We understand the redevelopment is most critical, risk oriented process in lifespan of society. Society members have to go through huge problems & worries during the decision making process. But with help of good project management consultant this process will reduce worries of all members. The process must have following factors.
For a successful redevelopment society must go through following process.
In restoration, the existing building is extensively repaired and restored to its original condition. In redevelopment, the existing building is demolished and new structure/building with prevailing bye laws & additional FSI/TDR is constructed.
In case of apartment (registered under association of apartments) a written consent is required from each & every member. But in case of housing society a written consent from 51% members is required for redevelopment. (As per govt. GR)
If all the members of the society do not give their consent for redevelopment, then permission for redevelopment will not be granted by the concerned authorities like the dy. Registrar of co-operative societies.
Consent obtained from the members is irrevocable and embossed with rs.100/- stamp. Hence, once consent is given by a member, it cannot be revoked. Only if a member has a strong reason to retract his consent, then he has to follow the legal procedure for proving his point of discontent for retracting his consent.
It depends on what proportion of minority is stalling the development and the reasons behind stalling the project. If the reasons for stalling the project are strong, then redevelopment cannot proceed unless the issues with them are settled.
No member of the society can hold the society to ransom on flimsy grounds. The society will have to initiate action against such members.
Then society can issue show cause notice to the members and take action even to the extent of expulsion from the society.
The general body has the powers to decide on this issue. Appointing a redevelopment committee is not mandatory but is highly recommended to ensure transparency in the dealings.
The general body has to decide on the powers to be allocated to the redevelopment committee. Generally the following powers are to be given to the redevelopment committee:
To approve or reject the proposal placed before them by the managing committee of the society.
To give suggestions, if any, regarding the proposal placed before them by the managing committee.
Generally the tenure of the redevelopment committee should be from the start of the project to the completion of the project to ensure the continuity of the control of the project.
The election rules are not binding on the redevelopment committee. They should be selected by the general body from amongst senior members of the society who are educated to read and understand the various documents and have active interest in redeveloping the society.
If the general body feels that a member of the redevelopment committee or the entire redevelopment committee acts to the detriment of the interests of the society and obstructs the working of the managing committee in carrying out redevelopment, then on the recommendation of the general body, the tenure of a member a redevelopment committee or the entire redevelopment committee can be terminated.
The office bearers of the society are requested to follow the following steps for redeveloping their premised successfully.
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.
When a society should consider redevelopment
The 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.
On receipt of requisition for calling the meeting, the managing committee of the 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.
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)
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.
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.
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:
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.
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.
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.
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
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.
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.
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.
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.
Either Project management consultant or separate agency must be appointed for supervision. This supervision includes many things but few of them are mentioned below.
For successful completion of redevelopment, the office bearers of the society should be aware of the documents to be kept ready and the documents to be obtained from the builder