Notification of apartment development rules paves the way for residential benefits

– by Varsha V.

In a much-welcome move, the Government of Tamil Nadu recently notified the Tamil Nadu Apartment Ownership Act which clarifies the guidelines under which ageing apartment buildings can be redeveloped. Under the new rules, apartment owners must establish an association with at least four owners. The association will be responsible to draft bylaws and register the body with the relevant authorities. A board of managers must then be formed, constituting at least one-third of the number of apartment owners; following which, a special general meeting should be convened to pass a resolution on the redevelopment of the apartment. The written consent of at least two-thirds of apartment owners will count as successful, allowing the residents to proceed with the next steps for redevelopment. This is a key development, for a small number of residents can no longer veto the plan and hold back redevelopment. In the case of dilapidated buildings that pose a hazard to residents, certification from the appropriate authority is sufficient to greenlight the project. Given that many apartments in the city show the strain of years gone by, Chennai can expect to see a flurry of construction over the next couple of years as old residential buildings choose to go in for redevelopment.

Apart from revitalizing the city, redeveloping old buildings can work out very well for residents as well as the larger community.

For one, the old structure can be improved upon to offer a better quality of life to the residents. Ageing properties demand near-constant maintenance, and structural repairs can help extend the life of a property only by a few years – it only postpones the inevitable, for bigger issues like weakened walls and seepage cannot always be addressed satisfactorily. With redevelopment, residents will gain from a decrease in maintenance costs; further, they can plan to build new facilities that were absent from the old structure such as expanded parking spaces, wheelchair-friendly premises, intercom facilities, concealed plumbing and the like.

In fact, apartments with space at their disposal are exploring plans for upgraded conveniences such as a clubhouse, a gym or a walking path. Redevelopment also offers the opportunity to integrate eco-friendly and sustainable elements in their new apartment, including solar panels, better facilities for segregated waste management, or even simply the inclusion of more greenery on the premises. Residents can build a new home with all the desired modern facilities while benefiting from a surge in the value of their properties, especially those currently located in prime urban locations.

For another, Chennai stands to gain more houses for its citizens, and not just in its suburbs or outskirts, either. A considerable proportion of redevelopment involves the construction of additional flats in the apartment, courtesy of the increase in FSI (floor space index). This means that the city and community stand to benefit from an additional supply of reasonably affordable housing in premium locations.

There are, however, a few issues that still need to be addressed. For one, there is the real risk of delayed deliveries or abandoned projects from financial mismanagement on the part of the developer; unfortunately, a fairly common problem faced by many across the country. Chennai’s apartment owners will benefit from educating themselves on the legal and financial best practices involved in managing housing redevelopment projects, especially considering that these tend to take at least two to three years to come to fruition.

There’s also the problem of FSI violations. There are cases where old and ageing buildings have been constructed with floor space indexes that exceed their official approval. This poses a conundrum for apartment owners, for while some have flats within the official FSI, their neighbours have homes that are not part of the approved plan. There is little clarity on the resolution of these cases. In a conversation with Citizen Matters, M. Sadhanand, a Town Planning and Development Consultant recommends that the government establish a quicker grievance redressal mechanism. “In many cases, we have seen the apartment owners approaching the court for legal remedy and it takes years to resolve the case. A mechanism to resolve such complaints faster is necessary,” he says.

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