Chapter XVI: Redevelopment of Society Property

Bye-law 150. Redevelopment of Society Property

(a)The Society may undertake redevelopment of its property, including the land, building or buildings, appurtenant areas and common facilities, by way of—

(i)redevelopment through a developer;

(ii)self-redevelopment;

(iii)cluster or group redevelopment;

(iv)redevelopment through a federation or apex body, where permissible; or

(v)any other lawful mode of redevelopment permitted under applicable law.

(b)Every redevelopment shall be undertaken strictly in accordance with—

(i)the Government Directives issued from time to time under Section 79A of the Maharashtra Co-operative Societies Act, 1960;

(ii)the Maharashtra Co-operative Societies Act, 1960 and the Rules made thereunder;

(iii)the applicable Development Control and Promotion Regulations;

(iv)the Maharashtra Regional and Town Planning Act, 1966;

(v)the Real Estate (Regulation and Development) Act, 2016, wherever applicable;

(vi)all other applicable laws, Government policies and statutory permissions.

(c)The General Body shall be the supreme authority for every policy decision relating to redevelopment.

(d)The Managing Committee shall act only as the executive body for implementation of the decisions of the General Body.

(e)The Society shall ensure transparency, fairness, equal treatment of Members and proper disclosure throughout the redevelopment process.

Bye-law 151. Initiation of Redevelopment

(a)The redevelopment process may be initiated—

(i)by the Managing Committee; or

(ii)upon a requisition made by the Members in accordance with the Government Directives.

(b)Upon receipt of such proposal, the Managing Committee shall convene a Special General Body Meeting within the period prescribed by the Government Directives.

(c)The notice of the meeting shall clearly specify the agenda relating to redevelopment and shall be issued in the manner prescribed under these Bye-laws and the Government Directives.

(d)Before placing any proposal for redevelopment before the General Body, the Managing Committee shall collect and place all relevant technical, financial and legal information necessary to enable the Members to take an informed decision.

Bye-law 152. Preliminary Assessment

Before deciding redevelopment, the Society shall, as far as practicable, examine—

(a)the structural condition and remaining useful life of the building;

(b)the feasibility and estimated cost of structural repairs and major repairs;

(c)the feasibility of redevelopment;

(d)the feasibility of self-redevelopment and redevelopment through a developer;

(e)the planning potential of the property under the applicable Development Control Regulations;

(f)the financial implications, risks and expected benefits of each option;

(g)all other relevant factors affecting the long-term interest of the Society.

Bye-law 153. Appointment of Architect / Project Management Consultant

(a)Where considered necessary, the Society shall appoint an Architect or Project Management Consultant with the approval of the General Body.

(b)Such appointment shall be made in a fair, transparent and competitive manner in accordance with the Government Directives.

(c)The General Body shall approve the scope of services, professional fees and terms of appointment.

(d)The Architect or Project Management Consultant shall function as an independent professional advisor to the Society and shall act in the best interest of the Society.

(e)No Architect or Project Management Consultant having a conflict of interest with the proposed developer, contractor or any other project participant shall be appointed.

Bye-law 154. Duties of the Architect / Project Management Consultant

The Architect or Project Management Consultant shall, subject to the terms of appointment—

(a)examine the title documents, plans, statutory approvals and other records relating to the property;

(b)identify deficiencies requiring rectification before redevelopment;

(c)prepare feasibility reports, project reports, estimates, tender documents and other technical documents;

(d)advise the Society regarding self-redevelopment and redevelopment through a developer;

(e)assist the Society in obtaining statutory approvals and permissions;

(f)assist the Society in evaluation of bids and selection of the developer or contractor;

(g)supervise the implementation of the project in accordance with approved plans and applicable law;

(h)monitor quality, progress and timelines;

(i)certify work, measurements and stage-wise payments, wherever required;

(j)periodically submit factual progress reports to the Managing Committee and General Body;

(k)perform such other professional duties as may be entrusted by the Society.

Bye-law 155. Due Diligence before Redevelopment

Before commencement of redevelopment, the Society shall, wherever applicable—

(a)verify the title and property records;

(b)complete conveyance or deemed conveyance;

(c)verify approved plans, Occupation Certificate, Completion Certificate and other statutory approvals;

(d)review pending litigation or encumbrances affecting redevelopment;

(e)update statutory records of the Society;

(f)recover outstanding dues, as far as practicable;

(g)take such further steps as may be necessary for successful implementation of the project.

Bye-law 156. Feasibility Report

The Architect or Project Management Consultant shall prepare a feasibility report covering, as applicable—

(a)legal and title aspects;

(b)planning and development potential;

(c)structural condition of the building;

(d)comparative analysis of repairs and redevelopment;

(e)comparative analysis of self-redevelopment and redevelopment through a developer;

(f)financial feasibility;

(g)project implementation schedule;

(h)rehabilitation, transit accommodation and other Member-related aspects;

(i)project risks and mitigation measures;

(j)such other matters as may be relevant for decision making. The feasibility report shall be placed before the General Body before taking any final decision regarding redevelopment.

Bye-law 157. Decision of the General Body

(a)The General Body shall consider the feasibility report and all relevant information placed before it.

(b)The General Body shall decide—

(i)whether redevelopment shall be undertaken;

(ii)whether redevelopment shall be by self-redevelopment or through a developer;

(iii)whether to appoint the necessary professionals;

(iv)whether to authorise the Managing Committee to undertake further steps.

(c)Every decision shall be taken only in accordance with the Government Directives and applicable law.

Bye-law 158. Self-Redevelopment

(a)The Society may undertake self-redevelopment in accordance with the applicable Government policies and directives.

(b)The General Body may appoint such Architects, Engineers, Project Management Consultants, Contractors, Legal Consultants, Chartered Accountants and other professionals as may be necessary.

(c)Separate books of account, bank account and project records shall be maintained for the self-redevelopment project.

(d)All borrowings, expenditure and financial commitments relating to the project shall require prior approval of the General Body, unless otherwise authorised by it.

Bye-law 159. Redevelopment through Developer

(a)Where redevelopment is undertaken through a developer, the Society shall ensure a transparent and competitive process for selection of the developer in accordance with the Government Directives.

(b)The terms and conditions of redevelopment, including the Development Agreement and all other project documents, shall be approved by the General Body before execution.

(c)The Managing Committee shall periodically monitor the progress of the project and place the progress reports before the General Body.

Bye-law 160. Transparency and Member Participation

(a)The Society shall maintain complete transparency throughout the redevelopment process.

(b)Members shall be kept informed of all material developments through notices, meetings, electronic communication or any other mode approved by the General Body.

(c)The Society shall maintain complete records of all notices, resolutions, reports, tenders, comparative statements, agreements, statutory approvals, correspondence and other documents relating to redevelopment.

(d)Every Member shall be entitled to inspect the redevelopment records and obtain copies in accordance with the Act, Rules and these Bye-laws.

(e)The Managing Committee shall periodically place before the General Body a report on the physical and financial progress of the redevelopment project until completion.

Bye-law 161. Compliance with Government Directives

If any provision of this Chapter is inconsistent with any Government Directive issued under Section 79A of the Maharashtra Co-operative Societies Act, 1960 or any statutory provision governing redevelopment, the Government Directive or statutory provision, as amended from time to time, shall prevail to the extent of such inconsistency.