Minutes of Meeting: Self-Redevelopment Financing Proposal

Meeting Overview

• Meeting Date: 25 October 2026
• Subject: Financing proposal for society self-redevelopment
• Bank: The Thane District Central Co-operative Bank Ltd.
• Project: Residential building with shop line
• Purpose: Discussion regarding bank financing and project execution through self-redevelopment.

1. Key Discussion Points

1. Project Financing

• The bank representatives informed the society that the bank would provide funding of up to 95% of the total development cost, subject to its assessment, eligibility criteria and final sanction.
• The remaining 5% would need to be arranged by the society through its own resources or other permitted sources.

2. Loan Moratorium and Repayment

• A two-year initial period was proposed during which no EMI payments would be required.
• The loan would then have a further three-year repayment period to close the outstanding loan.
• The total proposed loan tenure would therefore be five years, comprising two years of initial relief followed by three years for repayment.

3. Interest Rate

• The indicative interest rate discussed was approximately 10%–11% per annum on a simple-interest basis; the exact rate is to be confirmed by the bank.
• The bank is to clarify in writing whether interest is completely waived during the initial two years or merely deferred, and how interest will be calculated and recovered.

4. Project Management Consultant (PMC)

• The society would be required to work with a Project Management Consultant (PMC) allocated or appointed through the bank’s process.
• The PMC would assist with project planning, cost estimation, technical oversight and execution monitoring, as defined in the final engagement terms.

5. Reference Project

• The bank representatives referred to Navkar Apartments, Nalasopara, as a previous project funded by the bank.
• The society may seek details of the project’s completion status, financing structure and execution experience as part of its due diligence.

2. Preliminary Understanding

The proposed financing arrangement could support the society in undertaking self-redevelopment while retaining control over the project. However, the proposal remains subject to written confirmation of the bank’s funding commitment, interest terms, security requirements, disbursement conditions and repayment schedule.

3. Action Items

1. Obtain the bank’s formal financing proposal and detailed term sheet.
2. Confirm the exact interest rate and treatment of interest during the initial two years.
3. Obtain a detailed project-cost estimate and confirm which expenses qualify for funding.
4. Understand the bank’s PMC selection process, fees, responsibilities and accountability.
5. Request project references and relevant details for Navkar Apartments, Nalasopara.
6. Review the loan agreement, collateral/security requirements and repayment obligations with the society’s legal and financial advisers.
7. Assess projected sale proceeds, cash flow and the society’s ability to repay the loan within the proposed period.

4. Conclusion

The meeting provided an initial understanding of the bank’s proposed funding support for the society’s self-redevelopment. The society will evaluate the proposal further after receiving written details and assessing the project’s financial feasibility.

Note: These minutes record the discussion as understood by the society and are not a confirmation of loan sanction or a binding commitment by the bank.