RERA, these residents are left to fend for themselves.
And the legal options they do have—civil suits or arbitration—are often too expensive and too slow to offer any real relief. Housing activists and legal experts say the law simply hasn’t kept up with what’s happening on the ground.
“RERA was a landmark when it came in,” says CA Ramesh Prabhu, Chairman of the Maharashtra Societies Welfare Association (MahaSEWA). “But it was designed with new flat buyers in mind. It didn’t consider people being shifted out of their homes during redevelopment. That has to change—urgently,” said Prabhu.
Maharashtra has a strong track record in housing reform. It introduced the Maharashtra Ownership Flats Act (MOFA), which became a model for other states, and even passed its own housing regulation law in 2012, before the central RERA came into effect. Now, experts say, it’s time for the state to take the lead again—this time by setting up a dedicated think tank to create a new framework for redevelopment and rehabilitation.
“There’s no shortage of redevelopment projects happening across Mumbai, Pune, Nagpur, and Nashik,” says Prabhu. He continued, “But if the government doesn’t act now, more and more people will end up in court or worse, in limbo without a roof over their head.”
The legal gap starts with something as basic as the definition of the word ‘allottee’ in the RERA Act. Right now, only people who’ve bought homes—meaning they have paid money (consideration for the new flat)—are officially recognized as allottees. But in redevelopment or in the Slum Rehabilitation Authority (SRA) projects, many residents are given homes in exchange for vacating their old ones. No money changes hands—but the stakes are just as high.
“Just because someone didn’t pay for their flat doesn’t mean they shouldn’t be protected,” argues Advocate Godfrey Pimenta, who regularly handles cases at MahaRERA. “We need to amend the law to include allottees in redevelopment and SRA schemes. Otherwise, we’re leaving thousands of people vulnerable with zero accountability from developers,” Pimenta said.
Pimenta points out that many of these projects have been stalled for years, while societies and slum dwellers wait indefinitely to be re-housed. If these projects are brought under RERA, it’ll create pressure on developers to stick to deadlines—and give residents a legal fallback if they don’t.
For now, residents caught in redevelopment delays often have just one option: go to court. But with thousands of such cases already clogging the system, and the average litigation stretching over years, it’s hardly a practical solution. How can the average middle-class person afford a 5–7 year legal fight? asks Prabhu. And why should they have to, just to get back what was already theirs?
Advocate Shreeprasad Parab, Expert Director, Maharashtra State Housing Federation said, “Maharashtra has over 1.25 lakh Co-operative Housing Societies and 2 lakh apartment complexes, with nearly 30% undergoing or awaiting redevelopment—a transformative shift marked by legal delays, stalled projects, and over 6,000 pending cases in the Bombay High Court, and the number is much more in the civil courts. While RERA offers relief to individual flat purchasers, housing societies in their collective form remain largely unprotected, facing a vacuum in timely redressal. There’s an urgent need for a dedicated Redevelopment Adjudication Authority with summary procedures, strict timelines, and enforcement powers. Equally vital is a statutory Model Redevelopment Agreement to curb exploitation through one-sided contracts. The proposed Single Window System under Maharashtra’s Housing Policy 2025 promises faster approvals and a boost to self-redevelopment. Housing is a constitutional right under Article 21, and unresolved redevelopment disputes violate this right. A specialised legal framework is essential not just for efficiency but to uphold justice, dignity, and the very spirit of cooperative housing in Maharashtra.”
For every flashy new tower that goes up in Mumbai, there’s an old family waiting to return home. Until the law steps in to protect those original flat owners, redevelopment will continue to be a gamble—with too many losing out. “Progress is great,” says Prabhu, “but not if it comes at the cost of people’s homes, dignity, and peace of mind.
Frequently Asked Questions
What is the main issue causing the housing crisis in Maharashtra?
The main issue is a legal gap where original residents of buildings undergoing redevelopment lose protection under the Real Estate (Regulation and Development) Act (RERA) once their buildings are demolished, leaving them in legal limbo.
How many redevelopment-related cases are pending in the Bombay High Court?
Over 6,000 redevelopment-related cases are currently pending before the Bombay High Court.
What is the Real Estate (Regulation and Development) Act (RERA)?
RERA is a law that governs developers and homebuyers, providing protection and regulation in the real estate sector. However, it does not cover the rehabilitation portion of redevelopment projects, which is causing issues for original residents.
What are the legal options available to residents affected by redevelopment delays?
Residents affected by redevelopment delays can pursue civil suits or arbitration, but these options are often too expensive and slow to provide real relief.
What changes are experts suggesting to address the redevelopment crisis?
Experts suggest amending the RERA Act to include allottees in redevelopment and SRA schemes, setting up a dedicated Redevelopment Adjudication Authority, and creating a statutory Model Redevelopment Agreement to ensure fair and timely redevelopment processes.
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