Bombay HC Urges MHADA to Resolve Jogeshwari Tenants' Stalemate within a Month

The Bombay High Court has directed the Maharashtra Housing and Area Development Authority (MHADA) to decide within one month the fate of 22 tenants who are allegedly refusing to vacate their homes at Majaswadi in Jogeshwari. The court's order came after over 300 families, whose redevelopment has been stalled since 2008, approached the bench of Justices M.S. Karnik and S.M. Modak, urging for action to clear the plot and allow the project to proceed.

The case pertains to the redevelopment of an MHADA colony in Jogeshwari East, Mumbai, comprising 579 homes under the Majaswadi Sarvodayanagar Co-operative Housing Society. In 2008, residents opted for a composite redevelopment scheme and appointed Acme Realities Pvt Ltd as the developer. The project aimed to rehouse all occupants while using the remaining land to construct sale towers. Acme began constructing three rehab towers for 171 of the original occupants and launched two sale towers, selling units to around 350 homebuyers.

However, the project faced significant delays and financial issues. By the time the matter reached the National Company Law Tribunal (NCLT), Acme's liabilities had mounted to ₹4,326.72 crore. After Acme failed to complete the project, homebuyers approached the NCLT, which in August 2025 appointed Pune-based Mantra Developers to take over. Mantra is committed to investing over ₹600 crore to complete the project.

A key condition for the takeover was that all remaining tenants vacate the plot. Of the 579 original occupants, 171 had already been rehabilitated. Among the rest, around 300 had moved out earlier but had not been paid rent, while 92 families were still on-site. After taking over, Mantra cleared pending rent dues, after which 70 families vacated, but 22 remained on the plot.

With redevelopment stalled due to these holdouts, over 300 residents approached MHADA and later moved the Bombay High Court seeking action against the non-cooperative tenants. Sanjay Bane, chairman of Majaswadi Sarvodayanagar Co-operative Housing Society, said, 'The new developer brought a fresh ray of hope for all of us. Many of us have been living in rented homes for years without any assistance or rent from the previous developer. When NCLT appointed the new developer, we were all very excited and confident that we would soon move into our homes. However, 22 of our own members have stalled the project by refusing to vacate. The new developer has no choice but to stop paying us all rent.'

According to the Bombay High Court order, the matter was heard by the Competent Authority (MHADA) and reserved for orders on March 6, 2026. 'It is the case of the Petitioner that no final order has been passed so far, and this is causing severe prejudice to the Petitioner and other persons who are waiting for the redevelopment project,' the Bombay HC noted in its order dated April 27. 'We have heard learned counsel for the MHADA. In the facts of this case and after hearing the learned counsel for the Petitioner and the grounds raised in the Petition, we are satisfied that the MHADA could be requested to pass order expeditiously on the application which is reserved on 6th March 2026 and in any case within a period of four weeks from today,' the order stated.

The Bombay High Court disposed of the petition with the above observations. MHADA could not be reached for comment. Hindustan Times Real Estate had reported in January 2026 that MHADA lifted its stay and withdrew the stop-work notice on the long-delayed project. The stay was revoked after the project was taken over by Pune-based Mantra Group through the National Company Law Tribunal route. The group secured funding of ₹340 crore from ASK Property Fund, part of the ASK Asset and Wealth Management Group, which is backed by Blackstone.

The tenants who have not vacated have their own demands. 'Our demands have been submitted to MHADA and the developer. We are not against the project and are willing to vacate, subject to certain conditions,' said Arun Sawant, one of the 22 tenants yet to vacate, in a statement to Hindustan Times Real Estate. He added that the demands include a bank guarantee, a permanent alternate accommodation (PAA) agreement, and market-rate rent for all 22 families, along with clarity on corpus and outright compensation. 'We may approach the Bombay High Court and take further action if required,' he said.