Mumbai municipal commissioner Subodh Kumar's proposal to charge additional premium on construction of certain sections in a building, could push up property prices in the city by 20 to 30 per cent. Consultants, however, raise doubts about the practicality of such price rise.
Kumar has put forth a proposal before the state government that the Brihanmumbai Municipal Corporation (BMC) charge a premium of 100 per cent of the ready reckoner rates on construction of lobbies, terraces and balconies compared to the 25 per cent charged earlier.
The proposal is expected to help BMC to earn extra revenues in the form of additional premium.