Although the current amendment Gujarat The Ownership Flats Act (1972) was enacted in September 2018, it was in December 2019 that the Urban Development Department had clearly stated that the redevelopment clause also applies to housing societies governed by the Gujarat Cooperative Act. However, as there was no office order from the cooperative department, many district registrars were reluctant to accept the redevelopment proposals of cooperative housing societies.
Meanwhile, major issues are arising from situations where 25% of residents do not agree to redevelopment. Surendra Shah of Vaikunth Samaj in Maninagar says, “In the existing GoF Act, there is a need to clarify the legal procedures in cases where 25% of the members of the society do not consent to the redevelopment.”
Residents of Shree Vivekananda Society in Jodhpur are also facing a similar problem, where the developer has been paying transit rent for all 76 members for the past two years, but the project is yet to start as two members disagree.
A huge potential also lies in the many societies created by the Gujarat Housing Board. Recently, the state approved Gujarat Housing Board’s proposal to convert housing units from leasehold to freehold on payment of a certain Jantri amount. Apart from generating income for the state government, the move will also pave the way for residents to own properties they currently hold on lease. The sale of these properties will not only bring higher income to the residents, they can also opt for redevelopment.
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