New Society Redevelopment Rules 2026: What Members Must Know

Thinking about redevelopment? The rules for how your society must run that process have changed. On 30 September 2026, the Cooperation Department of the Government of Maharashtra issued a new order under Section 79A of the Maharashtra Co-operative Societies Act, 1960. It replaces the earlier order of 4 July 2019 and all circulars issued under it.

The order says its aim is transparency at every stage (the consultant, the project report, the tender, the developer's appointment and the development agreement) and protecting members' interests. Here is what it means for you, in plain language.

Who these rules apply to

The order covers every kind of society redevelopment: through a developer, self-redevelopment, cluster redevelopment through a housing federation, and redevelopment by a group of societies. The steps for choosing a developer also apply when a society appoints a contractor for self-redevelopment.

Only the society's elected managing committee can take the redevelopment decision. An administrator or authorised officer appointed by the Registrar cannot.

Step 1: Calling the special general body meeting

1. At least one-fifth of members can apply in writing to the secretary for a special general body meeting on redevelopment.
2. The committee must note the application within 8 days, and the meeting must be held within 2 months. Every member gets the agenda 14 days in advance.
3. Before the meeting, the committee must collect quotations from at least 3 architects or project management consultants (PMCs) on a government or local authority panel. The meeting picks one.
4. Members can send written suggestions up to 8 days before the meeting.

Step 2: The vote to redevelop

1. Quorum: two-thirds of the society's total members.
2. Approval: at least 51% of total members (not 51% of those present).
3. Remote attendance: members who are abroad, seriously ill, disabled or unable to attend for unavoidable reasons can join by video conference, and they count towards both the quorum and the 51%. However, 51% of total members must be physically present.
4. If the quorum isn't met, the meeting is adjourned and called again within a month with 7 days' notice. If it fails again, the proposal is dropped and cannot come back for 3 months.
5. Consent from absent members, whether written or oral, does not count.
6. Members who voted in favour must give written consent before the committee can move ahead.

The order's own example: in a society of 100 members, the quorum is 67, and at least 51 members must approve.

Step 3: The project report

The architect or PMC gets an appointment letter within 30 days. Within 2 months, they must prepare a project report that covers:

1. a survey of the building and land, and the status of the land's conveyance;
2. the FSI and TDR available under the rules that apply to the land;
3. members' suggestions on homes, shops, open space, garden, parking and construction specifications;
4. a separate report for each scheme available under the development rules, with a comparison.

The committee must discuss the report within 30 days and keep a copy at the society office for members to see.

Step 4: The tender

1. The tender draft must keep either the carpet area or the corpus fund fixed, so developers compete on a clear basis. Members approve the draft at a general body meeting.
2. The tender notice must be published in the largest-selling local Marathi and English newspapers. Members may also invite reputed developers they know.
3. On the closing date, the list of tenders received goes up on the notice board. Within 30 days, the tenders are opened in front of everyone present at a general body meeting, and bidders cannot be kept out.
4. At least 3 tenders are needed. If fewer come in, the deadline is extended by 15 days, then by one more week. After that, the society proceeds with whatever it has.

Step 5: Choosing the developer

1. The developer must be chosen at a meeting held in the presence of an officer appointed by the Registrar. The Registrar must appoint that officer within 14 days of the society's request.
2. Members receive the agenda and the comparison of tenders 14 days before the meeting.
3. The same quorum rules apply: two-thirds, with 51% of total members physically present.
4. No proxies. Members must bring valid ID, which is checked against the society's records.
5. The developer is chosen by at least 51% of total members. Voting is by show of hands, or by secret ballot if one-fifth of members ask for it in writing.
6. The meeting is video-recorded, and copies go to the secretary and the Registrar.
7. The Registrar records the appointment and informs the society and the municipal corporation.

What the development agreement must include

The agreement must be signed within 3 months and must include:

1. Completion within 2 years of the first or plinth certificate, depending on project size, and never more than 3 years, even in exceptional cases.
2. A bank guarantee from the developer, of an amount and form approved by the general body.
3. Temporary housing: alternative accommodation, preferably in the same area, or monthly rent and deposit acceptable to members, or a transit camp, until the project is complete.
4. Registration of the development agreement and each member's Permanent Alternative Accommodation Agreement, the latter within 3 months of the development agreement.
5. The carpet area as defined under RERA, stated clearly.
6. The developer's rights cannot be transferred.
7. Members vacate only after all approvals are in place and their individual agreement is registered.
8. No committee member or office-bearer, nor any relative of theirs, can be the developer.
9. New flats are allotted at a meeting approved by 51% of total members, as far as possible in the same floor order as now, or by lottery after completion, and the meeting is video-recorded.
10. Buyers of new flats in the redeveloped building must get membership within 3 months of applying.

Your right to documents

Members can inspect every redevelopment document free of charge, including notices, minutes, meeting videos, the PMC report, the tenders, the comparison and the draft agreement. Copies must be given promptly for the prescribed fee. Committee members who break these rules, or who act against members' interests, face action under the Act.

What this means for buyers and sellers in our area

Much of the housing between Bandra West and Andheri West is in older societies, so these rules will shape many redevelopment projects here. For members, the process is now more open and more structured. If you're buying a flat in an old building, check whether the society has started redevelopment and at which step it is. If you're buying in a redeveloped project, ask about the society's carpet area commitments and the timeline in its development agreement.

Thinking about redevelopment, or buying in a redeveloped building between Bandra West and Andheri West? Talk to Dhaval Seth on +91 93210 58605.

This post summarises the official order for general information. It is not legal advice. For your society's specific case, consult a lawyer.

Source: Government of Maharashtra, Cooperation Department, Government Order No. सगृयो-2026/प्र.क्र.108/14-स dated 30.09.2026 (code 202609301657141847): official PDF