‘Post-1995 slums will not get individual water connections’

Officers Who Fail To Check Illegal Slums Face 3 Months In Jail: Govt

Mumbai: No individual water connections will be given to post-1995 slumdwellers, the government emphasized before the Bombay high Court on Thursday. 
    The state said civic corporations have been asked to appoint designated officers to deal with the issue of illegal slums and such officers could face a jail term of up to three months and/or a fine of Rs 20,000 for failing to take action against unauthorized construction. 
    Hearing a PIL filed by Pani Haq Samiti challenging the state's decision to deny water supply to post-1995 slums, a division bench of Chief Justice Mohit Shah and Justice Nitin Jamdar asked the BMC to file its response. "All municipal commissioners and chief officers of the state were instructed to ensure that no (individual) water connection was given to unauthorized constructions," an affidavit filed by Seema Dhamdhere, joint secretary in the urban development department, said. The affidavit was submitted by assistant government pleader Milind More. 
    "Slumdwellers living in structures that have come up after 1995 have no locus standi and those structures are expected to be demolished. Individual post-paid water connections should not be given to nonprotected (post-1995) slumdwellers as it would create problems in recovery of water bills if these hutments were to be demolished," said the affidavit, justifying a 1996 circular. According to the government, local municipal authorities had been asked to provide drinking water in such slums through a common connection or public water booths. 
    The affidavit further said municipal bodies in the state have been asked to appoint zone-wise designated officers to remove illegal structures. "The main intention behind the circular was to prevent unauthorized construction and encroachments on public land in municipal areas in the state, which are a matter of serious concern," said the affidavit by Dhamdhere. 
    If new illegal constructions come up, then such officers could be placed under suspension and subjected to a departmental inquiry. Failure to take action could result in prosecution under the BMC Act. 
STRINGENT MEASURES 

• No individual water connections for post-1995 slumdwellers 

• Post-'95 slums to have only common connections or public water booths 

• Designated officers to be appointed to tackle illegal slums 

• If any new illegal structure comes up on the watch of the designated officer, s/he will face suspension and a departmental inquiry 

• On being convicted for failure to take action against encroachments, the officer concerned can be punished with a prison term of up to three months and/or a fine of up to Rs 20,000

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TAXING TIMES Mhada, Cidco, MMRDA may get a VAT blow

Thane: State agencies like Mhada, Cidco and MMRDA may have to shell out crores of rupees towards value-added tax (VAT) for sale of flats over the last six years. 

    The biggest blow will be dealt to Mhada, which has sold over 10,000 tenements across the state since 2006. The law states that builders will have to pay a 5% VAT on sale of properties undertaken between 2006 and 2010. The VAT payable post 2010 will be 1% of the cost of the property. 
    Having constructed tenements and sold them through a lottery draw, thereby recovering administrative, actual land and construction costs from buyers, Mhada qualifies as a builder. "Prima facie it looks like we will have to pay the VAT. We are calculating the amount that we will have to pay. It is going to be huge figure given our volumes of sales," said Satish Gavai,Mhada vice-president. 
    Buyers had been informed at the time of sale that in case of a tax liability in the near future, the authority reserves the right to recover the entire amount from the buyer, said Gavai, adding that the agreement betweenMhada and the buyers has a clause, which puts the onus of tax arrears on the purchaser. However, an official said, "Recovering the arrears will be a big worry. There is every likelihood that buyers must have sold off the flats. In such an event, the original owner will be reluctant to pay up and so will the one occupying the place at present." 
    Tenements built under the slum redevelopment scheme will also come under the VAT purview and builders who have constructed them will have to pay the arrears, it is learnt. 
    Cidco, which has constructed homes and shops in Navi Mumbai, Aurangabad and other cities, too will have to pay tax on all flat sales effected post 2006. 
    "MMRDA too will invite the tax if its proposal, pending before the CM, to sell a portion of the flats constructed under the rental housing scheme gets a nod," an official said.

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Builders, Bandra bungalow owners, parties protest

Mumbai: Soon after the list of proposed additions to the city's heritage list was put up, a few voices of satisfaction were almost drowned out by howls of protest from the builder lobby, disgruntled house owners and parties like the Shiv Sena and the Maharashtra Navnirman Sena. 

    "Before allotting Grade I status to Shivaji Park and its precincts, local residents should have been consulted. There are senior citizens living in the area and once it is declared as a heritage precinct, there will be a full stop to the efforts of redevelopment. This is a trap," said local MLA Nitin Sardesai of the MNS after distributing circulars door-todoor, urging citizens to oppose the move. 
    The Shiv Sena has requested citizens to submit their objections to mayor Sunil Prabhu. 
    Angry protests came in from the suburbs, too, about private properties and bungalows making it to the heritage list. The Salsette Catholic Cooperative Housing Society in Bandra (West), which owns 190 plots, may have some 27-odd added to the list. "We have launched a strong protest against this unjust proposed reservation, as in most cases these are going to be developed to provide accommodation to our leasees and their growing families," said society secretary Cornel Gonsalves. 
    Redevelopment of six of the listed plots started 10 years ago and one of them is the final stages. "The principal of natural justice demands that notices should have been sent to us and not be silently put up on the BMC website," Gonsalves added. 
    In a statement, builders have expressed their apprehension to the BMC, saying their dreams were being 'shattered'. 
The 'grain' which consists of smaller, perhaps less known structures, is extremely important to the fabric of the city and must be conserved. Most of the old bungalows that are privately owned should be preserved Vikas Dilawari | 
CONSERVATION ARCHITECT 
If any structure is to be included on the heritage list, it must have some historic significance. I can understand Veer Savarkar's residence or the mayor's bungalow being tagged as a heritage structure but to bring in the entire Shivaji Park precinct makes no sense Abhay Deshpande | 
SHIVAJI PARK RESIDENT

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VAT on flats: SC gives interim relief

Mumbai: Lakhs of citizens who bought property between 2006 and 2010 have got temporary benefit. The Supreme Court on Tuesday directed the Maharashtra sales tax department not to levy interest and penalty on developers if they registered the sale of such flats by October 15 and paid the valueadded tax (VAT) by October 31. 

