M/S. S.P.

CONSTRUCTION
(Builders & Developers)
Film City Road, Gokuldham, Goregaon (East), Mumbai 400 063.
TITLE OF THE PLOT:-
Plots bearing CTS No.699 and Survey Nos. 612, 613, 614, 615, 616 and 617 admeasuring about 7 acres &
31 gunthas situated at village Malad, Taluka Borivli, Mumbai Suburban District were acquired by the
firm M/S. S.P. Construction in the year 1989 from its original Owners who were residing on the said
plot since more than 75 years. (These persons were 7 in nos. and belong to Warli community and
claimed to be Adivasis but the Warli community falls under OBC category ). However since the plots
were falling under Declared slum zone, the ownership/development rights for the said plot did also vest
in the Housing Society formed by the slum dwellers residing on the said plots. S. P. Constructions has
acquired the ownership/ development rights of the plot both from its original owners as well as the
Housing Society(registered) formed by the slumdwellers residing on the said plots, viz. Shree
Vasalingeshwarswamy Co-operative Housing Society(Regd) vide Development Agreement dated 10.03.
1993 which was duly registered with the Sub- Registrar of Assurances, Bandra with confirmation deed
dated 7.3.1995 vide registration no. 0122/1737/95 dated 7.3.1995 of the said Development agreement
for an area of 10145 sq.mtrs. For the remaining area of 22400 sq. mtrs.S.P.Constructions obtained the
Development Agreement from another Society formed by the remaining tenants named Film City Co-
operative Housing Society (Proposed). The said Development Agreement too was registered with the
Sub-Registrar of Assurances, Bandra on 6.4.1995 under Reg. No. 1736/95 with a confirmation deed
dated 7.3.1995. Further vide an agreement for sale dated 20.2.1993, S. P. Constructions also obtained
the rights from one S.Y.Shetty who was holding lease agreement dated 29.5.1976 for the entire land
from its original owners. Both the said Development Agreement were also signed by the owners as
confirming parties.
Subsequently, S.P.Constructionentered into a Joint Venture Agreement in the year 1994 with Vikas
Housing Limited, a reputed builder of Mumbai. Under the said Joint Venture Agreement, Vikas Housing
Limited has to bear the entire expenditure for the development of the said properties and in
consideration for the land cost.
Accordingly , after getting consent of more than 90 % tenant residing on the said plot, a plan was
prepared which was duly sanctioned by the Mumbai Municipal Corporation vide IOD No CHE/937/LOP
dated 9.5.1995 and in pursuance of the said sanctioned plan, work were started on two rehab. Buildings
and were completed up to plinth level. However, on account of their internal differences, the Vikas
Housing Limited stopped taking further interest in the development of the said property and since
S.P.Construction was not having finance of its own, the property is lying in the same condition.
Present Status of the plots:
Since Vikas Housing Limited had not been taking any interest in the development of the said property
and having been left with no choice, S.P.Construction has since cancelled its Joint Venture Agreement
with Vikas Housing Ltd. by serving termination notice in the year 2005. However, S.P.Construction, as a
matter of good gesture has settled the claim of Vikas Housing for a total consideration of Rs. 3.5 crores.
Within this consideration Vikas Housing Ltd shall also hand over vacant possession of about 600 sq.mtrs.
of plot touching the Film City Road, which Vikas had purchased from its possessor Mr. Sikander Sharif
Khan and which is vacant and bounded from all sides.
Other Disputes Related To The Property
Some flat purchasers form whom the S.P.Construction had collected booking amount had filed some
cases before the Consumer Court, Mumbai. The suit is pending and the plaintiffs are prepared to settle
the dispute by taking back their money with interest. This will be settled by S.P.Construction within the
consideration agreed. In regard to the title of the original owners of the plot some dispute has been
raised by F.E.D.Trust who have filed the suit before the Collector, Mumbai Suburban District, under case
no. C/Karya-2K/Revision/Wasi- 298/94/08 staking their claim on the said property by virtue of their
being KHOT for Malad Village, under which the said property falls. At present the names of the said
seven persons (original owners) continue to appear on the land/ revenue records. However, F.E.D. Trust
too is prepared to settle the dispute with some nominal consideration.
Relevance of Adivasi status of the land
Despite the unconfirmed status of the owners being Adivasi , the land can be developed with fully marketable
title devolving upon the Developer/Purchaser on the account of following:
(1) The land falls under Declared Slum Zone, and the said owners (Adivasis) have formed joined the Tenant
Housing Society formed and registered by the slumdwellers residing on the said plot. The land will be
developed under SRA scheme and since the free sale component of the project is granted by the SRA as a
compensation for the free alternate accommodation to the slum dwellers and all the original
owners(Adivasis?) shall be rehabilitated on the said land with alternate accommodation, the Adivasi Act
has no impact on the title in the present case.
(2) By GR no. TNC/5157/31190- M dated 8.3.1957. issued by the Revenue Department Govt. of Maharashtra,
20 villages (known as 20 Gaothans) were reserved for Non- Agricultural and Industrial purposes. Since the
Restoration of Tribal Land Act flown from the Bombay Agricultural Land and Tenancy Act, the said Act is
not applicable on Non- Agricultural Land. Moreover, the said specific property was converted into NA
under orders of the Addl. Collector in the year 1981 itself.
(3) Other plots in the adjoining areas belonging to the same owners have been developed and high rise
building like Satellite Towers (26 story) etc. have been constructed by reputed builders like DB Realty,
Satellite Builders, Ravi Group, Daya Builders etc. and even now development is under way on several
adjoining plots owned by the same owners.
(4) Another option which can be availed of in consultation with the incoming party is that in order to make it
doubly sure, it is proposed to settle the dispute with the said FED Trust which have raised their claim on
the ownership of the property and in that case FED Trust will become the owners with the consent from
(the Adivasis?) to filed before the collector, BSD.

