Mumbai: SRA Proposes Steep Hike In Corpus Fund, Developers May Pay Up To ₹3 Lakh Per Tenement In Tall Rehab Towers

Mumbai: The Slum Rehabilitation Authority (SRA) has proposed a steep hike in the corpus fund collected from developers for every tenement constructed under slum redevelopment projects. The contribution, currently fixed at ₹40,000 per tenement, may rise to between ₹1 lakh and ₹3 lakh, depending on the height of the building.

Since only the state government can amend SRA rules, a notification inviting objections and suggestions from the public was issued on Sept 22.

Safety and Maintenance Guarantee

The corpus fund is meant to cover the maintenance of redeveloped buildings for ten years, during which slum dwellers occupy their allotted homes free of cost. The fund also pays for firefighting systems and other essential safety measures.

At present, developers deposit ₹40,000 per tenement with the SRA. In January this year, the SRA CEO urged the Housing Department to revise the regulation under Mumbai’s Development Plan, arguing that higher contributions are necessary to provide adequate safety in high-rise rehabilitation towers.

Fund Rises With Building Height

As per the proposal, the fund will be ₹1 lakh per tenement for buildings up to 70 metres (about 23 floors), ₹2 lakh for buildings between 70 and 120 metres (roughly 40 floors), and ₹3 lakh for those taller than 120 metres.

Officials explained that when most rehab buildings were limited to seven floors, ₹40,000 was sufficient. But as new projects increasingly involve tall towers, the costs of lifts, additional staircases, firefighting systems and long-term upkeep have risen sharply. Residents, unused to bearing such expenses, often resist paying maintenance charges, leading to rapid deterioration of buildings. “The higher corpus will ensure buildings remain safe and liveable, even when residents cannot contribute,” an SRA official said, justifying the proposed hike.

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