    The order was passed by a three-judge bench headed by Justice R M Lodha while hearing an application filed by a host of developers' associations challenging the department's August 6 circular demanding 5% of the sale value as VAT. The circular asked developers to register with the department by August 16 and pay VAT with interest and penalty by August 31. 
    The court, however, refused to stay the circular. As a result, post-October 31, the department is again free to levy interest and penalty on developers who have not paid VAT. 'Buyers won't benefit from order' 
Mumbai: The SC refused to stay the state sales tax department's circular on VAT on flats bought between 2006 and 2010. It dismissed the application that was part of the special leave petition filed by the Maharashtra Chamber of Housing Industry (MCHI) and others challenging the constitutional validity of the government to levy VAT. The department had issued the circular after the Bombay HC, in April, rejected the developers' contention against being categorized as dealers of goods and thus liable to attract sales tax. 
    Developers are elated by the order. Paras Gundecha, president of MCHI, said with the apex court waiving interest and penalty, the VAT now payable has dropped to less than 5%. "We plan to first pay VAT on behalf of those customers from whom we have collected the amount through bank guarantees, or escrow accounts. We will ask the bank to either release this sum to us or 
directly deposit it with the department," said Gundecha, adding that he would wait for the department to assess the VAT payable before issuing notices to those customers who have not paid the tax amount when booking the flat. 
    Maharashtra Societies Welfare Association chairman Ramesh Prabhu said flat buyers would not benefit from the order. "It is the builders and not flat buyers who are supposed to pay VAT. So, developers cannot collect VAT separately from buyers. Considering the complicated working of computing VAT, I wonder if a customer will know whether the VAT amount paid by the developer is the same as the former had already paid" said Prabhu. Meanwhile, Mhada has sought legal opinion on whether it too as a developer will have to pay VAT. Currently, no notice for collection of tax levy has so far been issued to the nearly 10,000 Mhada flat buyers between 2006 and 2010. "We have not charged or collected VAT even after 2010. We will take a call on issuing notices,'' said Mhada vice-president Satish Gavai.

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Rlys to build homes for slum dwellers

In order to remove encroachments along the tracks, Railways will construct low-cost housesforslumdwellersinMumbaiandDelhi. Named Sukhi Griha scheme, the project entails construction of low-cost houses for slum dwellers residing near the tracks, because of which the movement of trains gets affected.  "We have undertaken steps for removal of encroachments by giving them small shelters through Sukhi Griha Scheme and also through othercentralschemes.TheSukhiGrihascheme aims for slum dwellers' rehabilitation and resettlementinaplannedmanner,"aseniorRailwayMinistry official said.      Railways have already sanctioned Rs 22 crore for Mumbai and Rs 11 crore for Delhi underthescheme."Fundswillbeprovidedforother cities also as detailed rehabilitation plans are being worked out with states concerned," said the official. The scheme was announced in the Rail Budget 2011-12 by then Railway Minister Mamata Banerjee.      "Thesedwellersaffectsmoothmovementof trains. We have adopted a human approach for removing encroachments," the official said.      The railways have taken up the encroachment issue with the Housing and Urban Poverty Alleviation Ministry to relocate slums under the Rajiv Awas Yojna.

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Bought Property Between 2006 & 2010? Pay 5% VAT

Bombay HC rejects Builders' demand for uniform VAT in a case against govt order

If you have bought a flat, shop or a bungalow between 2006 and 2010 in Mumbai or anywhere in Maharashtra, there's bad news for you: you will now have to pay 5% VAT on the purchase price as the Maharashtra government has won the case in the Bombay High Court, which was filed by builders to challenge the imposition of 5% VAT. 
However, those who have bought property after April 2010 have to pay only 1% VAT, because the state government reduced this tax in 2010. 
While some buyers may have already paid VAT, but those who haven't paid yet will receive notices from developers for VAT dues. The Maharashtra government will levy the tax with retrospective effect at 5% of the value. In 2006, Maharashtra had imposed 5% VAT, but later in April 2010, this was reduced to 1%. But now, since the developers' appeal on this matter, requesting to keep the tax uniform at 1% for all buyers, has been rejected by the Bombay High Court, the government will now recover 5% VAT for flats bought between 2006 and 2010, according to a circular issued by the state government. 
Reacting to the development, builders' organisation MCHICredai and Credai-Pune Metro have already moved the Supreme Court with a special leave petition. The state wing of developers' apex body Credai-Maharashtra on Thursday issued a public notice stating: "As per the government circular, VAT has become applicable to flat purchasers from June 2006." 
According to a Credai spokesperson, the new burden on a customer who bought a flat for . 50 lakh works out to a minimum of . 2.5 lakh. 
Maharashtra followed the example of Karnataka in imposing 5% VAT, but this led to an anomaly as the other components of the tax system followed in Karnataka are totally different from the ones in Maharashtra. 
Unlike Maharashtra, Karnataka does not have the 'Ownership of Flat Act' and therefore developers in Karnataka prepare two separate sets of documents — one for the share of land on which stamp duty is levied and another on construction, for which no stamp duty is paid. 
Sensing resistance to the 5% rate, Maharashtra had reduced VAT to 1% from April 1, 2010. The government, however, is now levying 5% on the flats, throwing thousands of buyers into a fresh financial tizzy. Many developers are gearing up to send notices to consumers for collection of outstanding VAT.

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LAST HIKE IN 1993 Six-fold hike in transfer fee for leased civic plots

Mumbai: After two decades, the BMC has decided to increase the transfer fee for leased civic plots six-fold. It has also hiked the penalty for raising illegal structures on leased properties, and this proposal has finally received anod from the improvements committee. Corporators say these decisions will help the BMC generate more revenue. 

    The reason behind the massive hike has been attributed to the fact that the transfer fee for leased properties has not been hiked since 1993. Previously, a leaseholder had to pay the BMC Rs 5,000 for permission to transfer the lease. As per the new proposal, the leaseholder will have to pay Rs 30,000, with a 10% increase every year. "The transfer fee amount was last fixed in 1993. It would be unfair to call the hike large as it doesn't amount to much after a final calculation," a senior civic estates department official said. 
    The state assembly in June cleared a bill empowering the BMC to collect the transfer fee for properties given on lease. The Mumbai Municipal Corporation Act was amended to empower the civic body to levy transfer fees and penalties on the lessee for the transfer of property. It would now be mandatory for the lessee to seek prior permission of the BMC before transferring the property to another party. The rate of the transfer fee and premium on account of unearned income will be decided by the corporation. 
    Meanwhile, residential structures built without permission will invite an increase in penalty from Rs 22 per sq ft to Rs 125 sq ft. Commercial and unauthorized structures will face penalties of Rs 200 per sq ft from the previous Rs 23 per sq ft and Rs 300 per sq ft from the previous Rs 48 per sq ft, respectively.

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State bodies to get new heads

Mumbai: The Congress has plans to decide appointment of political heads of various staterun corporations under its control. A Congress functionary said the plans will be finalized in the next eight to ten days. 

    Political appointments are made for the posts of chairman and directors of 53 state-run corporations. The important ones include CIDCO, MHADA, Mumbai slum board, Maharashtra Pollution Control Board and Maharashtra Industrial Development Corporation, etc.

