Pune Housing Societies Urged to Adopt Mumbai’s Self-Redevelopment Model

Pune: Pravin Darekar, chairman of the new Self-Group Redevelopment Authority (SGRA), emphasized the benefits of self-redevelopment for property owners during a seminar organized by the Pune District Cooperative Housing Societies and Apartments Federation. Darekar urged housing societies in Pune to adopt the self-redevelopment model, which has gained significant traction in Mumbai.

Darekar highlighted that a dedicated authority has been established to promote self-redevelopment. The state cooperative bank and other district banks are actively providing loans for such projects, making it a financially viable option for property owners. He noted that many private builders are taking loans at very high rates from private banks, whereas self-redevelopment can be funded by borrowing at nearly half the interest rates from government-run banks.

"Self-redevelopment can be funded by borrowing with nearly half the interest rates by applying to govt-run banks," Darekar said. Around 1,600 proposals for self-redevelopment have reached the state government, of which 46 have been approved, and 16 housing societies have been redeveloped in Mumbai. This model is not limited to big cities; Darekar stressed that self-redevelopment is also crucial for tehsil-level properties, where many housing societies are nearly 25 years old and can benefit from this approach.

Darekar explained that the authority will help expedite the redevelopment of old buildings, with the state housing authority, Mhada, acting as the coordinating body for such projects. In the self-redevelopment model, the management of the housing societies does not appoint a builder but redevelops their buildings themselves. They opt for a project management consultant, architect, and contractor. All the benefits accruing from a self-redevelopment project are shared by individual members and the society, rather than being given to a developer.

This model not only ensures better financial returns for the property owners but also maintains control over the redevelopment process, ensuring that the needs and preferences of the society members are met. Darekar’s call to action is aimed at transforming aging housing societies in Pune and other regions, making them more modern, safe, and valuable for their residents.

In summary, the self-redevelopment model offers a win-win situation for housing societies, providing financial savings and enhanced living conditions. By following Mumbai’s successful example, Pune and other cities can ensure that their housing infrastructure remains up-to-date and meets the needs of their residents.