This Article is Published in “The Housing Times, June 25, 2018” issue.
Once the Builder/ Developer gets the IOD & Building Plan Approval for the Redevelopment Project from the Municipal Corporation, the Relocation Planning & Management begins. This is one of the most exciting stage of the Redevelopment project for the Society Members.
The Builder/ Developer submits the copy of IOD & Approved Building Plans to the Society for reference & records. These are very important documents of the Redevelopment project & hence the Project Management Consultant (PMC) of the Society maintains these documents in the safe repository. The PMC maintains the record of first Approved Building Plans & then keeps the track of every subsequent amendment to it.
The copies of IOD & Approved Building Plans are placed before the Special General Meeting of the Society for serious consideration. The Flats allotted for the Society Members are specified clearly on the copies of the Approved Building Plans. The Members present at this Special General Meeting of the Society decide the modalities for allotment of these Flats to the individual Members.
The use of Lottery system for allotment of flats to individual Members is the most preferred method used as it offers fair chance to everybody. For the convenience of special category Members like senior citizen or physically challenged the decision is normally taken to allot them the Flats on the lower floors. After the allotment of the Flats through the Lottery system the members are generally allowed to mutually exchange their Flats among each other.
The allotment of these Flats to the individual Members of the Society is formalized by entering into an Agreement for Alternate Accommodation (Agreement of Allotment of Flat) for all these Flats individually. The Agreement of Alternate Accommodation is a tripartite Agreement between the individual Member, the Society & the Builder/ Developer. This Agreement completely safeguards the interests of the individual Member in the Redevelopment process.
The Agreement of Alternate Accommodation draws its references from the Development Agreement entered between the Society & the Builder/ Developer. It further elaborates on the features offered by the Builder/ Developer to the Flat allotted to the individual Member under the Development Agreement. The Agreement of Alternate Accommodation is required to be appropriately Stamped & Registered before the Competent Authority.
The Registration of Agreement of Alternate Accommodation is very important as it makes the Builder/ Developer responsible to the individual Member also. It also prevents the unscrupulous Sale of the Flat allotted to the individual Member.
On Registration of the Agreement of Alternate Accommodation the individual Member is offered an installment of his share of the Corpus Fund. This installment of Corpus fund is generally offered to take care of the Deposit for the Flat, the Member is planning to rent during the Construction stage of the Redevelopment project. The Builder/ Developer also offers the Members the post- dated cheques for Rent for the Flat as agreed in the Development Agreement & the Agreement of Alternate Accommodation.
The Builder/ Developer also offers the Members 2 separate cheques for the Brokerage of the Rented Flat and the Packing & Moving charges as agreed in the Development Agreement & the Agreement of Alternate Accommodation. On receipt of the Payments the individual Members is ready to move out of his premises to the rented premises.
Society Members exercise various options selecting their accommodation during the Construction stage of the Redevelopment project. Majority of the Members move out to the rented Flats in the vicinity of the Society. Some Members move to faraway places as well. Senior citizen Members move out with their relatives or even visit their children abroad. After all, it’s the choice of the individual Member to shift to a comfortable accommodation.
When all the Members enter into the Agreement of Alternate Accommodation, receive their payouts & move out of their premises, the Society handovers the Builder/ Developer the possession of the entire property for Redevelopment project. The Builder/ Developer then proceeds with the demolition of the Society building.
After the handover of the possession, the Society & its Members have a really limited active role in the Construction stage of the Redevelopment project and the Builder/ Developer becomes solely responsible for the same. The judicious terms & conditions of the Development agreement & the Agreement of Alternate Accommodation are the only tools available for a better monitoring of construction stage by the Society.
The Society Members who have lived a long period of time together get physically dispersed during the construction stage. It is essential to create a strategy to communicate with all the Members & report them the progress of construction. The success of this strategy is of paramount importance to reduce the stress of all the Society Members & to maintain their wellbeing.
Sanjay Geete