Curation Team
In a significant move aimed at providing greater ownership rights to property holders, the Maharashtra government has approved the conversion of residential plots allotted by the City and Industrial Development Corporation (CIDCO) from leasehold to freehold.
The decision is expected to impact plot owners across Navi Mumbai and other CIDCO-developed areas.
To ensure smooth execution of the directive, CIDCO has constituted a dedicated committee that will oversee and scrutinize the applications received for such conversions.
The scheme applies to residential plots allotted through the tender process, CIDCO-constructed housing projects, and plots allotted under the 12.5% and 22.5% land allotment schemes.
According to CIDCO, eligible plot owners must submit an application and pay the prescribed conversion fees in order to initiate the process. Once approved, the leasehold title will be converted into freehold, offering full ownership rights and making future transfers and financing of the property significantly easier.
“In cases where unearned income recovery is stipulated in the original agreement, that amount will also be recovered alongside the conversion fees,” CIDCO said in a statement. “For plots allotted at concessional or subsidized rates, additional applicable charges will be levied over and above the standard conversion fee.”
The scheme is optional and applies only to plots where a formal lease deed has been executed. Crucially, CIDCO has clarified that once the leasehold plot is converted into freehold, no transfer charges will be levied on subsequent property transactions—a move that is expected to encourage wider adoption of the scheme among homeowners.
Industry experts suggest this conversion could also ease the property registration and inheritance process, while offering more flexibility for redevelopment or resale.
Freehold status removes a layer of bureaucratic oversight and gives complete title to the owner.
After the conversion, responsibility for maintaining and updating the land title records will shift to the Department of Land Records under the Government of Maharashtra, further integrating these plots into the state’s mainstream property record system.
This marks a major policy shift in land administration for CIDCO, which has so far maintained leasehold control over most of its residential plots since its inception.
