Constructing or reconstructing a property in Pune: A legal checklist

Pune’s real estate market offers numerous options for property buyers or potential homeowners. With the city’s horizontal expansion, there are also plot investments available for buyers. Someone who wants to build a house in Pune needs to be aware of the legal requirements, including approvals from the Pune Municipal Corporation and other local authorities. Many old independent houses and housing societies in Pune go for reconstruction. There are regulations to be followed if someone wants to rebuild an existing property. In this guide, we will discuss the local regulations to follow when building or rebuilding a house in Pune. 

Who can undertake the construction or reconstruction of buildings in Pune?

Relevant government and planning authorities, private developers, cooperative housing societies and independent homeowners can undertake new construction or redevelopment projects in Pune. Before starting a construction project, property owners or private builders may need relevant approvals from multiple authorities, depending on the project location. Housing societies can undertake redevelopment projects by entering into redevelopment agreements with developers. 

The following are the three main authorities in Pune, which have a key role in development and redevelopment. 

• Pune Municipal Corporation (PMC): This is a municipal authority responsible for sanctioning building plans and providing construction permissions within Pune city limits.

• Pimpri Chinchwad Municipal Corporation (PCMC): PCMC sanctions approvals for properties within the Pimpri-Chinchwad areas under its jurisdiction.

• Pune Metropolitan Region Development Authority (PMRDA): The PMRDA is the authority in Pune that plays a key role in development and redevelopment projects in the Pune Metropolitan Region by granting approvals. 

• Maharashtra Housing and Area Development Authority (MHADA) Pune: This is the state authority that undertakes new development (e.g. housing schemes) and redevelopment projects.

Approvals required before construction or reconstruction in Pune

Some of the approvals from the relevant authorities required before starting any development or redevelopment project in Pune are discussed below. 

Land use and zoning regulation compliance

The state government and planning authorities, including PMRDA, PCMC and PMC, oversee the planned development by providing a legal framework and implementing zoning laws. Land classification in Pune follows the Maharashtra Regional and Town Planning (MRTP) Act, 1966. Before construction, one should check the land classification and zoning regulations applicable to the property. 

Layout approvals are necessary for large-scale redevelopments to ensure compliance with the city’s master plan. For redevelopment of housing societies or old structures, approvals pertaining to rehabilitation layouts, additional FSI, and redevelopment incentives will be required. 

No-objection certificates (NOCs)

Various NOCs may be necessary before constructing a house, depending on the location and project type. These include: 

• Maharashtra Pollution Control Board (MPCB) clearance for large projects
• Environment clearance, if applicable
• Fire department approval for high-rise structures
• Water and sewerage permissions
• Airport Authority approval in certain zones
• NOC from the housing society in redevelopment cases

Building Plan Approval

The local municipal authorities are responsible for granting approvals of building plans made by professional architects. In Pune, one can visit the official portals of PMC or PCMC, depending on the project location, to apply for building approvals. After an architect applies for the approval, authorities complete the verification procedure before granting approvals. Building approvals undergo lengthy processes involving: 

• Verifying land ownership and the location 
• Checking compliance with safety and regulatory standards
• Verifying the building height, FSI norms, safety and other criteria
• Assessing the building plan

MahaRERA approval

According to RERA rules, a residential building project must be registered with the Maharashtra Real Estate Regulatory Authority (MahaRERA) if the area is above 500 square metres or if there are more than eight apartments. The official MahaRERA website makes the registration process fully digital and transparent. 

Commencement Certificate (CC)

The Commencement Certificate (CC) is a legal document issued by the local municipal authority or town planning department to the developer. This is necessary to obtain before structural and foundation work in the project can be initiated. 

Completion Certificate and Occupancy Certificate

After the building project is completed, the completion certificate (CC) and occupancy certificate (OC) are two important approvals that a builder or property owner should obtain. The completion certificate states that the construction was done as per the sanctioned plans whereas the OC proves that the building complies with the local regulations and is fit for occupancy. 

Costs involved in reconstruction projects

Construction projects in Pune involve several expenses. Setting up a budget will ensure a hassle-free project completion without any losses. The major costs of construction include: 

• Costs of seeking municipal approval 
• Costs of labour and materials
• Utility connection fee
• Demolition expenses
• Premium FSI charges
• Professional fee (architect and consultant)
• Temporary accommodation expenses during redevelopment
• Legal costs (stamp duty and registration fee)
• GST and other taxes

Housing.com POV

Property owners planning to build a new house or reconstruct an existing building in Pune must follow the local rules and regulations. They must be aware of the authorities whose approvals may be needed and the procedures to obtain those approvals. Legal due diligence and compliance with municipal regulations will ensure a smooth process; otherwise, it can result in risks of legal notices, demolition or fines. One can consult a legal expert for a better understanding and navigate the complex legal processes. 

FAQs