Practical Ways to Become Successful in Your Building Redevelopment Project

If your building is approaching ~ 40 years of age, the cost of repairs can be substantial. Redevelopment is a viable alternative worth exploring. 

Numerous resources—websites, the MCS Act, YouTube channels, and expert opinions—offer insights into the legal framework, procedures, and best practices. This post focuses on practical strategies for managing a redevelopment project effectively.

Member Profiling for Redevelopment Dynamics

Recommendation: Type 4 (Active Type 2) members are best suited to lead the redevelopment initiative. A respected individual from this group should take charge. Type 2 and Type 3 members may pose challenges and should be approached individually. Type 1 members will likely remain neutral but may support the project once its viability is demonstrated.

Informal Builder Shortlisting

Begin with market research to identify 2–3 potential builders based on:

• Active presence in your locality
• Proven track record of successful projects
• Strong financial standing
• Political and administrative support

Informal Engagement with Builders

Share basic project details—number of flats, carpet area, land size—and request preliminary offers. These informal discussions help establish realistic expectations and benchmarks for the redevelopment proposal.

Informal Member Communication

Present builder inputs to members to foster transparency and build consensus. Be cautious with Type 3 members, who may challenge the quotes and claim better alternatives. Their concerns must be tactfully addressed to maintain momentum.

Transition to Formal Process

While formal procedures are well-documented across various platforms, it’s essential to:

• Follow the process meticulously, ensuring no procedural gaps
• Understand that decision-making precedes formal execution
• Shortlist 2-3 builders informally before initiating the formal selection process
• Select one of the short listed builders 

Important: The formal process should validate and finalise a builder already identified through preliminary research— not be used to discover one from scratch.

Government Gazettes related to Co-operative Housing Societies

Below is a list of gazettes pertaining to Co-operative Housing Societies. These can be accessed via the View Gazettes website. Please note that unlike GRs, gazettes do not carry a unique reference number. Instead, each gazette is identified by a combination of its year and Gazette no.

To search effectively, follow these steps:

1. Enter the value from Column C into the Section field.
2. Use the Column B date as the From Date.
3. Set the To Date as one day after the From Date.
4. Click Search.

Once the results appear, you’ll need to manually identify the relevant document. You can do this by checking for either the document number or the presence of the word 'co-operative' in the search results.

Kindly use a desktop or laptop instead of a smartphone for easier and more efficient searching. 

You can also download the spreadsheet for future reference.

The list isn’t complete—so if you know of any Gazettes that aren’t mentioned, feel free to share it with me.

Government Resolutions related to Co-operative Housing Societies

Here’s a list of GRs related to Co-operative Housing Societies. You can search them up on the GR website using their unique codes. The list isn’t complete—so if you know of any GRs that aren’t mentioned, feel free to send over their codes. All GRs are in Marathi.

Kindly use a desktop or laptop instead of a smartphone for easier and more efficient searching. 

You can also download the spreadsheet for future reference.

Outdated Bye-laws - Paid-up Share Capital

In a co-operative housing society, the share capital is nominal when compared to the actual value of the building and individual flats. Its purpose is not to fund construction or property acquisition, but to serve as a legal mechanism for establishing membership and enabling democratic governance, in keeping with co-operative principles. Essentially, it functions as a symbolic and statutory tool—not a financial instrument.

Given this limited role, there is a strong case for adopting an alternative method to confer legal membership. The current practice of issuing share certificates adds unnecessary clutter to the balance sheet and creates confusion due to the terminology, which resembles equity shares of listed companies. Further complicating matters, the balance sheet includes an entry for authorised share capital—a figure that, misleadingly, has no bearing on the actual financials. It took me years to realise this disconnect.

A more practical and transparent approach would be to issue a straightforward membership certificate. Upon transfer of ownership, the outgoing member’s certificate would be cancelled, and a new certificate—with a unique running number—would be issued to the incoming member. This would simplify record-keeping, reduce accounting ambiguity, and better reflect the true nature of membership in a co-operative society.

Outdated Bye-laws - Resignation by a Member

 As per Bye-law No. 27(a) or MCS Act 26, a member of a co-operative housing society is permitted to resign. However, this provision appears impractical in certain real-world scenarios. Consider a situation where an individual owns a flat in the society and is dissatisfied with decisions made by the Managing Committee or the General Body. If this person resigns from membership, what are the implications? Can the society bar them from accessing their own premises? Is it empowered to liquidate their property and retain the proceeds?

In reality, ownership of the flat precedes and supersedes society membership. A discontented member is more likely to sell their flat and relocate to another society than to simply resign. 

This highlights a fundamental disconnect between statutory provisions and practical realities. It is imperative to revisit and revise the Act, Rules, and Bye-laws to reflect this hierarchy and ensure legal coherence.

The Complete List of Lawyers for Housing Society Matters

 We’ve put together a list of lawyers experienced in co-operative housing society matters. You’re welcome to engage them based on your needs. The spreadsheet can be downloaded for future reference.

The Complete List of Vendors Providing Civil Engineering Services in Mumbai Area

Looking for civil engineering services in Mumbai? We've put together a list of vendors in your area. You can check who's closest to you by using your PIN code, and even download the full spreadsheet for reference.

Services may include:

• Structural audits
• Stability and feasibility reports for redevelopment
• PMC support
• Non-destructive testing
• Civil repairs, painting, and waterproofing

Each vendor offers different services, so do reach out to them directly to know more.