With eye on BMC polls, state govt won’t amend the rent act
Two weeks after it decided to revive plans to amend the Maharashtra Rent Control Act, 1999 and lift the freeze on the rent for old properties in Mumbai, the Bharatiya Janata Party (BJP)-led state government beat a hasty retreat on Thursday. Fearing stiff political opposition ahead of the 2017 civic polls, the government withdrew its plans to amend the controversial legislation.
State housing minister Prakash Mehta said there was no such proposal under the government’s consideration, two weeks after chief minister Devendra Fadnavis chaired a meeting in which the proposal was given a nod. The amendment would have increased rents for homes above 860 sqft feet and commercial spaces above 500 sqft and brought it on a par with market rents in these areas.
According to estimates by tenant associations — which the government has rejected — this would have led to rents shooting up 2,500 times in residential and 5,000 times in commercial spaces. HT had earlier reported how the housing department had argued the amendment would only pinch the creamy layer.
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