Maharashtra govt orders strict action against builders over MHADA homes

Mumbai: The Maharashtra government has directed officials to initiate stringent legal action against developers who fail to hand over homes reserved for the Maharashtra Housing and Area Development Authority (MHADA) under statutory provisions.

Merely registering FIRs against errant developers is not enough, and officials should pursue stricter legal action against them, said Skill Development, Employment, Entrepreneurship and Innovation Minister and Mumbai Suburban Co-Guardian Minister Mangal Prabhat Lodha.

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“If necessary, send them to jail. Strict action against a few violators will act as a strong deterrent and ensure greater compliance, making at least 1,000 additional MHADA homes available for allotment at the earliest,” Lodha said, adding that action against a few defaulting builders could make at least 1,000 additional affordable homes available for allotment.

Developers availing themselves of additional development rights are required to hand over homes reserved for the state government’s housing body, MHADA, under statutory provisions. However, in several cases, these homes have not been transferred for years, delaying their allotment to eligible beneficiaries.

Lodha also proposed setting up advisory committees within MHADA, modelled on citizen advisory committees constituted in municipal wards. The committees, comprising local public representatives, housing experts, architects, representatives of non-governmental organisations and other stakeholders, are aimed at strengthening engagement between citizens and the housing authority and helping resolve local issues.

The directions came during the Mumbai Housing and Area Development Board’s computerised lottery for 2,640 homes.

According to Minister of State for Housing Pankaj Bhoyar, the lottery received 75,127 applications, translating into an average of 28.54 applications per home. He said the response reflected continued demand for affordable housing and public confidence in MHADA’s computerised lottery process.

MHADA Vice President and Chief Executive Officer Sanjeev Jaiswal said the Mumbai Board lottery was conducted in line with the government’s decision to hold at least one lottery every year.

He said MHADA’s regional boards had conducted nearly 25 lotteries over the last three years, making around 50,000 homes available to citizens.

According to Jaiswal, the government has set a target of constructing 30 lakh homes in the Mumbai Metropolitan Region under the Growth Hub initiative. Of these, 22 lakh homes will be developed through the Slum Rehabilitation Authority, while 8 lakh homes will be constructed by MHADA and other agencies. MHADA alone has undertaken the target of developing more than 7.5 lakh homes.

Group redevelopment projects covering 925 acres in Mumbai aim to rehabilitate around 65,000 residents over the next seven years. These projects are expected to generate around 30,000 homes for MHADA and more than one lakh homes for developers, he said, adding that MHADA is also developing a rental housing portal for Mumbai.

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Under Pradhan Mantri Awas Yojana (Urban) Phase I, nearly four lakh homes have been constructed in urban Maharashtra, while around six lakh beneficiaries have received support under the Credit Linked Subsidy Scheme. Under PMAY-U 2.0, nearly two lakh homes have already been approved under the Beneficiary-Led Construction and Affordable Housing in Partnership components.

The next Mumbai Board housing lottery is expected to be announced in January-February 2027.