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CRZ course correction in Khar frees 100 plots for devpt

Mumbai: A major correction by the National Coastal Zone Management Authority (NCZMA) reclassifying Khar Danda as a creek area is set to result in over 100 plots in the prime area coming up for development. 

    NCZMA obtained the opinion of various agencies that specialize in coastal mapping before it corrected the error that showed the Khar Danda plots as within the restricted development zone under the Coastal Regulations Zone (CRZ) notification. Under CRZ, development is restricted for land that is within 500 metres of the sea's high tide 
line. In a creek area however, which Khar Danda has been reclassified as, it is 150 metres. A maximum FSI of 1 applies within this strip of land, that too if it is on the landward side of the road. 
    There's even more bounty for beneficiaries. The reclassification has been granted under the old CRZ rules; when the 2011 notification, which mandates only 100 metres, comes into existence with the new Coastal Zone Management Plan next year, several more plots will materialize. Khar CRZ norms challenged in 2006 after construction boom 
Mumbai: Civic sources said the areas up to the municipal garden at Juhu (popularly known as the Rajesh Khanna garden) would benefit from the reclassification of Khar Danda under the CRZ rules. "Plot owners will now be able to not only utilize the floor space index of the plot but also use transfer of development rights which allows an additional FSI of 1," the source pointed out. 
    While this is definitely music to builders' ears, one of the biggest beneficiaries of the NCZMA move will be the slum-dwellers of nearby Guzderbandh who, displaced by the widening of a nullah, were to be rehabilitated in the eastern suburbs of Mankhurd and Govandi. 
    Following the CRZ notification in 1991, the BMC, as planning authority for the city, had prepared the Coastal Zone Management Plan (CZMP), based on which development was to be restricted along the coast. "While the Plan recognized the presence of the Khar Danda creek, there was no differentiation in the setback line, and the 500-metre restriction was uniformly applied," said civic sources. "The plan was accepted by a committee set up under the then chief secretary and was forwarded to the Union environment ministry, which also endorsed the plan," the source said. 
    It was only in 2006 when the construction boom took off in the city that developers challenged the CZMP and sought a reclassification of plots closer to the creek. The NCZMA then got the National Institute of Oceanography as well as the Centre for Earth Science Studies, Thiruvananthapuram, to scrutinize the plan and give an opinion, resulting in the present correction. 
Reclassify Versova creek too, say developers W hen Khar Danda developers sought a reclassification of the area as creek area, a similar demand was made for Versova creek. Recently, a developer raised the CRZ reclassification issue in a litigation in a MHADA redevelopment matter on the Juhu Link Road, sources said. 
    "The Bombay HC has directed the Maharashtra Coastal Zone Management Authority to take a decision on the matter within six months," said officials. Here too, the error is the same, that of applying the 500m restriction from the sea rather than the 150m from the creek, said officials. The decision will change the fate of large swathes of land between Juhu and Andheri, said sources. 
    "This area is completely out of CRZ. It is a misinterpretation of the CRZ laws. It has been applied to an area where urbanization has already taken place several years before the notification came into force," said Rishi Agarwal, member, MangroveSociety of India. —Clara Lewis CRZ CLASSIFICATION REGULATIONS 
Coastal stretches within 500m of high tide line on the landward side are classified into 4 categories: 
CRZ-I covers ecologically sensitive areas and the zone between low and high tides. No new construction permitted except for extremely critical necessityCRZ-II covers areas that have already been well developed with infrastructure laid out within urban and municipal limits. No new construction on the seaward side can come up and reconstruction of existing structures is restricted CRZ-III covers areas relatively undisturbed and do not fall under the above two zones. Up to 200m is a no-development zone, 200m to 500m can be used for hotels and beach resorts temporarily with permission while the rights of fishermen to build small structures are honoured 
CRZ-IV covers areas in islands except those designated in CRZ I, II and III. No buildings can come up within 200m, and after that no more than two floors are allowed. Use of corals and sands, dredging and underwater blasting are also banned In the case of creeks, rivers and backwaters, the CRZ norms apply up to 150m where the width of the creek, river, backwater is more than 350m

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BMC backed illegal FSI rise in Pali Hill tower’ Petition In HC Seeks Cancellation Of Building Permissions

Mumbai: The developer of a new luxury residential tower on Pali Hill, Bandra, and the BMC colluded to illegally increase the building's floor space index (FSI), stated a writ petition in the Bombay high court. 

    Sandhu Palace, comprising two 19-storey towers, is touted as the most expensive complex in suburban Mumbai. The developer, Sandhu Builders, has been quoting more than Rs 60,000 a square foot and several large-sized flats were sold to NRIs at Rs 35 crore-plus each. 
    The petition was filed by Chetak Cooperative Housing Society, which is located next to Sandhu Palace. The society had allowed developer Sandhu to acquire development rights for three of its four plots. However, the builder allegedly usurped the rights of the fourth plot, which was not part of the agreement. 
    This plot measured 1,775 square metres and also included another 725 sq m reserved for a road setback (future expansion). 
    The municipal commissioner, deputy commissioner, executive engineer and deputy engineer (building proposal department, Bandra) have been made respondents along with the developer in the petition. The court will hear the matter on August 22, and has directed the builder to file its reply. 
    Five years ago, each of the more than 100 members of Manju Mahal building —Chetak is its housing society—received Rs 5 lakh to Rs 15 lakh for giving power of attorney to the builder to utilize about three acres of its land. 
    The agreement mentioned three plots, but the society alleged the builder "illegally" included the fourth plot as well and got them sanctioned by the BMC. 
    The petition said permissions and plans for construction of Sandhu Palace were sanctioned by BMC officials on the basis of "false and fraudulent'' representation made by the developer. 
    One of the plots handed over to the builder measured 4,828 sq m, but the society said it owned 3,940 sq m of it while the remaining 800 sq m belonged to an adjoining housing society called Shiv Sagar. 
    The developer was entitled to development rights of 9,388 sq m, said the petitioners. However, the builder got an excess FSI of 4,304 sq m and showed the total area as 13,592 sq m, it added. 
    The petition further said the developer illegally showed reservation of a recreation ground on a plot on which structures were already constructed and in existence since a long time. 
    The petitioner said it approached the BMC and developer with its grievance about the "illegal act". "However, they did not take any action and/ or intently failed and neglected to stop the illegal acts and construction activities," said the petition. 
    Last year, when the society had issued a legal notice to the developer, it put its own loss due to this "cheating and forgery" at more than Rs 100 crore. 
    Last June, the society issued a public notice, terminating the power of attorney granted to the developer. It has now asked the court to direct the BMC to revoke and cancel the building permissions. 
BUILDING BLOCKS 
    Chetak Cooperative Housing Society, next to Sandhu Palace, has filed a petition in high court 
    The society had allowed the developer to acquire development rights for three of its four plots 
    The builder allegedly usurped rights of the fourth 1,775-sq-m plot and another 725 sq m reserved for a road setback 
    The BMC, the petition says, sanctioned permissions on the basis of 'false and fraudulent' representation by the developer 
    One of the plots measured 4,828 sq m; the society said it owned 3,940 sq m of it while the remaining 800 sq m belonged to Shiv Sagar, an adjoining society 
    The developer was entitled to development rights of 9,388 sq m but allegedly got an excess FSI of 4,304 sq m and showed the total area as 13,592 sq m 
    The petitioner said it had approached the BMC and the developer, but both did not take any action

