Redevelopment projects in Mumbai and across India offer the potential for ageing societies to embrace modern living, realize increased property value, and enjoy upgraded amenities. However, that dream often turns into a prolonged nightmare when the project falls into the hands of a non-performing developer.
If your society's redevelopment is stuck or stalled, you're not alone—and there is a way forward.
Understanding the Warning Signs of a Non-Performing Developer
Before we get into the remedies, let's identify the red flags most societies miss in the early stages:
If any of these sound familiar, your project could be in trouble.
Realistic Challenges Faced by Societies
Having strategically advised societies, trusts, and developers for over 14 years, I've witnessed how even the most well-meaning societies can get entangled in complex legal and financial bottlenecks. Some common challenges include:
- Unclear legal advice or one-sided Development Agreements
- Lack of financial due diligence on the developer before appointment
- Poor project monitoring or not onboarding a professional PMC
- Dependence on a single developer with no exit strategy
- Internal society disputes that delay collective action
Why Societies Must Prioritise Due Diligence Before Signing the Development Agreement
Most redevelopment failures can be traced back to one root cause: inadequate due diligence at the start of the process. In the excitement of securing better amenities, higher FSI, or larger flats, societies often overlook the critical need for rigorous developer evaluation.
Due diligence isn't just about checking a developer's brochure or past project list. It includes:
Financial vetting
Is the developer sufficiently capitalised? Are funding commitments in place?
Track record scrutiny
What is the delivery history—especially for similar-sized projects?
Litigation check
Are there ongoing disputes or regulatory penalties?
Clarity on obligations
Does the agreement clearly outline construction timelines, exit clauses, and recourse?
Key Insight: Societies must treat the Development Agreement as a long-term commercial partnership—not a blind leap of faith. Investing time in detailed assessments, legal vetting, and structured negotiations can prevent years of regret and litigation.
What Can Be Done When Your Project Is Stuck?
Engage a Redevelopment Consultant
You need a neutral, expert voice to conduct a status review—legally, financially, and technically.
Conduct a Legal & Financial Audit
Evaluate whether the developer is in breach of contract. Is RERA action feasible? Is invoking the termination clause viable?
Understand Your Rights Under MahaRERA and MOFA
These laws are designed to protect allottees and society members. Filing for delays, compensation, or even developer change is legally supported if properly executed.
Explore Developer Replacement Options
The society can pass a resolution, terminate the agreement, and initiate a transparent developer re-selection process. But this must be structured professionally to avoid further complications.
Plan a Recovery Strategy – Not a Rescue Mission
The right approach is not just removing the wrong developer—it's choosing the right one with proper risk mitigation mechanisms in place, including escrow mechanisms, milestone-linked disbursements, and third-party project monitoring.
Why Expert Guidance Matters More Than Ever
In my journey, I've seen successful transformations of stuck projects only when societies adopted a structured, professional, and data-driven decision-making process. With growing market complexities, half-measures and emotional decisions no longer work.
Every society's context is different, but the foundational principle remains the same: redevelopment is not a construction project—it's a strategic financial and legal undertaking.
Is Your Society Trapped in a Silent Deadlock?
You don't need to wait indefinitely. Whether your project is in limbo or you sense it's going off-track, a confidential consultation can help you assess real options and find the right solutions.
Let's explore the smartest path forward for your society—with the clarity and experience your project deserves.