Why property prices are sky-high in Mumbai
In a recent development, just six-odd builders and developers hold 70 per cent of the 2.5-3 million sq ft TDR available. The price of TDR has also surged to Rs 2,500-Rs 3,000 per sq ft from Rs 800-1,000 sq ft in the past six months.
TDRs are rights granted by the civic or state agency to a property developer who surrenders land to the government and, in exchange, is allowed proportionate or more development rights on land in the vicinity or northwards. He may sell that property so developed or sell the right itself, the TDR; these are transferable.
Realty sector sources said the Mumbai cartel had meant a rise in TDR prices practically every month. The development is a sequel to a 2008 order of the High Court here, which stayed a state government decision to allow ...more