Sandhu Palace, Pali Hill, price quote: 60,000 a sq ft

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Benefits of buying a house for your wife Property purchased in your wife’s name might entitle you to a 1-2% discount on the applicable stamp duty

What's the biggest advantage of buying property in your wife's name? Pleasing her, impressing the family, being seen as a trendsetter in a patriarchal society? Yes, there is all that, but the icing on the cake is that you might shave off 1-2% of the property value. Several state governments offer women buyers a discount on stamp duty as a part of social initiatives (see graphic). Stamp duty is the tax paid to the state government when you buy a property and get it transferred in your name. In Delhi, for instance, a woman needs to pay a stamp duty of 4% compared with 6% for men.      This benefit of lower stamp duty can be availed of even when the property is gifted to the spouse. Here's how this benefit is extended to women.  Empowering women  According to Naushad Panjwani, executive director of Knight Frank India, the aim of this initiative is to empower women. With more assets in their name, the economic status of women in India can improve, which in turn can make them less vulnerable to exploitation. "In many northern states, there is an imbalance in the sex ratio. This is the ratio of male to female population, with the national average being 914:1000. So this discount was started to incentivise women property owners," explains Panjwani. This is not a one-time deal and applies to all subsequent property purchases.      However, far from being an economic leveller, this incentive is being exploited for trading purposes. "Nearly 75% of all transactions involving women buyers are for trading. The male members buy a property and get it registered in the woman's name to benefit from the 2% lower transaction cost. Then they resell the property for a profit within a short span of time," says Panjwani. It's a good strategy because even a small percentage saved in a speculative transaction makes for a good deal.  Joint property  If it's not possible to buy a property in your wife's name, consider joint registration. Some states, including Delhi, offer a 1% discount on stamp duty in such cases. According to Mayur Shah, director, tax and regulatory services, Ernst & Young, there are some legal and tax benefits in purchasing a second property jointly with your wife. "If the wife is a co-owner, she can claim a deduction of up to 1.5 lakh for the interest paid on a home loan in case of self-occupied property," says Shah. If the property is let out, the entire amount of interest can be claimed by both husband and wife. "In case the husband incurs business debts or losses, any property registered in the wife's name cannot be attached to cover such losses. Also, after the demise of one spouse, the other automatically becomes the sole owner of the property," he adds.  Taxation  As for wealth tax, the asset is treated as net wealth in the hands of the spouse who owns the property. To get the maximum benefit from this incentive, remember that simply registering the property in the name of the wife won't be enough. The provisions of the domestic tax law in India, according to Shah, state that the income earned directly or indirectly by the wife from assets transferred to her will be clubbed with the income of the husband. This means that if you buy a house in your wife's name, but she does not contribute monetarily to the purchase, the rental income from this property will be treated as your income and taxed at the applicable rate. One way of circumventing this is to give a 'loan' to your wife. So, if you lend her 50 lakh, she can later transfer jewellery worth this amount in your name.      However, before you decide to buy the next property in your wife's name, remember that home loans can also be a deciding factor. Banks typically insist that the property be in the name of the person who is applying for the loan. "This means that if the husband is the sole earning member in a family, it may be difficult to get the property registered in the name of the wife," explains Panjwani.

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City Slips Behind Pune, Delhi in Home-loan Demand

High realty prices and lack of new projects in Mumbai keep buyers away     Mumbai has fallen by the wayside in the mortgage market rankings as record realty prices keep customers away, say real estate and home finance executives. Pune and New Delhi have overtaken India's financial capital with steady demand, while Mumbai has fallen to third or fourth position for housing finance.  "It used to be number one but there are not many new projects that sell in big numbers," said V Srinivas Rangan, exeutive director HDFC. "So, most sales are outside Bombay where the value is lower. We are witnessing good volumes from the northern market, especially the National Capital Region (NCR)."  In addition to affordability in the north, Mumbai real estate is seeing a slowdown due to lack of infrastructure and economic slowdown. With the financial situation worsening over the last couple of years, Mumbai — predominantly a banking and fiancial services oriented region — has lost its position. Apart from unaffordable prices, the dearth of new launches in Mumbai is a key reason for falling sales.  "Lending in Mumbai has come down. Prices have shot to unsustainable levels," said VK Sharma, MD and CEO, LIC Housing Finance. "The real estate market is  under stress. New projects are not coming up and existing ones are getting delayed. Also, with prices at this level, expectation of returns has also fallen." Most realty projects are in the services sector, especially IT and banking. The Mumbai market has been predominantly banking and financial services oriented. In other metros, a lot of the work is in distribution, marketing andback office. Also, real estate costs are very high in Mumbai. The type of rentals we pay for back office does not make any economic sense, added Sharma.  According to Jones Lang LaSalle India, Pune and Delhi-NCR continue to see good traction as these markets continue to be affordable and new launches are helping to keep the momentum. Of the total launches in Mumbai, NCR and Pune since January, around 60% were in NCR, 25% were in Pune and the rest were in Mumbai.  "In the Mumbai Metropolitan Region, sales momentum continues to be better in Navi Mumbai as costs are still affordable and launches are taking place there. However, in Mumbai itself the momentum is sluggish as there are no major launches except in Worli, Lower Parel and Prabhadevi," said Om Ahuja, CEO, Residential Services, Jones Lang LaSalle India.  Many developers in the city have revised and submitted their project plans to the civic authorities following the recent amendment in Development Control Rules. There's enough demand for the right products with the right price," says Ahuja, emphasising that if developers in Mumbai that are launching projects offer their products at the right price, customer response can improve.  Every year, the Pune market sees sales of around 57,000 residential apartments and most of these are bought by people who come to work there. In Gurgaon, this number can be 30% higher, and this average is being maintained as these cities continue to offer jobs, said property consultants. The job market in Mumbai, on the other hand, does not look quite as attractive in the current scenario, they said. A Fitch report said that demand for residential units continues to be dampened by affordability, high EMIs, the high level of property prices and stubborn inflation.  shilpy.sinha@timesgroup.com

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KNOW YOUR RIGHTS MAGICBRICKS.COM EXPERTS RESPOND TO QUERIES IN MUMBAI

I booked a flat in December 2011. The builder did not disclose the actual area at the time of purchase and now is forcing me to take the possession. Can I sell this flat to a prospective buyer and take legal action against the builder? 

