MUMBAI
DCPR
2034
What should you know?
QUIKR REALTY RESEARCH
MUMBAI DCPR 2034: WHAT SHOULD YOU KNOW?
Introduction
Development Control and Promotion Regulation Earlier, known as the Development Control
(DCPR) is a public document that entails the . Regulation (DCR), the word ‘promotion’ has
rules and regulations for all kinds of ongoing been added to the title of the development
and future real estate developments in the city. plan. This clearly shows the intention of
This document provides an insight into bridging local urban body to promote the
the gap between the current state of the city commercial and various other
and its future state. Owing to its importance, developments through issuing higher FSI
DCPR is a comprehensive document articulated
and encouraging establishments such as
with rigorous and holistic analysis of the
Smart Fin Tech.
infrastructure, demographics, financial and
economical environment of the city.
Mumbai DCPR is applicable to the areas
prescribed under the Municipal
Mumbai, being one of the most valued real
Corporation of Greater Mumbai (MCGM).
estate markets in a developing country like
As a city’s development is also people’s
India, needs a thoughtful and robust
development, considerable time was given
development plan to sustain its growth
to the public for their suggestions and
potential. The work on Mumbai’s development
objections regarding the provisions of the
plan started a few years ago and then,
development plan. This ensured public
ultimately in the month of November 2018, the
participation in Mumbai’s Development
much-awaited Mumbai DCPR 2034 was
Plan adding to the accountability and
implemented by issuing a corrigendum.
transparency factor.
MUMBAI DCPR 2034: WHAT SHOULD YOU KNOW?
Mathematically, Floor
Space Index is the ratio of
the total area of the
Floor building to the total area of
the plot. Basically, it
indicates the development
potential of the real estate
Space
project. FSI is indicated by
the government keeping in
mind various factors such
as infrastructure,
Index (FSI)
population density, etc. The
new DCPR has kept FSI in
proportion to the road
width i.e. FSI increases with
increase in road width.
FSI calculation is on the net plot area Apart from the permissible FSI,
excluding roads, reservations & other area developers can opt for additional
to be surrendered. Area of Layout Open FSI, admissible TDR and fungible FSI in
Space (LOS) is not to be deducted from exchange for payment of the premium.
FSI. This helps developers to construct
The maximum permissible FSI that can be more on the land.
availed in the island is 3. Premium FSI is For fungible FSI the charges are as
being permitted in the island city for the follows -
first time. 1) 50% OF Ready Reckoner rates for
For industrial projects, the basic FSI is 1 residential projects
and no TDR is permissible to be used in 2) 60% OF Ready Reckoner rates
the industrial real estate as per the DP. for commercial & industrial -
* Permissible FSI does not include additional FSI and admissible TDR.
MUMBAI DCPR 2034: WHAT SHOULD YOU KNOW?
Transfer of Development
Transfer of Rights are tradable
certificates with
development or
construction rights as the
Development
underlying. With TDR,
developer can construct
additional space over and
above the permissible FSI.
Rights (TDR)
TDR is an important
instrument frequently used
by developers to construct
additional salable area.
Following are the major changes in TDR as is less than 1.00. Also, in CRZ (except
per the new DCPR 2034 - in cases where TDR is permitted as
per CRZ Notification of 2011 &
TDR will now be permissible for use in the
subsequent amendment from time to
island city, which was not allowed earlier.
time).
However, the use of TDR is not
permissible in industrial zone. The revised TDR provisions will bring
If the developer is using TDR for its real about a major cheer among the
estate project, then it is mandatory for developer community as they can now
developers to buy minimum 20 per cent use TDR in the island city as well. This will
and maximum 50 per cent of it from slum ensure uniform development across the
rehabilitation (SRA) projects. city of Mumbai. There is a cap and floor
The TDR generated in case of land assigned to the usage of slum TDR, so
surrendered to the government for a public developers need to look at other types of
project has been increased to 2.5 times of
TDR as well like road TDR, reserved plots
the land area for the island city and 2 times
TDR and heritage TDR. Also, the land
for the suburbs
acquisition for government projects are
Utilization of TDR Not Permitted : Areas
likely to be fasten as the TDR generated
in SDZ , MMRDA, MHADA , MPT or any
in the process has increased to 2-2.5
other planning authority appointed by
times as compared to 1 time.
GOVT, and areas where zonal (basic) FSI
MUMBAI DCPR 2034: WHAT SHOULD YOU KNOW?
Redevelopment is an
Re- important part of the real
estate ecosystem as it
ensures new supply to the
existing real estate market.
development
For a city like Mumbai,
redevelopment is an
indispensable process as it
contributes considerably
towards restarting the real
estate market cycle.
