Chief minister Prithviraj Chavan has now revised the policy and reduced the FSI to three. Local civic corporations in the MMR region complained FSI four would put an unbearable load on their infrastructure as many developers had planned to build high rise buildings in such areas.
The plan was to be implemented in the Mumbai Metropolitan Region (MMR), but never took off in the past five years because the unusually high FSI of four offered to builders would have strained the civic infrastructure. FSI defines how much can be build on a plot. FSI 4 means one can construct 4,000 sq m on a 1,000 sq m plot.
Housing experts had warned the population density would have increased alarmingly with such high FSI. It would have led to 1,200 flats coming up on just one acre of land. Now with FSI 3, the number of flats will be around 600. The government also realised there would be few takers for rental flats which are just 160 sq ft each in size. It has now increased the size to a more liveable 320 sq ft.
Under the new model, developers will utilise FSI 1 to build tenements for rental housing and hand them over free of cost to the government. As compensation, developers can utilise the remaining FSI 2 to build houses that they can sell in the open market.
The rental housing scheme is crucial because it will offer some hope to lower and middle-income people who cannot afford a home in Mumbai, where property prices are some of the highest in the world.
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