Pune Hotels Facing Action for Encroaching Open Spaces and Causing Traffic Chaos, PMC to Impose Triple Property Tax

PMC’s Property Tax Department to Crack Down on Unauthorized Commercial Use of Open Spaces, Set Recovery Targets for Inspectors
Action Imminent Against Hotels Encroaching Front Margins in Pune
Action Imminent Against Hotels Encroaching Front Margins in PuneThe Bridge Chronicle
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Pune, 12 July 2025: The Pune Municipal Corporation (PMC) has intensified its action against unauthorized commercial use of front and side margins of buildings, especially by hotels. Citing the dual concerns of encroachment and worsening parking issues, Additional Municipal Commissioner Prithviraj B.P. has directed officials to take strict action against such properties and recover three times the usual property tax from violators.

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During a joint inspection in the Baner area, Additional Commissioner Prithviraj B.P. and Deputy Commissioner Avinash Sakpal found that several hotels and residential buildings were misusing their open spaces for commercial activities. Following these observations, officials in the Property Tax Department were instructed to increase tax assessments on such properties and initiate swift recovery procedures.

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In a broader crackdown strategy, each property tax inspector has now been assigned monthly targets. They must identify at least 100 properties where unauthorized usage or changes in property usage have occurred. Inspectors are also expected to ensure updated records on usage changes, verify properties converted to commercial use, and recover outstanding dues from tax defaulters. Surprise inspections will be conducted to monitor the implementation of these directives.

To support this initiative, the department has received an additional workforce of 70 new employees who will soon undergo training. The PMC also plans to introduce artificial intelligence in property tax management and improve its property registration mobile application to enhance efficiency.

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A significant number of hotels, particularly in high-traffic zones like Baner High Street, have reportedly extended their operations into adjoining open spaces, including front yards and sideways of their buildings. Since many of these structures lack proper parking facilities within their premises, vehicles are being parked on public roads, leading to serious traffic congestion. The civic body has now resolved to initiate strict punitive action against such establishments in the coming weeks.

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