The rules further state that the tenants are entitled to get more area than they currently occupy—minimum area will be 300 sq ft and maximum 1,292 sq ft—free of cost. If their area crosses the maximum cap, the tenant will have to pay construction cost of the additional area to the landowner.
In the case of tenanted buildings in suburbs, the redevelopment initiatives has to be taken by the land owner. It is normally the land owner who engages the developer and the developer agrees to give the tenants the ownership rights in the new building of the same area or with little additional area. In the case of tenanted building, the entire rights of redevelopment is with the land owner. If the same is in Mumbai City (South Mumbai) and cess building, the consent of 70% tenants is required to start the redevelopment including the NOC from the land owner. In the case of cess building, every tenants gets the area as prescribed in Development Control Rules 33(7). According to this tenants having less than 300 sq. feet will get 300 Sq Feet carpet area, Tenants having 300 to 753 Sq. Feet shall get the existing area and tenants having more than 753 sq. feet shall get maximum 753 Sq. Feet carpet area. Further all the tenants will get ownership flats in the new building including the fungible FSI of 35%.
Now, government has introduced a new development Control Rules numbered as 33(7A) which is applicable to Suburban District of Mumbai. According to this, now the tenants will be able to get all the benefits like cess building in south Mumbai.