•
• Yes, you can legally transfer the allotment to your buyer. Please refer to the allotment letter on the procedure. If there are construction irregularities, do write to the builder to rectify it. If he does not take action, send a legal notice through a lawyer and disclose every aspect to the buyer. 
I want to buy a flat which is owned by Mr 'X', who has bought it from Mr 'Y'. Mr 'X' has a registered Agreement which is between both of them i.e. (Mr 'X' and Mr 'Y') but does not have the original Agreement which is between Mr 'Y' and the builder. Mr 'Y' has only the photocopy as an investor. Can I purchase the above mentioned property and what has to be done for missing documents? 

•
• Inspection of the Title Deed is very important. Loss of original Title Deeds may lead to many complications, affect or impede free dealings with the property. It reduces the strength of ownership title of the owner. Suppose you purchase the property for a valuable sale consideration, ignoring that fact that the vendor does not have the original title deed and suppose at some earlier stage the property has been mortgaged by deposit of title document by its owner, then irrespective of the fact that you have purchased the property for valuable consideration, you will not get rightful ownership over the property. 
Having said that, loss of documents such as Encumbrance Certificate, Khata Certificate, and Tax paid receipt does not have serious implications since it is possible to make up the loss of these documents by applying and getting certificates afresh from the concerned authority. A sincere effort also should be made to trace out the lost document and or to rebuild the records. The common practice followed is to notify the loss of the original deed in two leading and widely circulated newspapers, one in English and the other in vernacular language, requesting the finder of such documents to deliver back the said document. 
Lodging a police complaint and obtaining acknowledgment from the police also is considered as evidence for the loss of a document. Do engage a lawyer to do a thorough check before you buy this property. 
At the time of booking it was shown by the builder that the flat faces the big rectangular park and hence the builder included Preferred Location Charges (PLC) in the cost of the flat i.e. Rs 68250. Now, it s been revealed from the builder's websites that the total area of the park has been reduced to half i.e. in a triangular shape and such type of park layout is not mentioned in the Agreement. Can I reduce the PLC charges against the booked flat? 

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• The builder should reduce the charges and if he denies reduction then you may take the builder for changing the project specifications during construction after taking deposits. If you have a grievance against the builder, send him a notice in writing and if he refuses to accept your notice then you need not worry; proof of sending it is valid in the consumer court and the notice would be deemed to have been duly served.

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There is an urgent need to rev up affordable housing projects to cater to rising demand in the urban areas

EASY ON THE POCKET

If statistics are anything to go by, there is a wide gap between the demand in supply of housing – both in terms of quality and quantity – in urban India. According to estimates of the Technical Group constituted by the Ministry of Housing and Urban Poverty Alleviation (MHUPA), the urban housing shortage in the country at the end of the 10th Five-Year Plan was estimated to be 24.71 million for 66.30 million households. The group further estimated that 88 per cent of this shortage pertains to houses for Economically Weaker Sections (EWS) and another 11 per cent for Lower-Income Group (LIG). 

    While the time and cost of construction, labour and approvals for an affordable housing project remains the same as normal housing, the sale price and hence realisation is lower, point out developers. This tends to squeeze margins and hence developers are not incentivised to pursue such projects. Says Hemant Shah, Chairman-Hubtown Limited: "To reduce the price, the cost will have to be brought down further. While the government can play only a limited role in the cost of construction, including labour and material, I think it will do well by increasing permissible FSI for affordable housing projects. This will reduce per unit cost of land and allow creation of less costly homes." 
    Generally, one of the major issues that prevents developers from undertaking affordable housing projects is the time taken by government to grant approvals for the same. Invariably, developers end up on the wrong side of the situation due to the time taken to grant approvals for projects. "This negatively affects the time taken to complete projects. It also raises the cost of homes, and developers have no choice but to pass on these costs to homebuyers. Also, cost of land in Mumbai is exorbitant which is why most affordable housing projects come up in the peripheral areas where land is comparatively cheaper. Builders don't get returns in ratio of the efforts put in for such projects," says Diipesh Bhagtani, Executive Director, Jaycee homes Ltd. Similarly, Shah points out that apart from higher FSI, there should be a dedicated faster approval mechanism for affordable housing. 
    "Additionally, the government should ensure that these projects get cheaper funds to keep the costs in check. Also, the threshold for one per cent lower interest rate in affordable housing should be re-defined in line with the city category for example, for Mumbai it should be at least Rs 75 lakh," he says. 
    Another significant issue with affordable housing projects is absence of adequate civic and transport infrastructure, in locations with lower land cost, observes Manoj John – Vice-President, Corporate, Planning & Strategy - RNA Corp. "Given that these locations are located at a distance from prime or urban centers, the infrastructure development in these locations are also relegated to low priority. This in turn make the 'affordable housing' projects inhabitable," he says. 
    Apart from this, previously existing schemes like 80IB, specifically directed for supporting affordable housing, has since been discontinued. "This could be reinstated with reduced areas or capped on sale value of unit. For metro locations, it could be Rs 25 lakh, for Tier 1 cities it could be 20 lakh, for Tier 2 and 3 cities the cap could be 15 and 10 lakhs respectively. Formation of special housing zones with associated infrastructure development would lend the desired support for developers to actively adopt these areas, without having to worry about the viability of projects," John says. 
    Additionally, these defined zones could also create special taxation areas that have lower excise rates on construction material, or lower income tax rates on revenues earned. Likewise, home-buyers could be offered concessional rates on registration and property tax rates. The loss of income for government through concessions could be recovered through commercial establishments and businesses that would follow to cater to the population residing in these clusters.

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Govt has ‘badly lost its way’, hurting economy: Moody’s ‘Weak Centre Has Created Instability’

NewDelhi:The Indian government is the "single biggest factor weighing on business confidence and the economic outlook", Moody's Analytics said on Thursday, revising downwards the GDP estimate for Asia's third-largest economy to 5.5% in 2012-13. 

