The office bearers of the society are requested to follow the following steps for redeveloping their premised successfully.

1. Things before start of redevelopment in housing society or apartment

Conveyance Deed

The society should reconsider redevelopment only if the society has conveyance deed in their favor. In case conveyance deed is not in favor of society, the process for deemed conveyance should be done by appointing appropriate agency.

Structural Audit

When a society should consider redevelopment

1. First step for deciding redevelopment is structural audit report by structural consultant or project management consultant. This survey has to be carried out for all building/structures in society plot.
2. The structural audit agency shall reveal the condition of buildings & suggest whether society needs the redevelopment.
3. Without such report, society can’t go for redevelopment process.
4. Even if building is less than 30 years old (building lifespan), but structural report suggest redevelopment than restoration, society can go through redevelopment.
5. Circulation of structural audit report-

In case of adverse structural audit report, the society shall circulate the said report to all the members of the society within one month of receipt of such report along with their recommendations and call for the consent of all the members of the society in writing within 14 days of circulation of report giving their opinion whether they would like to go for repairs or redevelopment. If 75% or more of the total members of the society give their consent for redevelopment to the managing committee, the managing committee will start the process of redevelopment.

Starting Redevelopment-

The housing society in which redevelopment work of the buildings is required to be undertaken, an application of requisition to hold a special general body meeting to consider and discuss the redevelopment project and suggestions on the same, is to be submitted to the hon. Secretary of the managing committee which is properly

Elected as per the provisions of the society’s bye–laws and also constituted as per. The provisions of the maces act 1960. The requisition application is to be signed by not less than 1/4th of the total members of the society.

2. Rules for redevelopment

Rules for redevelopment of housing society-

Rules for redevelopment of society are as per the government guideline issued on 3rd jan 2009 & 4th july 2019. These rules explain complete process of redevelopment & all steps that are to be taken by housing society. Though few society try to skip this process it is highly recommended to follow the guidelines given by above mentioned notifications.

Rules for redevelopment of apartment-

Rules for redevelopment of apartment are almost same to those for society, like 51% people consent is mandatory etc… But in case of apartment following and implementing process is bit difficult. In recent notification government have simplified process for apartment & made all society rules applicable to apartment.

3. Initial Redevelopment Process

SGM for Redevelopment-

On receipt of requisition for calling the meeting, the managing committee of the housing  society, within 8 days of the receipt of the application, should consider the same and within a period of 1 month, the hon. Secretary will call the general body meeting of the members of the society giving 14 clear days notice for which acknowledgement will be collected from every member and maintained in the records of the society. The quorum for the SGM shall be 3/4th of the total number of members of the society. If the quorum is not attained, The SGM shall be adjourned for 8 days.

If there is no quorum in the adjourned meeting also, then the meeting shall be dissolved considering that the members have no interest in the redevelopment of the society. In such a situation, the redevelopment subject cannot be brought before any SGM for its approval for further one year.

In the meeting, 3/4th of the members present in then meeting should agree for redevelopment and then a resolution should be passed for going ahead for redevelopment of the building and authorizing the managing committee to obtain permission from the deputy registrar of co-operative societies of their respective ward office for redevelopment. A resolution should also be passed authorizing the managing committee to obtain quotations from experienced architects / project management who are empanelled by government / local authority, for the work of preparing feasibility report and framing rules / conditions for their work.

Permission for Re-Development-

The society shall forward a copy of the structural audit report along with an extract of the re-development resolution passed in the SGM to the dy. Registrar of co-operative societies of their respective ward seeking permission for re-development of their building. (As per GOVT. GR Dy. Registrar permission is no longer required)

Redevelopment Feasibility Report-

Within one month from the date of receipt of permission for re-development from the office of the dy. Registrar of co-operative societies, the society should appoint an architect or a project management consultant to survey the project plot /area / FSI / TDR/ PMC–rules applicable / technical / financial details including viability, comparison of repairs v/s re-development and submit a feasibility report. This feasibility report should be circulated to all the members of the society within one month from the date of receipt of the report along with the managing committee’s views and their opinion / objections on the same should be called for in writing for discussion in the next special general body meeting.

SGM for Constitution of Re-Development Committee-

1. The society should call for a SGM and since this being an important meeting the quorum for the meeting shall be at least 75% of the members of the society.
2. The managing committee should discuss the feasibility report in the meeting and if at least 3/4^th of the members present in the meeting agree for re-development
3. Then they should pass a resolution to go for re-development of the building and authorize the office bearers to start the procedure to appoint architect / civil engineer / financial consultant or project Management consultant.
4. In the same meeting, the society should form a “re-development committee” of at least 5 prominent / senior / original members of the society representing each building of the society, to oversee the working of the managing committee

Appointment of Consultants-

The office bearers shall shortlist architect/civil engineer/ financial consultant / project management consultant for appointment and recommend their names to the re-development committee to confirm their choices and fees chargeable by this professional/s. The managing committee should call for a SGM and introduce these professionals to the members of the society and give their recommendations. A decision should be taken in this meeting to appoint any or all them of them and fix their duties and fees.

