As Indian cities continue to grow denser and older, the need to redevelop decaying buildings and upgrade civic infrastructure has become more urgent. But in land-starved metros like Mumbai, Pune, and Delhi, where every square foot matters, traditional land acquisition methods often delay development. To address this, urban planners are using innovative tools like Transfer of Development Rights (TDR) and Accommodation Reservation.

These mechanisms may sound technical, but they are powerful levers for creating better urban environments without burdening government budgets or triggering large-scale displacement.

What is Transfer of Development Rights (TDR)?

TDR is a planning tool that allows landowners to transfer the development potential (measured as Floor Space Index or FSI) of one plot to another, usually in a different location. This is typically done when land is surrendered for public use, such as for a road, park, or school, without direct monetary compensation.

How It Works:

A landowner gives up land for a public purpose.
In return, they receive a TDR certificate, which gives them development rights equivalent to the surrendered area.
These rights can be:
- Used on another plot the owner has in a designated “receiving zone”, or
- Sold to a developer who wants to build more than the base permissible FSI.

Why It Matters:

Encourages balanced growth: Helps shift development to underused parts of the city.
Reduces government spending: Avoids the cost and delays of acquiring land.
Fair to landowners: Converts land given up for the public good into marketable development rights.

TDR is particularly popular in Mumbai under the DCPR 2034, where it’s used widely in redevelopment and infrastructure projects.

What is Accommodation Reservation?

While TDR transfers rights to a different site, Accommodation Reservation allows landowners to retain their land, but with a catch. If part of a plot is marked for a public facility in the city’s Development Plan (e.g., a municipal school or health centre), the landowner builds the facility at their own cost as part of their overall project.

How It Works:

The development plan reserves part of a plot for public use.
The private developer or landowner constructs the reserved amenity (e.g., school, market) according to civic guidelines.
In return, they get extra FSI (or development rights), which can be used on the remaining portion of their plot, or in some cases, transferred like TDR.

Why It’s Effective:

Speeds up infrastructure delivery by bundling it with private development.
Avoids lengthy acquisition battles and compensates landowners with buildable rights.
Ensures cities get amenities without losing development potential.

Where Are These Tools Used?

TDR and Accommodation Reservation play a key role in:

Redevelopment of old housing societies
Slum rehabilitation projects (under SRA schemes)
Metro corridors, flyovers, and road widening, where land pooling is essential
Greenfield town planning, where open space and amenities need to be carved out without heavy public cost

Cities like Mumbai, Delhi, Pune, and Hyderabad integrate these tools into their Master Plans and Development Control Regulations (DCRs).

What Makes These Tools Work?

For successful implementation, urban authorities must ensure:

Clear rules on how much TDR can be loaded on receiving plots
Digital tracking systems for TDR issuance and use
Legal clarity and transparency on ownership, valuation, and transfer
Avoidance of speculative misuse, especially in high-value zones

The Broader Impact: Smarter Cities, Shared Benefits

TDR and Accommodation Reservation represent a more collaborative and efficient way to upgrade urban infrastructure. Instead of government-heavy acquisition models, these tools let private landowners become partners in public development.

They help:

Ease the housing and infrastructure burden on growing cities
Make redevelopment financially feasible
Preserve civic spaces while allowing vertical growth

But like any policy tool, their success depends on strong institutions, clear regulations, and accountability. As Indian cities prepare for their next leap, towards higher density, climate-resilient design, and inclusive infrastructure, these mechanisms will play a central role in balancing private ambition with public good.

In summary, Redevelopment doesn’t always have to mean displacement or delay. With tools like TDR and Accommodation Reservation, it can mean shared growth, smarter planning, and better cities for all.