Article by posted on Dec 17, 2024 When Old Buildings Cannot Redevelop - Challenges in South Mumbai's Real Estate Older buildings in South Mumbai that lack scope for redevelopment face a range of outcomes influenced by structural conditions, legal frameworks, and market demand. Here’s a detailed breakdown of possibilities:1. Structural Repairs and MaintenanceWhy: Buildings that cannot be redeveloped due to space or legal constraints might undergo extensive repairs and strengthening works.Outcome: This can extend the building's life for several decades, but periodic repairs will be necessary.Challenges: Higher maintenance costs and resistance from occupants to contribute financially.2. Cluster Redevelopment InitiativesWhy: For buildings with limited individual redevelopment potential, cluster redevelopment can combine several old buildings or plots into one large redevelopment project.Outcome: Developers are incentivized to create modern infrastructure while providing residents with new homes.Example: Parts of Girgaon and Kalbadevi have seen such efforts under Mumbai’s Cluster Redevelopment Policy.3. Change of Use for Commercial PurposesWhy: Buildings unable to attract residential redevelopment might be converted for commercial purposes like offices, warehouses, or boutique hotels.Outcome: This can generate better returns for landlords or societies.Example: South Mumbai’s historic buildings have already seen adaptations for cafes, co-working spaces, and small retail.4. Dilapidated Structures May Be CondemnedWhy: If a building is structurally unsound and cannot be redeveloped or repaired, municipal authorities may deem it unsafe.Outcome: Residents are evacuated, and buildings are demolished. The land may remain vacant for years until stakeholders resolve redevelopment issues.5. Tenancy-driven StalematesWhy: In many old buildings, existing tenants (under rent control laws) pay negligible rents. This creates resistance towards redevelopment and economic unviability for developers.Outcome: Buildings deteriorate further, turning into "camps" for legal disputes and disrepair.Challenge: Government intervention may be required to resolve disputes and incentivize redevelopment.6. Heritage RestorationWhy: Buildings classified as heritage structures might be preserved through government or private funds.Outcome: Conservation efforts retain architectural legacy while converting parts into tourist attractions or adaptive reuse projects.Example: Iconic heritage buildings like Ballard Estate and Fort are models for restoration.7. Government Policies and InterventionWhy: The Maharashtra government is increasingly focused on policies like the MHADA repair and redevelopment schemes or Slum Rehabilitation Authority (SRA) to rejuvenate older structures.Outcome: Incentives such as additional FSI (Floor Space Index) may be offered to make redevelopment financially viable.SummaryFor old buildings in South Mumbai that lack redevelopment scope:Maintenance or repairs will become the first solution.Cluster redevelopment or collective initiatives might offer a lifeline.Heritage restoration could preserve certain iconic structures.Buildings beyond repair may face demolition, leaving stakeholders in limbo.Ultimately, a combination of government policies, cooperative efforts from owners, and market forces will decide their fate.Picture Courtesy: Pranshu Dubey - Pixeldo AUTHOR