Maharashtra Government Enables Private Developers to Build Development Plan Amenities in Exchange for TDR

Maharashtra allows private developers to construct roads and civic facilities on DP‑reserved land in exchange for Transferable Development Rights to speed up infrastructure delivery.

Pune | 23 February, 2026- The Maharashtra government has introduced a policy that enables private developers to construct Development Plan (DP) amenities—such as public roads, open spaces, parks, and civic facilities—on reserved land in exchange for Transferable Development Rights (TDR). The move aims to accelerate stalled infrastructure projects by leveraging private investment and construction capabilities.

Under the new framework, developers who build designated public amenities on DP-reserved land receive TDR certificates equivalent to the value of the work delivered. These certificates can be used to increase floor space in other projects or traded in the market, offering financial incentives while supporting city infrastructure goals.

Previously, land reserved for public purposes under DP rules had to be developed or acquired by municipal bodies, often resulting in long delays due to budgetary and logistical constraints. By involving private developers through the TDR mechanism, the government hopes to fast-track the completion of critical civic projects and improve overall urban infrastructure delivery.

Understanding DP Amenities and TDR
DP amenities refer to public infrastructure and facilities earmarked in city Development Plans, including roads, parks, community centers, and other civic utilities. TDR is a planning tool that allows developers to earn rights to build additional floor space elsewhere in exchange for delivering public infrastructure, enabling them to offset project costs while enhancing urban facilities.

The policy is expected to benefit cities facing infrastructure bottlenecks by ensuring the timely delivery of roads, public utilities, and open spaces. Municipalities can now collaborate with private developers to complete projects that have been delayed due to funding or operational challenges, improving quality of life for residents.

Urban planners note that involving private developers in amenity construction can monetize reserved land without straining municipal finances. Completed amenities are handed over to civic authorities, improving connectivity, accessibility, and urban sustainability. This approach can also reduce disputes over compensation and land acquisition that typically delay projects.

Experts caution that safeguards must be put in place to ensure amenity construction meets quality, timeline, and equity standards. Transparent monitoring and clear guidelines will be essential to prevent developers from prioritizing private gains over public benefits.

For developers and landowners, the policy opens opportunities to create value by delivering infrastructure and obtaining TDR certificates. These certificates can then be used to increase built-up area on other sites, improving project viability and profitability, while addressing long-standing civic infrastructure needs.

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