    It said the economic slowdown in India was sharper and more broadbased than anticipated and was now deeply entrenched across all sectors. 
"There has been little policy response from either the Reserve Bank of India or the government and with the global uncertainty dragging on, we see nothing on the horizon to lift the economy from its funk," said Glenn Levine, senior economist at Moody's Analytics, adding that the second factor was the poor monsoon which was running well below average. 
    The agency, which is a division of Moody's Corporation, said the slowdown was the most pronounced in the country's corporate sector. 
Industry output dips 1.8%, all eyes on RBI 
    Industrial output fell for the third time in four months in June, by 1.8%, leading economists to say the RBI may ease interest rates to spur growth. The manufacturing sector, which accounts for nearly 76% of the index of industrial production, declined 3.2% in June against 11.1% expansion in the year-ago period. Finance minister P Chidambaram said the June IIP data was disappointing and called for focusing on the critical sectors.P 19 
IOC posts biggest-ever loss of 22,451cr in Q1 
    IndianOil Corporation reported the biggest-ever quarterly loss by a listed company, at Rs 22,451 crore, in the April-June period, three times its previous record of Rs 7,485 crore loss registered in Q2 of 2011-12. Hindustan Petroleum, too, saw its bottomline sink by Rs 9,428 crore in the quarter. IOC said the losses were due to the government failing to pay up subsidy on diesel and cooking gas.  BAD REPORTS FOR INDIA 
India's central govt is the 
single biggest factor weighing on business confidence and the economic outlook Confidence among Indian firms has been crushed by weak demand, elevated interest rates, high inflation, and most significantly, the instability created by a weak central government that has badly lost its way 
    MOODY'S ANALYTICS (AUGUST 2012) 
Divided leadership at the Centre may be the biggest hurdle...Paramount political power rests with the leader of the Congress party, Sonia Gandhi... while the govt is led by an unelected prime minister, Manmohan Singh, who lacks a political base of his own 
    STANDARD & POOR'S (JUNE 2012) India needs bold steps, not quick fix: Moody's 
    Confidence among Indian firms has been crushed by weak demand, elevated interest rates, high inflation and most significantly, the instability created by a weak central government that has badly lost its way," Glenn Levine said in the Moody's Analytics report titled 'India Outlook: Below Potential'. The agency lowered the growth estimate for 2013 to 6% from the previous estimate of 6.2%. 
    In June, global ratings agency Standard & Poor's had cautioned that India could be the first among BRIC countries at risk of losing its investment-grade rating due to slowing GDP growth and political roadblocks to reforms. S&P had said that a divided leadership at the Centre might be the biggest hurdle to reforms. 
    The deficient monsoon and slowdown in economic reforms have added to the gloom and led to a raft of downgrades on GDP growth for 2012-13. 
    Moody's Analytics said in its report that the prime minister has one final opportunity to salvage his legacy. "With two years left in office, Prime Minister Manmohan Singh must turn things around quickly or risk becoming a lame duck for the remainder of his term, leaving behind a legacy of missed opportunity," Levine said. 
    The Congress said the government was taking all steps to enable the economy to return to a high growth path. "All the steps needed for India to return to a high growth trajectory are being taken. However, we cannot be oblivious to the fact that a sluggish global economy does impact us too. But the prediction made by Moody's seems a stretch and perhaps betrays a lack of understanding about the robust fundamentals of the Indian economy," party spokesman Manish Tewari said. 
    But the Moody's Analytics report gave a fresh handle to the opposition to slam the government on its reforms record. "For all practical purposes, the PM is already a lame duck. He doesn't lead either in Parliament or outside," BJP leader and former finance minister Yashwant Sinha said. "I must confess that I find these comments on India's PM very humiliating. But it cannot be denied that while the government may try and hide the truth from our own people, keen observers abroad are not deceived." 
    Levine said finance minister P Chidambaram was making all the right noises, with pledges to curb the government deficit and lift business confidence and investment but bold measures were needed to revive and restore the health of the economy. 
    "While we applaud the intent of the new finance minister, it all has the feel of being a quick fix, last-ditch effort to avert the economy from its downward spiral. But an economy is a complex combination of millions of different units—households, firms, government entities and so forth—that cannot be easily manipulated using tricks or quick fixes, at least not over a prolonged period," Levine said. 
Times View: Act, don't just react 
    This is only the latest in a long list of individuals and institutions who have been saying much the same thing – government inaction is costing the economy dearly. It would be a mistake for the government to bristle at this suggestion, as it has more often than not done in the past, and get defensive about it. It must come to terms with the fact that there is a widespread perception of paralysis, and one that is not baseless. The best way to react to such a perception is to seek to dispel it with action. No amount of denials or announcements of pious intentions can substitute for concrete action.

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Bombay Dyeing loses mill land battle in SC

Mumbai: In a setback to Bombay Dyeing, the Supreme Court on Thursday upheld a Bombay high court order that had asked the textile major to hand over one-third of its mill land each at Naigaum and Lower Parel to the BMC and Mhada, respectively, for development of open spaces, transit camp accommodation and houses for mill workers. 

    A bench of Justices R M Lodha and A R Dave dismissed a special leave petition filed by Bombay Dyeing against the HC's May 2012 order. The company will now have to hand over the land by August 21. 
    Mhada and the BMC will get around 65,000 sq ft of land, earmarked under the mill land redevelopment scheme, in the city's prime locations. Activists and the state have been fighting to ensure erstwhile mill lands benefit the public and are not used only to house private residential and commercial towers.A division bench of Chief Justice Mohit Shah and Justice Roshan Dalvi of the HC had dismissed petitionschallenging stopwork notices issued to Bombay Dyeing for its failure to hand over the land. 
    The textile company had approached the high court after the BMC issued a stopwork notice on March 26, 2010. The notice was issued following a direction from the monitoring committee, headed by Justice(Retd)BVChavan, that oversees redevelopment of city's mill lands. 
    The HC had given time for the company to go in appeal and it did. Its counsel Fali Nariman and Navroz Seervai had argued that the company was carrying out construction on its existing built-up land andthe question of handing over plots would come up only when it completed construction on 30% of the remaining plot. Mhada's lawyer G W Mattos opposed the argument int he HC, saying there was as no concept of built-up land under the rules.

