TDR on Open Spaces
How can we prevent TDR exploitation to protect Mumbai's heritage and public spaces ?
The Transfer of Development of Development (TDR) policy was introduced in Mumbai to serve as a tool for urban planning, intended to preserve open spaces, support affordable housing and enable the development of essential infrastructure without straining public finances.
However, today TDR has turned into a tradeable commodity where it can be generated for any kind of development, from cattle sheds to slums to transit tenements to Dharavi Redevelopment Project to Mahalakshmi Racecourse, air traffic funnel, IT Parks etc. and transferred to anywhere in Mumbai.
At UCM, we strongly advocate for the protection of Mumbai’s valuable open spaces, such as Shivaji Park and the seafront, from exploitation through the Transfer of Development Rights (TDR). We oppose the commodification of TDR for luxury and commercial developments, which only drives up housing prices and displaces low-income residents. We call for stricter regulations to prevent overcrowding and ensure that any development prioritizes public benefit over profit.
Facts and Reports
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TDR is a technique of land development, which separates the development potential of a particular parcel of land from it and allows its use elsewhere within defined zones of the city. It allows the land owner to sell the development rights of a particular parcel of land to another land developer.
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TDR was introduced through Development Control Regulations (DCR) in 1991, to address the issue of increasing urbanisation by transferring development potential from one area to another. It was meant to enable the implementation of Development Plans (DPs) by compensating landowners for lands acquired for public purposes.
Implications
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TDR on open spaces, heritage sites and parks is a blatant violation of the original urban planning principles. Lands meant for preservation are being monetised by artificially creating development rights through “notional” FSI.
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The TDR system, intended to protect public spaces and guide development, has been exploited by powerful developers, leading to unsustainable urban sprawl and weakened environmental protections.
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Manipulative use of TDR for non-developable land is corrupting the regulatory intent behind clauses mentioned in the DCPR, allowing landowners to trade rights where no development was ever meant to occur.
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This tradability factor has resulted into hyper concentration of TDR in areas with high real estate values such as Juhu, Bandra, Andheri etc., whereas areas actually requiring public housing such as Ramabai Ambedkar Nagar, Malavani, Ulhasnagar, Bhiwandi etc. are left completely neglected.
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Zoning laws protecting open spaces and heritage are breached, creating unauthorized rights that undermine the importance of these spaces which are meant to safeguard for future generations.
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The monopoly on TDR trades results in artificially inflated prices, distorting the real estate markets. In fact, the market has become a speculative asset rather than a tool for equitable urban development.
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Originally meant to support public spaces and affordable housing, TDR is now hoarded for luxury projects, hindering Mumbai's housing progress.
Recommendations
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The use of TDR must be purely to serve affordable housing and slum redevelopment. Any TDR issued should be allocated primarily for projects that address Mumbai’s growing affordable housing crisis.
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For all other developments, TDR should be completely scrapped, and instead the full FSI should be consumed in-situ on plot;
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Public open spaces such as Shivaji Park, Racecourse, seafront etc. are designated open spaces, planned to remain open, and hence TDR from these cannot be generated to monetise these lands. As such creating notional FSI for notional FSI for TDR on these lands is illegal and must be stopped.
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Overcrowding and inadequate utilities are direct consequences of unregulated TDR transfers and must be addressed by setting clear limits on density increases.
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TDR should not be available for luxury or commercial developments that contribute to rising housing prices and further marginalize low-income residents.