CIDCO cancels allotment of 16 prime plots

NAVI MUMBAI: In a major crackdown, the City and Industrial Development Corporation (CIDCO) has cancelled the allotment of 16 plots as the buyers had failed to complete construction on these plots within the stipulated four-year period. CIDCO, the planning and development agency for Navi Mumbai, has begun taking back possession of these plots, collectively measuring 62,000 sq m, as the buyers have failed to respond to notices.

The plots are located in Airoli, Kopar Khairane, Vashi, Nerul, Belapur, Kharghar and Dronagiri. Their total market value is estimated at around ₹2,000 crore.

All land in Navi Mumbai is auctioned under the Navi Mumbai Disposal of Lands (Amendment) Regulations, 2008. While CIDCO retains ownership, it signs an agreement to lease with buyers, stipulating that construction must be completed within four years from the date of such an agreement. The completed constructions must also secure an occupancy certificate from CIDCO, which would confirm that the construction is complete.

There are provisions to extend the four-year period on payment of additional charges. CIDCO had provided such an extension under an amnesty scheme, but the buyers ignored these too. Some plots have not been used for 10 to 15 years.

The state government had under an amnesty scheme announced a 50% concession on the Additional Lease Premium (ALP) payable till March 2024 by plot holders in Navi Mumbai for the extension of the construction period. An additional 50% concession had been announced on the principal amount of service charges levied by CIDCO for providing civic amenities to plots, tenements and shop holders.

Around ₹900 crore was due to CIDCO from the ALP and service charges due to the delays in construction. CIDCO would have received half that sum under the scheme. However, that too did not accrue as there was little response from the plot holders. It had to make do with ₹100 crore in collections.

The amnesty scheme, which expired on March 31, 2025, wasn’t extended. CIDCO has acted immediately, with the nodal agency starting to take possession of the plots from Monday. According to sources, a housing society in Kopar Khairane that had been allotted a plot completed its construction and has started using it as residential premises. It, however, doesn’t have an occupancy certificate. There is a housing society in Nerul which is alleged to have sold the plot without taking up any construction on it.

CIDCO public relations officer Priya Ratambe said following the review of plots where constructions had not been taken up or completed, the plot holders were issued notices by CIDCO’s estate department for violation of the norms of the lease agreement.

“Despite the notice, they failed to take any action, and it became obvious that they were not paying the requisite extension charges deliberately and also not seeking an occupancy certificate. The corporation has terminated the agreement to lease with 16 such plot holders on April 1, following the legal process and action is being taken accordingly,” said Ratambe.

“Of the 62,000 sq m involved, around 53,000 sq m falls under the jurisdiction of the Navi Mumbai Municipal Corporation. This is the first round of action. More will follow soon,” she added.