BMC expects to receive Rs 600 crore through the Vacant Land Tenancy (VLT) scheme.

The civic general body approved a vacant land tenancy scheme (VLT) on Wednesday in a view to boosting revenue. The BMC plans to receive Rs 500-600 crore one-time revenue from 213 plots, covering more than 125 sq ft, which will be leased at 62.5% of ready reckoner rates. These involve gymkhanas, cricket fields, community centres and godowns mainly situated in Dadar, Sion, and Parel.

There is a minimum of 3,600 VLT plots issued on lease in Mumbai prior to Independence. Taking into account that the lease is under the range of Rs 100-300, the BMC receives an annual amount of Rs 3.5 lakh rent. Civic officials said that on most of these plots educational institutions, petrol pumps, religious organizations, banks, and private firms have come up.

A senior civic official said VLT plots that have been designated as recreational grounds, or playground, or public amenity space and that can be built by the BMC would not be granted again at lease. “Additionally, the lease of plots with a restriction on them would not be extended either. Secondly, plots measuring under 125 sq ft are deemed too limited to be redeveloped,” the official added. “Yet if the lessees tend to inhabit the plots, they will have the first opportunity to decline.” Properties on which the slums have mushroomed were still not included in the policy.

Municipal commissioner Praveen Pardeshi had stated the VLT proposal in the BMC Budget 2020-21, which would bring in additional revenue. Once the strategy was tabled before the meeting of the Civic General Body on Wednesday, Shiv Sena corporator Yashwant Jadhav said that all plans for the extension of the lease must be sent to the Civic Standing Committee for consideration, and if the civic commissioner refuses a particular request, the administration must include an explanation why it was refused.