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Chennai residents now have a fix for their aging apartment complex: New redevelopment rules explained

Chennai residents now have a fix for their aging apartment complex: New redevelopment rules explained

Announced by the Housing and Urban Development Department on September 24, these changes strengthen the Tamil Nadu Apartment Ownership Act, which has been in place since March 2024.

Business Today Desk
Business Today Desk
  • Updated Sep 29, 2024 12:24 PM IST
Chennai residents now have a fix for their aging apartment complex: New redevelopment rules explained According to the new rules, apartment owners must first form an association with at least four members.

If you're a resident of Tamil Nadu, and living in an aging apartment complex, this should interest you. The government has introduced new rules to make the redevelopment of old buildings easier and more organized. Announced by the Housing and Urban Development Department on September 24, these changes strengthen the Tamil Nadu Apartment Ownership Act, which has been in place since March 2024.

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For those in older apartments where redevelopment has been stalled due to disagreements or uncertainty, these rules provide a clear path forward. 

From forming an association to securing approvals, the process is now streamlined, offering a much-needed solution for communities looking to revitalize their living spaces. Whether it's upgrading aging buildings or ensuring safer living conditions, these new guidelines give apartment owners the power to take charge of their property's future.

According to the new rules, apartment owners must first form an association with at least four members. This association is responsible for drafting bylaws and getting them registered with the relevant authorities. If there are multiple towers within a single property, a federation can be created, with the presidents and treasurers of each association acting as representatives on the federation’s board.

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To move ahead with redevelopment, the association must pass a resolution. The board of managers will organize a special general meeting, either on their own initiative or upon request by one-fourth of the apartment owners. 

For the redevelopment plan to be submitted to the authorities—like the Chennai Metropolitan Development Authority (CMDA)—written consent from at least two-thirds of the apartment owners is required.

Once the decision for redevelopment is submitted, all apartment owners must be notified in writing within ten days. If any owner is dissatisfied with how the consent was obtained, they have 30 days to file an objection with the relevant authority. If the authority finds that the consent process was flawed, it will direct the association to rectify the issue.

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However, if a building is declared unsafe or unfit for occupancy by the authorities, the association is obligated to act swiftly. A special meeting must be called to appoint a consultant or promoter who will prepare a detailed redevelopment plan for approval.

The redevelopment plan must include all essential details, such as the size of the apartments, alternative accommodation or rent compensation, security deposits, and the specifications of the new building. The plan will also cover amenities, parking, common areas, and approvals from relevant statutory bodies. Additionally, a timeline for the project’s completion must be established.

Once the redevelopment plan is ready, the association must obtain written consent from at least two-thirds of the apartment owners. After that, an agreement with the promoter is finalized, and the complete redevelopment scheme is submitted to the planning authority within 30 days.

These new rules bring clarity to the often contentious issue of apartment redevelopment in Tamil Nadu, especially in cities like Chennai where aging buildings pose safety and infrastructure challenges.

S. Ramprabhu, chairman of the CMDA and DTCP committee of the Builders Association of India, was quoted in a TOI report as saying: "These guidelines provide clear steps on how apartment associations should function and how to tackle redevelopment projects across the state."

Published on: Sep 29, 2024 12:24 PM IST
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