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City’s biggest slum redevpt plan gets going 7,000Cr Housing Project To Rise On 17 Acres In Parel

Mumbai: The largest slum redevelopment scheme in Mumbai—and possibly in India—is underway in the island city. Omkar Realty and Developers Pvt Ltd has tied up with Larsen and Toubro Realty, a subsidiary of L&T, to develop a Rs 7,000 croreplus residential project spread over a 17-acre slum sprawl in Bhoiwada, Parel.      L&T, which is the majority partner, will design, construct and market the highend luxury apartments with Omkar. The project will have 1,200 apartments spread over 3 million square feet in six towers, each 40-60 floors tall. Flats in this area are currently quoted at approximately Rs 15,000 a sq ft.      Omkar, which bagged the slum project, will rehabilitate slum dwellers residing in about 4,000 shanties free of cost in 269 sq ft (carpet area) flats in nine to ten buildings of 23 floors. With a floor space index of over 3 available in slum schemes, the plot has a developable space of over 5 million sq ft.      Under the slum redevelopment scheme, a developer can use the balance area to construct buildings to sell in the open market.  OLD TURNS GOLD  Joint venture project signed between L&T Realty and Omkar to develop 40-60-storied towers in Bhoiwada  4,000 shanties to be redeveloped FSI of 3 available 5m sqf developable space Work on 23-storey rehab bldgs started in 2011 Plot of gold: 1mn sq ft for rehab, rest for free sale  Mumbai: S D Corporation, a joint venture company of hotelier Dilip Thakkar and construction major Shapoorji Pallonji, had eight years ago undertaken a slum scheme spread across 13 acres. The developer has constructed two 60-storey luxury towers, The Imperial, from the free sale component.      In the Bhoiwada project, one million sq ft will be used for rehabilitation while the balance will be used for free sale by the two companies.      Babulal Varma, managing director of Omkar, confirmed the joint venture but refused to elaborate on the revenue sharing agreement. Shrikant Varma, managing director of L&T Realty, refused to comment on the first ventureby thecompany in theMumbai property market. The JV was signed recently after almost a year of negotiations.      Sources close to the development say L&T has invested around Rs 500 crore in the Parel project. Incidentally, L&T is also the contractor appointed by Omkar to construct slum rehab buildings at Bhoiwada. The construction agreement worth Rs 174 crore was signed in 2011. The construction major, for the first time, is using pre-cast technology normally used for groundplus-three-level structures to construct high-rise buildings of 23 floors.      Omkar has bagged rights to redevelop 10,000 hutments spread across 20 acres in Malad. The company has raised a debt of about Rs 2,000 crore to finance construction of almost 5.5 million sq ft at its Worli and Malad project. WORK IN PROGRESS

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GOVT EASES STRINGENT CONDITIONS Land Acquisition Bill Gets Industry-Friendly

In an attempt to woo industry, govt proposes not to implement law with retrospective effect The government has made key changes to the proposed legislation for land acquisition, making it more attractive for industry by easing some of the stringent conditions, a person privy to the draft told ET. The rural development ministry has proposed to not implement the legislation with retrospective effect, besides relaxing the requirements of consent from landowners, and tightening the definition of market value. The amended Bill has been rechristened 'The Right to Fair Compensation, Resettlement, Rehabilitation and Transparency in Land Acquisition Bill'.  The ministry has also rejected the Standing Committee's recommendation that the government should not be involved in acquiring land for private companies or public-private partnership projects, even in cases where "public purpose" is involved. The changes are aimed at boosting industrial growth, which had suffered because of the enormity of challenges associated with acquiring land, the person quoted earlier said. "The changed economic growth scenario can no longer be ignored in whatever we do. The Bill as it stands now still reflects a fine balance," said a senior official, who did not wish to be named. Since the ministry has dropped the plan to apply the proposed legislation retrospectively, the ongoing projects, for which the acquisition is on but land has not been awarded, will not have to start the process afresh. This has been one of industry's main demands.  Similarly, the government has decided to relax the consent requirement for PPP projects and private companies. Private project developers will now have to obtain the consent of 80% of the landholders, instead of 80% of the project-affected families. The proposed change, if approved by the Cabinet and Parliament, will mean that private developers will have to get fewer people to agree to the acquisition. The ministry's final draft also proposes that the government will have a role in land acquisition where PPP projects or private companies are involved in the "production of public goods or the provision of public services for physical infrastructure, social infrastructure and human development projects including those involving the production of intermediate goods and services for these purposes". Definition of Market Value Amended  The ownership of land acquired for PPP projects will rest with the government. In keeping with the parliamentary panel's recommendation, the Bill determines the minimum compensation but leaves it to the states to set up land pricing commissions to top up the amount and manage the process. In the event that the "urgency" clause is invoked, as may be the case with acquisition for defence purposes, an additional 75% compensation will be provided. The ministry has amended the definition of market value to ensure that the acquisition price doesn't form the basis for compensation and calculation in future acquisitions. The compensation will not be taken as the basis for circle rate for subsequent acquisitions either, ensuring that there is no speculative price spiral. Industry bodies had suggested that solatium or compensation should not be imposed over and above the multiplier on the market rate. The Bill takes that into consideration, keeping compensation at two times the market rate, including solatium, for urban areas. For rural areas, the proposed compensation ranges between two and four times the market rate, including solatium. The exact rate will be determined on the basis of a sliding scale reflecting the distance of the project from urban areas. For families in rural areas closest to urban areas, the compensation will be two times the market rate, and those in areas farthest from an urban centre will get four times the market rate as compensation. The precise slabs of the sliding scale will be determined by the states. In line with the Standing Committee's recommendation, the Bill leaves the issue of setting threshold for the use of multi-crop irrigated land and restrictions on diversion of net sown area entirely to the states.  The amended Bill incorporates the suggestion by the roads ministry and provides for a one-off payment for rehabilitation and resettlement by the acquirer, who will put the entire amount in an escrow. Ongoing commitments such as annuities and benefits will be administered by a state agency.

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US Realtor Trump Ties Up with Panchshil for Pune Residential Project

US-based real estate group Trump Organization has entered into a tie-up with Panchshil Realty to build Trump-branded residential projects in Pune, the companies said in a joint release on Tuesday. This is the American real estate tycoon Donald Trump's third attempt to enter India in over five years. Its first venture in Bangalore was called off while the next one in Mumbai is awaiting civic clearance. However, the construction for the Pune project has started six months ago and it has got all the necessary approvals. Trump Towers Pune will have 44 apartments in two, 22-storey towers, to be built over 2.5 acres in Pune's Kalyani Nagar, around 3 km away from airport. 

Trump Towers Pune is expected to be completed by 2015. "As a brand, we are looking at various cities which give us similar opportunities such as Bangalore, Hyderabad as well as metro cities such as Delhi and Mumbai. Overall, India continues to be an incredible market with a great appreciation for luxury," said Donald Trump Jr executive VP.

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Dharavi consultant awarded 2.85 cr

Mumbai: Mukesh Mehta, who conceived the Rs 5,600-crore Dharavi Redevelopment Project (DRP) in 2004 has been awarded Rs 2.85 crore for his services as a consultant to the state by an arbitral tribunal. 