FSI calculation

Proposed SRA Scheme on plots bearing CTS Nos. 612 to 617 and 699 of village Malad (east) at
Gen. A.K.VaidyaMarg, Goregaon (east), Mumbai 63.





Area as per PRC and Slum Declaration Order of the Govt.:

CTS Nos. Area (sq.mts)
613 587.60
614 252.72
615 15.50
616 364.00
617 492.20
618 1723.20
699 28950.40
Total 32385.60

The plot under reference is partly affected be RG,PH/HDH,College& 45.70 mtr. Wide DP Road,
entire plot falls under residential zone.
The approximate area for various reservations are as under:

Reservations Area in sq.mtrs.
45.70 mtrwide with DP Road(Gen A K VaidyaMarg) 11800.00
PH/HDH 8714.06
RG 400.00
College 223.55
Land without any reservation 11250.00
Total 32385.76

Area Calculation Approx

Sr.No. Description Area (sq.mtrs.)
1 Area of the plot 32385.60
2 RG Reservation 400.00
3 Total Area RG Reservation 31985.00
4 D P Road 11800.00
5 Total Deduction (2+4) 12200.00
6 Balance Area (1-5) 20185.60
7 RG Deductable @15% of area 3027.84
8 Net Plot Area (6-7) 17157.16
9 Area for FSI Purpose(4+8) 28957.16
10 Tenement permissible for area 857 nos
11 Existing Tenant on the site 1200 nos
12 PAP Genenrated NIL
13 Detail of Construction Area
a. 1200 +36 amenities structure x 33 sq. mtrs. 40788.00
b. Rehab FSI 1200 X 29 sq. mtr. 34800.00
c. FSI permissible (3.00) of Sr. No. 3 above 95956.80
d. Area for sale component as per (13a) 40788.00
e. Fungible FSI 40788X35% 14275.80
f. Total Sale (d+e) 55063.80
g. FSI used on plot 75588.00
h. FSI consumed 2.61
E C O N O M I C S AT A GLANCE.
S.No Description Rate Amount
1. Total salable FSI (carpet)55063sq.mts. x
10.764=5,92,700 ft
2
.

------ --------
2. Construction Cost

Rs.4,500/ft
2
Rs. 267.00 Cr.
3. Cost of slum component (34800m
2
x 10.764)
Say 3,75,200 ft
2
.
Rs.2,000/ft
2
Rs. 75.00 Cr.
4. Cost of LOI, premiums and other misc.
charges
L.S. Rs. 58.00 Cr.
5. Society, Imlamalik& other settlement as per
Ann-I
L.S. Rs. 50.00 Cr.
6. Other misc. & incidental Exps.

L.S. Rs. 50.00 Cr.
7. Contingencies.

L.S. Rs. 50.00 Cr.
8. TOTAL

Rs. 550.00 Cr.
9. By Sales realization of salable area (592700 ft
2

x 1.4 = 830000 ft
2
)
Rs. 15,000 / ft
2
Rs. 1245.00 Cr.
10. GROSS SURPLUS (
beforetaxes,financialexps.& other deductions
)
------- Rs. 695.00 Cr.
11. Finance required

------- Rs. 500.00 Cr.
12. Financial Expenses. 7%/yr x 7years

Rs. 245.00 Cr.

All the calculations have been made on a very conservative basis.
At the time of actual execution the figures mentioned above may vary to the extent of 5% either way.
Figures have been arrived assuming that 100% finance required towards the completion of the Project
shall be made available by own resources. No debt or external generation or internal generations have
been considered.

No floor rise or sale of parking lots have been considered.
Rate for the sales realization i.e. Rs. 15,000 / ft
2
have been taken as the prevailing rate of the flat sale in
buildings of ordinary type of construction. The input for the construction of sale component has been
considered for A
+++
type and from that sort of input a better price can be commanded.
The project is situated on 4 lane 150ft. wide road, where 20-30% of total FSI shall be of commercial
nature and the price of commercial component is at least 150 200% of the residential component but
the price indicated above is of residential component only.
Rate of sales realization has been considered on the present rates. Whereas the actual sales shall start
after completion of the project, i.e., after 4-5 years of start-up. Escallation in the price has not been
considered which will be a big factor for profit inhancement.