Mr. Punit Agarwal, CEO, Nirvana Realty shares views on Mumbai's Development Plan 2034

1. DP plan is all set to boost development of Real estate sector? Comment?
We welcome the implementation of the new DP plan. The new DP Plan will have provision to create affordable housing and boost slum redevelopment after simplifying procedures. This DP plan is eagerly awaited by the real estate community. This will not only boost the real estate sector but also help the consumer get more value out of their investment. As higher FSI have been sanctioned by the authorities and by this the developer can provide more facilities at the same cost. Due to the DP plan there will be more supply of units coming into the market which will further reduce the price.

2. The success of the earlier DP plan?
The earlier DP plan would have succeeded to some extent but it was not up to the demand of the city due to the population growth was much higher than what was estimated. This led to disorder in planning and so it couldn’t control the rates of the flats. The height restriction in earlier DP plan used to cause a problem and the files were moving very slowly. This all setbacks are revised in the new DP plan and so we are expecting a new era in the real estate industry.

3. Under DP plan what type of projects would get a boost?
With the new DP plan, affordable housing that was only outside the city is now available inside the city. People have begun to make smaller unit inside the city as more and more people are migrating to Mumbai. Through this new DP plan, people can look out for affordable accommodation (owned or rental) with smaller area like a studio flat or a 1 BHK apartment. With increase in the FSI, builders like us will be able to provide more amenities like a clubhouse, swimming pool, Play areas and many more.

4.  Recently, Supreme Court lifted a two-year-old moratorium on new construction in the Mumbai city, your comments.
The recent lift of a two-year-old moratorium on new construction in the Mumbai City by the Supreme Court has led to a sense of relief among the real estate community. Due to this ban everyone was apprehensive as the project will add up on the interest cost overhead and construction will be stalled due to this order. But now with the lift, the developer will be able to concentrate on completing their projects so they can be handed over to the customers on time and even look forward to new plans for the future. So over all, it’s good news for a real estate sector.