    The amount includes Rs 1.86 crore fees and Rs 59 lakh which was 5% of the fees withheld under the contract condition as retention money. The tribunal has also directed the state government to pay a 14% interest on both the amounts from May 16, 2011 onwards (the date on which the tender process was cancelled) till the date of realization. According to the agreement terms, Mehta was to receive Rs 14 crore towards pre-tender activities. The government had paid Rs 12.63 crore and had withheld 5% of the amount. 
    In 2004, the DF government approved the DRP, which was at that time estimated at Rs 5,600 crore. Subsequently in November 2008, it appointed Mehta as a project consultant and asked him to undertake pre-tender work. 
    The tribunal has noted that the Mehta's consent to the contract was obtained by financial duress. But it rejected his claim that his remuneration ceiling be ignored. The tribunal noted that it had no jurisdiction to consider claims not covered by the agreement. 
    The tribunal noted that the claimant was not working on the project as a philanthropist. Even the respondent was not treating it as a welfare project. "It (SRA) intended to make profit and this is evident from the agreement where the respondent agreed to give a nice premium to the claimant." 
    The SRA had argued that since the contract was subsisting, Mehta was not entitled to the retention money and it would be returned to him only after post-tender work is completed. The tribunal, however, said the agreement did not stipulate any such condition. Also for two years, no work was undertaken by either party under the contract.

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New flyover to link Kalina, Kurla from Friday

Mumbai: After a three-year wait due to litigations, the 560-m Kurla-Kalina flyover over LBS Marg will be opened to public by chief minister Prithviraj Chavan on Friday. 

    At present, over 50,000 vehicles use the junction during the peak hour as LBS Marg is an important southnorth connector. The proximity of Kurla station adds to the traffic on the stretch. 
    Once the flyover is opened, motorists going towards Santa Cruz and BKC from Kurla station and vice versa will be able to save around 15 minutes of travel time. The flyover spans between Mithi river towards BKC and Kalina. The Old Agra bridge was demolished to pave the way for the flyover, which has been completed at a cost of Rs 16 crore. 
    Some residents and shop owners had objected to the acquisition of their land and property for the project. "The litigation delayed the flyover work by three to four years. Residents of Mhada building and some shop owners towards Kurla had approached court. After compensating and resettling project-affected people four months ago, work picked up pace and the flyover was completed recently," said chief engineer Subhash Nage of the Maharashtra State Road Development Corporation (MSRDC). 
    The construction of the flyover, which is part of the ambitious but much-delayed Santa Cruz Chembur Link road (SCLR), was started in 2005.

SAVE TIME: The flyover over LBS Marg was built for Rs 16cr

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City slum structures have grown 40% since 1995: State

Mumbai: Slum structures in Mumbai have grown by nearly 40% since 1995, as per the state's latest data. An inventory created on the basis of electoral rolls has revealed that there were 10.58 lakh slum structures till 1995. 

    Civic and collectorate officials have conveyed that this number has now crossed the 14.5 lakh mark. In June this year, CM Prithviraj Chavan, who also handles the housing portfolio, had asked officials from the BMC and the collector's office to create a detailed inventory of pre-1995 and post-1995 slum structures on the basis of electoral rolls. He ordered the inventory to find a solution for the slum problem in Mumbai. 
    The Centre has kick-started a 'slum-free' India plan. With Mumbai hosting the most number of slum structures, a concrete and sustainable plan for the city holds the key to the mission's success. On Tuesday, Chavan is expected to convene a crucial meeting, where solutions to certain roadblocks will also be discussed. 
    Based on the latest inventory, Chavan is expected to take a final view on a proposal for recognizing a slum dweller's right to transfer a slum structure. In the run-up to the civic polls, Chavan had announced a decision to relax the eligibility criteria for slum dwellers in new redevelopment projects. While existing development control regulations allow only the original inhabitant of a pre-1995 slum structure to be rehabilitated, an amendment was 
proposed to the rules allowing new occupiers (including those who settled after the January 1, 1995 cut-off date) of such structures to be rehabilitated upon payment of transfer fee. 
    Even as the state invited suggestions on the move, the office of the advocate general advised it to refer the matter to the Supreme Court, where a case regarding slum cut-off is pending. The state administration is of the view that it can implement the move. Officials said Chavan could take a decision in this matter.

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Blueprint to turn Kurla into premier rail hub

Elevated high-speed rail lines, metro lines, a much-delayed link road flyover and an elevated platform deck are all to come up at Kurla over the next decade

    Central Railway has prepared a new blueprint for Kurla station. The reason being that, over the next decade, it is this station that will see more construction in its vicinity - both on the ground as well as at an elevated level - than any other station in the city, or even the country for that matter. 
    At various levels, from 7 metres to 22 metres - equivalent to a six-storey building - construction of elevated high-speed rail lines, metro lines, a much-delayed link road flyover, and an elevated railway deck is to be carried out. 
    Speaking to Mumbai Mirror, CR General Manager Subodh Jain agreed that Kurla's position has made it the focal point of the miscellaneous activities. "Kurla has the potential to become the city's premier rail hub. It is close toKurla Terminus and will be part of the proposed elevated lines, besides the Charkop-Bandra-Mankhurd metro line two. The Santa Cruz Chembur Link Road will also be important for Kurla," Jain said. 
    Currently, the foot-overbridges stand 7 metres above ground. The elevated CST-Panvel rail line will come up between 11 metres and 22 metres above the tracks, as also the Charkop-Bandra-Mankhurd metro line two. 
    The second elevated line - CST to Kalyan - will also come up within this height band on the western stretch of the tracks. On the eastern side, the CST-Panvel elevated line will come up close to the Harbour lines. 
    While the elevated railway and metro lines could take a decade, what CR needs to do more urgently is to tweak the current two Harbour line tracks to make them part of the fifth and sixth Main line tracks. These are crucial to enable longdistance trains roll out of CST and Dadar without disturbing the suburban system. 
    Right now, the fifth and sixth lines run from Vidyavihar to Thane, but the next phase will see them extended fromKurla to CST, or at least till the planned Parel Terminus, in case land acquisition between Parel and CST turns a tricky proposition. 
    "The two Harbour tracks come towards Kurla as a curve on the east. The fifth and sixth lines between Thane and Vidyavihar are also on east. The plan is to disconnect the Harbour tracks in such a way that they automatically become the connection between the fifth and sixth lines coming from Vidyavihar and those lines that will come up from CST to Sion," explained an official. 
    Once this stretch of the Harbour tracks are disconnected, CR will need to build an elevated deck above the current Harbour platforms - No 6 and No 7. This means that Harbour locals will begin ascending the elevated deck somewhere after Chunabhati station, halt at elevated Kurla platforms, and then descend to ground level before reaching Tilak Nagar station, the official said. 
    "All this will call for a tremendous amount of work, that's why a fresh blueprint for Kurla was required," the official added.

Kurla station will see more construction in its vicinity, on ground and elevated level (r) The revised plan for the Metro line

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