 Pooling Of Documents for Re-Development-

The society should ask the appointed consultant/s to proceed and go ahead to get all the clearances required for re-development and submit his report on the availability of following documents with the society:

1. Society registration certificate
2. 7/12 extract / index ii / form no. 6 from revenue office
3. Conveyance deed
4. Non Agricultural (NA) order
5. Property card /
6. City survey plan (demarcation)
7. Copy of commencement certificates
8. Copy of completion certificates
9. Proof of payment of stamp duty / registration charges.
10. Copy of paid assessment bill ( water bill, electric bill)
11. Approved building plan
12. Structural Drawings.

4. Important phase in redevelopment of housing society

Tender Floating-

After the technical problems are sorted out, the society should call for a SGM no. 4 to apprise the members of the society’s standing on the various technical points referred to above and convey their views as well as the views of the re-development committee on the matter and seek the approval of the general body to proceed further. In this meeting all the members of the society should be asked to prepare and submit details of requirements / demands / choices / demands in writing so that the same could be incorporated in the tender document. The general body should pass a resolution and authorize the managing committee to proceed ahead and float tenders by inviting different agencies / builders / developers to give their offers through news paper notice etc.

Opening of Redevelopment Tenders-

Within one week from the last date for receipt of tenders, the society should call for a SGM no. 5 and open the tenders in front of the members of the society present in the meeting along with the society’s consultants and parties participating in the Tender. The details of offers received should be read out in the meeting and a provisional merit list should be made in the meeting itself.

 Comparison Statement-

The consultants appointed by the society should study the tender offers in detail and prepare comparative charts and give their recommendations to the managing committee who should satisfy themselves about the recommendations of the consultants and put it up before the re-development committee for their observations. The best offer should be short listed merit-wise and details circulated to all the members of the society calling for their views.

Selection Of Developer / Builder-

The society should call for a SGM no. 6 and after discussing the merits and demerits of all the offers, should select one developer / builder for carrying out the redevelopment of the society. In this meeting, the members should agree on the following issues

1. The additional area that they should get as not only in terms of percentage increase in their existing carpet area but also in actual number of square feet.
2. The amount of corpus payable to each member should be clearly expressed in amount of rupees besides linkage to their existing carpet area. The break-up and the due dates for payment of the same should also be clearly specified.
3. The amount of rent payable for alternate accommodation should be clearly specified in terms of amount of rupees besides linkage to the existing carpet area. The break-up and due dates for payment of the same should be clearly specified.
4. The amount of shifting charges and the re-shifting charges should be specifically stated.
5. The members should pass a resolution authorizing the managing committee to issue letter of intent to the developer subject to above terms and conditions.

Letter Of Intent-

The society should circulate the agreed terms and conditions to all the members of the society and obtain irrevocable letter of consent addressed to the society, the builder, PMC, dy. Registrar of co-operative societies and other concerned parties. When at least 90% of the members give consent letters to the society, the society should give a letter of intent to the selected developer / builder and request him to furnish plans of the new buildings to be constructed, amenities to be provided and allotment of flats to members as per the new plan.

Re-Development Agreement-

On receipt of the plan for the new buildings, the managing committee and the re-development committee members should first approve the same and satisfy themselves that the same is as per their offer. Then, the society should call for a SGM no. 7 for approving the plan of the flats / building and amenities offered by the builder. When the same are approved in the general body, the society should pass

A resolution to sign a redevelopment agreement with the developer also fixes the date for vacating the old flats and receiving the compensations.                                                        

5. Handing Over The Property For Re-Development-

The developer should then proceed to get the plans approved and obtain i.o.d. From p.m.c. After fulfilling the terms mentioned in the i.o.d., the developer should obtain commencement certificate up to plinth. After these conditions are complied with, the society should call SGM no. 8 and pass a resolution for vacating the flats and fixing a date for handing over the vacant possession to the developer and fixing dates for receiving compensations from the developer. The managing committee should issue instructions to the members to vacate their flats by signing individual agreements with the developer and after receiving his dues from the developer.

Occupation Certificates-

After construction of the buildings are completed, the society should follow up and ensure that the developer gives, occupation certificate and regular water connection within 4 months from the date of handing over of the new flats to the members of the society.