Dharavi Redevelopment Project Gets 118 Acres in Malad for Rehabilitation

The Maharashtra government has handed over 118 acres of land at Mukteshwar in the Malad Malvani area of Mumbai to the Slum Rehabilitation Authority for the rehabilitation of residents under the Dharavi Redevelopment Project. The move marks a major step in one of the most ambitious urban renewal plans in India.

Saurabh Katiyar, Mumbai Suburban District Collector, confirmed that the land has been transferred to support the ongoing redevelopment of Dharavi. Of the total 140 acres identified at Mukteshwar, 118 acres have now been handed over, while 22 acres are still under litigation. 

The land parcel, valued at around ₹540 crore, will be used to relocate Dharavi residents who are not eligible for in situ rehabilitation within Dharavi itself. These include families living on upper floors and those who settled in Dharavi between January 1, 2011, and November 15, 2022.

The Dharavi Reconstruction Project is being carried out by the Adani Group through its special purpose vehicle, Navbharat Mega Developers Pvt Ltd. The company is a joint venture between the Government of Maharashtra and the Adani Group. While the ownership of the Malad land will remain with the Slum Rehabilitation Authority, the SPV will hold the development rights. It has already paid ₹135 crore as a premium for these rights.

A part of the Mukteshwar site will also be used for the sale component, where apartments will be built and sold in the open market. Officials say this will help fund the large-scale rehabilitation effort.

The Dharavi project is widely described as the largest urban reconstruction effort in the world. Spread across one of Asia’s biggest informal communities, the plan aims to improve living conditions for nearly 10 lakh residents. The state has identified around 540 acres of land across the Mumbai Metropolitan Region to support the rehabilitation process. These include land parcels in Kurla, salt pan areas in Kanjur, Bhandup, and Mulund, and parts of the Deonar dumping ground.

Officials say the large-scale Dharavi reconstruction housing plan for Mumbai will involve constructing up to 1.5 lakh new homes across the region. This is slightly larger than the standard 300 sq. ft. homes given in other slum redevelopment schemes.

Residents who are not eligible for homes within Dharavi will be shifted to rental housing complexes outside the area under a hire-purchase model. This means they can move in on rent and later own the house after completing payments.

The Adani Group won the bid for the project in November 2022 with a commitment of ₹5,069 crore as an initial investment. The SPV has been given seven years to complete the rehabilitation housing. The overall redevelopment of Dharavi is expected to take up to 17 years.

With land now secured in Malad, the Dharavi Redevelopment Project has moved a step closer to changing the face of one of Mumbai’s most densely populated areas.