The provisions for redevelopment under permissible without the payment of
the DCPR 2034 are - any premium. Remaining FSI can be
taken by paying the premium or
For redevelopment of a building there is availing TDR.
no requirement of building to be In case if the project is part completed,
dilapidated. The minimum age of the then provisions of DCPR 2034 can be
building for redevelopment should be 30 used in the remaining part of the
years. project.
For carrying out a redevelopment of
MHADA and cessed building, only 51% of Redevelopment plays an essential part
consent is required as compared to 70% towards the urban development of
earlier. Mumbai. Hence, DCPR 2034 has given
Carpet area for rehab flat has also special focus on the redevelopment of
increased across the regulations to 27.88 buildings in Greater Mumbai. To name a
sq m. few, provisions such as reduction in the
When MHADA is redeveloping the plot, all consent required and increase in the
balance built-up area after rehab shall be carpet area are likely to provide impetus
with MHADA, hence mention of incentive to the redevelopment of buildings.
and MHADA share has been deleted. Promoting developers and encouraging
For construction of new building, built- society for redevelopment seems to be
up area to the extent of 15% of previous the primary focus of MCGM.
built-up area or 10 sq.m per tenement is
MUMBAI DCPR 2034: WHAT SHOULD YOU KNOW?
Affordable Affordable housing has
been the talk of the town,
ever since infrastructure
housing in
status was granted to it.
Right from the Budget of
2018-19 to the new
development plan of
Mumbai, affordable
DCPR 2034 housing has made its
presence vividly.
Provisions mentioned above such as One of the key highlights of the DCPR
additional FSI in the island city and 2034 was to allow the construction of
suburbs, ease in redevelopment norms, affordable house in SDZ(Special
etc. are likely to add affordable inventory Development Zone). A minimum of 2.0
to Mumbai’s real estate. hectares of contiguous, unbroken and
For construction of affordable housing uninterrupted land should be available.
on public or private plot, the minimum Owners might also pool their land to
area provided by the developer is 25 sq. create atleast 1.0 hectare or more, in
m. Consequently, developers do not case if the land owner has area less
have to pay any premium for the than 2.0 hectares.
fungible FSI towards the development
of affordable housing.
Development of Affordable Housing (AH) / Rehabilitation & Resettlement (R & R) on private plot or plot of authority
other than Govt. / MCGM / Appropriate Authority
MUMBAI DCPR 2034: WHAT SHOULD YOU KNOW?
Developer needs to evaluate the As the result of including affordable housing in
infrastructure requirements such as SDZs, more than 2000 hectares of land is
roads, water supply, etc , prior to the expected to be unlocked. On this,
submission of the proposal for real approximately 10 lakh affordable housing units
estate development. For making the are expected to be constructed.
proposal, developers need to have
following considerations Hence, the city of Mumbai is expected to have
a lucrative market for affordable housing
backed by the potential infrastructure in
medium to long term.
Other key points
Other key highlights of the DCPR 2034 are - Upon the fulfillment of pre-defined
conditions, an industrial zone can be
Smart Fin Tech Centers are in focus as
converted into commercial or residential
per the new DCPR. Additional FSI of
on the payment of 20% of the ASR.
200% (over and above the permissible
No permission from the high-rise
FSI) would be available specifically to
committee would be needed for the
Smart Fin Tech Centers as incentive. It construction of building up to the height
should be noted that for smart fin-tech of 120 meters, earlier the permissible
centers the premium charged for height level was up to 90 meters. Just
additional FSI is at a rate of 40% of like FSI, the permissible height of the
ASR. building is linked with the road.
Cluster Development Scheme (CDS) or Several new chapters have been
redevelopment of the cluster of introduced in the DCPR such as a
building or structure is applicable in chapter on environmental sustainability,
suburbs and extended suburbs of recognition of green building,etc.
Mumbai, for minimum area of 6000 In case of any discrepancy between the
sq. m. The FSI up to 4 is permissible in National Building Code (NBC) of India
such scheme. Slums can also be a part and Development plan, the stricter law
of CDS, given that they comprise not which is usually NBC will prevail.
more than 50% of the clustered area.
Much awaited Mumbai DCPR 2034 was
effective from November 2018. Some of
the transition policies has already been
issued by the MCGM. Also, MCGM is
Way
planning to roll-out a new software for
easy understanding and implementation
of the new DCPR. It will ensure smooth
transition and greater understanding of
the DCPR 2034.
Forward
It is too early to comprehend the effect
of the new development plan. Only the
future would ascertain if the DCPR 2034
would bring harmonious and sustainable
real estate development in the city of
Mumbai.
