MUMBAI: Real estate developers in the Mumbai Metropolitan Region, which includes Mumbai, Thane, and Navi Mumbai, are currently adopting a cautious approach to project approvals and amendments due to the upcoming municipal elections and the implementation of the Model Code of Conduct. This comes despite steady housing demand in the area.
Although there has been no official halt on construction-related permissions, industry stakeholders indicate that administrative processes typically slow down during civic election periods, as many officials are preoccupied with election duties.
This has led developers to adjust their timelines for various discretionary approvals, such as revised commencement certificates, layout alterations, and other amendments. The nation’s largest and most expensive property market relies heavily on numerous clearances from planning authorities, civic agencies, and utility departments, making project execution sensitive to administrative changes.
“Routine approvals proceed, but matters requiring interpretation or discretion are often delayed as officers focus on election-related responsibilities. Developers usually refrain from aggressively pursuing files during this period,” explained a senior executive at a Mumbai-based real estate development firm.
Developers pointed out that ongoing projects with pre-existing approvals remain largely unaffected, while new launches and phased expansions are being postponed.
“Most developers prefer a wait-and-watch strategy during elections,” stated an architect involved in liaison tasks. “This reflects more of a timing concern, and approvals requiring amendments are frequently deferred.”
Industry insiders noted that developers are prioritizing projects with established permissions, while those needing plan modifications, additional floors, or revised development rights are being held back. Larger developers with pre-approved land and robust balance sheets navigate these periods more effectively, while smaller firms often delay launches to mitigate execution risks.
The impact of this cautious approach is expected to reflect more in new project announcements rather than in sales volumes. Existing inventory continues to attract buyers, especially in established and well-connected micro-markets, according to executives.
“This situation is not unusual and has occurred during past election cycles as well,” noted a property consultant. “Once elections are over, approvals tend to accelerate. Delays from one quarter often recover quickly.”
Developers are also exercising caution regarding significant financial or structural changes during this time, choosing to wait for clearer administrative guidelines before committing additional capital.
