Dharavi Slum Redevelopment: Separating Fact from Fiction

The Adani Group will not acquire land in the Dharavi slum redevelopment project, but will instead construct housing and commercial units for the Maharashtra government.

Dharavi Slum RedevelopmentAdani GroupMaharashtra GovernmentHousingSlum RehabilitationReal Estate NewsJun 16, 2024

Dharavi Slum Redevelopment: Separating Fact from Fiction
Real Estate News:The Dharavi slum redevelopment project has been at the center of controversy, with allegations of land grabbing and displacement of residents. However, sources close to the project have clarified that the land will not be transferred to the Adani Group, but to various Maharashtra government departments. The Adani Group, acting as the project developer, will only construct homes for Dharavi residents, which will then be transferred back to the government departments for allocation.

The project involves the transfer of land to the Dharavi Redevelopment Project/Slum Rehabilitation Authority (DRP/SRA) under the state's housing department. The Adani Group secured the project via open international bidding and will construct housing and commercial units through their joint venture, Dharavi Redevelopment Project Private Ltd (DRPPL), in collaboration with the Maharashtra government.

Sources have clarified that the land remains allocated to DRP/SRA at government-approved rates, and that DRPPL is required to pay the government for development costs upon demand. The state support agreement included in the tender specifies that the state government will assist the project by providing land to its own DRP/SRA department.

The project also includes various initiatives such as sustainable transportation systems, modern infrastructure utilities, and vocational training to empower youth and aspiring workers in Dharavi. The aim is to create a more prosperous and environmentally friendly future for the community.

Residents holding tenements existing on or before January 1, 2000, will qualify for rehabilitation within Dharavi itself. Those who came between January 1, 2000, and January 1, 2011, will be allocated homes under PMAY outside Dharavi in Mumbai Metropolitan Region for a nominal fee of Rs 2.5 lakh or through rental housing options. Tenements built after January 1, 2011, until the official cutoff date will receive housing under the state government's upcoming affordable rental housing policy.

The project is distinct from the standard SRA scheme, ensuring that all qualifying tenement holders are offered homes of up to 300 square feet. In the Dharavi redevelopment project, flats measuring 350 square feet will be allocated, which is 17% larger than those typically provided in other SRA schemes in Mumbai.

The Dharavi Redevelopment Tender is characterized as highly progressive in its approach toward informal settlers of Dharavi, according to sources quoted by PTI. It aims to be completely pro-people by offering free and highly concessional housing, along with exemptions on stamp duty and property tax.

The project also includes 10 years of free maintenance and allows for 10% commercial space within residential premises, ensuring sustainable revenue for housing societies. Eligible businesses will receive free business premises, and a five-year state GST rebate is offered to enhance profitability, integrate them into the formal economy, increase competitiveness, and create growth opportunities.

The Tender has set strict timelines for project completion, with penalties for any delays. Addressing allegations about the allocation of Kurla Mother Dairy land, sources clarified that the land will be transferred to DRP (Dharavi Redevelopment Project) and not to Adani or DRPPL.

The Dharavi Redevelopment Project aims to enhance the lives of more than one million residents by focusing on their needs and well-being. It seeks to provide improved living standards and amenities, transforming the area into a thriving urban center.

Frequently Asked Questions

Will the Adani Group acquire land in the Dharavi slum redevelopment project?

No, the land will not be transferred to the Adani Group, but to various Maharashtra government departments.

What is the aim of the Dharavi Redevelopment Project?

The project aims to provide improved living standards and amenities, transforming the area into a thriving urban center, while preserving its unique character and heritage.

Will residents be displaced due to the project?

No, sources have dismissed such claims as fictional and aimed at creating unnecessary anxiety. The project ensures that no resident of Dharavi will be displaced.

What are the benefits of the Dharavi Redevelopment Project?

The project offers free and highly concessional housing, along with exemptions on stamp duty and property tax, 10 years of free maintenance, and allows for 10% commercial space within residential premises.

What is the timeline for project completion?

The Tender has set strict timelines for project completion, with penalties for any delays.

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