Maharashtra Unveils Inclusive Housing Policy for Seniors and Students

Key Highlights

• Focus on Senior and Student Housing: Maharashtra's first housing policy in nearly two decades targets inclusive urban development by promoting senior citizen and student housing, revamping old-age homes and orphanages, and addressing the needs of a growing elderly population.
• Developer Incentives and Relaxations: The policy offers developers flexible zoning, higher FSI, single-window approvals, reduced charges, and permission for limited commercial use in senior housing projects.
• Recognition and Regulation: Senior citizen housing is formally recognized as a distinct asset class with mandatory partnerships, accessibility norms, and planning guidelines, encouraging private sector participation.

It is the first such policy for Maharashtra state since almost two decades. The proposal was introduced last week and targets senior citizen housing and student housing to ensure today’s and future cities are inclusive.

The state government plans to revamp old-age homes and orphanages that are on government property under the Maharashtra Housing Policy 2025. They will be improved and matched with senior citizen housing initiatives to help meet the demands of a bigger elderly population.

Maharashtra’s population aged 65 or more reached nearly 10 percent, surpassing the country’s average share, according to the policy. There is an expected rise, with 17 percent of jobs forecast to be outsourced by 2036.

According to the policy, as families become smaller and households become nuclear, senior living facilities are now sought by more older people. The government considers this redevelopment a key move to meeting the current and future needs of the elderly in housing and care.

Since 2016, the Maharashtra government has designated senior citizen housing as a separate category in its Unified Development Control and Promotion Regulations or UDCPR. These guidelines are part of the latest Maharashtra Housing Policy 2025 which was created to encourage both inclusive and age-friendly urban development.

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Main relaxations for builders of senior housing include flexible zoning, the need to register twice and neighboring transport and health services. The projects need to come with major amenities and work together with approved service providers. Benefits available are higher FSI limits, one-stop approvals, lower charges and GST and commercial use up to 15 percent. The policy’s focus on helping with senior and student housing projects has been welcome by developers.

“Addressing the growing demand for elderly-friendly housing is the need of the hour, and the Maharashtra government's new housing policy has a special mention of this. These actions will help the growth of senior living projects by making development more viable and attractive. Our understanding is that these policy reforms will benefit senior living housing projects in Maharashtra and set a benchmark through thoughtfully designed and well-supported developments," said Anuj Goradia, director of Mumbai-based Dosti Realty.

"The recognition of senior citizen housing as a distinct, regulated asset class in the new Maharashtra Housing Policy is a progressive step. By integrating medical tie-ups, universal accessibility, and incentive frameworks into planning norms, the policy not only safeguards the dignity of our ageing population but also opens up a new horizon for private sector participation across Maharashtra," said Keval Valambhia, COO of CREDAI-MCHI.