Maharashtra Approves 1.33 FSI for Dharavi Redevelopment Project

The Maharashtra government has issued a government resolution allowing the Dharavi Redevelopment Project Private Ltd (DRPPL) to purchase land outside the Dharavi Notified Area for rental housing, providing an incentive FSI of 1.33.

Dharavi RedevelopmentMaharashtra GovernmentFsiRental HousingReal EstateReal Estate MumbaiOct 06, 2024

Maharashtra Approves 1.33 FSI for Dharavi Redevelopment Project

Real Estate Mumbai:The Maharashtra state housing department has issued a government resolution (GR) permitting the Dharavi Redevelopment Project Private Ltd (DRPPL) to acquire land outside the Dharavi Notified Area (DNA) for the construction of rental housing. According to the GR, DRPPL will be given an incentive Floor Space Index (FSI) of 1.33 for the saleable component in exchange for building rental housing units. \n\nThe GR specifies that the land should ideally be purchased within 10 kilometers of the Dharavi Notified Area. However, if suitable land is not available within this range, DRPPL can construct the rental housing in the Mumbai Metropolitan Region, as previously decided by the authorities.\n\nRecently, the central government approved the transfer of salt pans to the state government, which was then transferred to the DRPPL. However, the unavailability of the entire parcel of salt pans has posed a significant challenge to the project's implementers. The salt pans in question include the Arthur Salt Works land (120.5 acres) at Kanjurmarg, Jenkins Salt Works land (77 acres) at Bhandup, and Jamasp Salt Works land (58.5 acres) at Mulund.\n\nTo manage the Dharavi Redevelopment Project, the state government has formed a Special Purpose Vehicle (SPV) called Dharavi Redevelopment Project Pvt Ltd (DRPPL). Adani Realty, the lead developer, owns 80% of the equity, while the state government holds 20%. Both the DRP and the Slum Rehabilitation Authority (SRA) are integral parts of the DRPPL.\n\nThe state government had claimed 120 acres of salt pan land at Kanjurmarg for the Metro 3 car shed, which was challenged by the central government. Despite this, the government has announced plans to provide rental housing for ineligible Dharavi residents, estimated to be around 3-4 lakh households.\n\nIn conclusion, the approval of the 1.33 FSI by the Maharashtra government is a significant step towards the successful implementation of the Dharavi Redevelopment Project, aiming to improve the living conditions of a large number of residents in one of Mumbai's most densely populated slums.

Frequently Asked Questions

What is the Dharavi Redevelopment Project (DRP)?

The Dharavi Redevelopment Project (DRP) is a large-scale urban renewal initiative aimed at improving the living conditions in Dharavi, one of the largest slums in Asia. The project involves the construction of new housing, infrastructure, and amenities for the residents.

What is the FSI incentive provided by the Maharashtra government for the DRP?

The Maharashtra government has provided an incentive Floor Space Index (FSI) of 1.33 for the saleable component in exchange for constructing rental housing units for ineligible Dharavi residents.

Who owns the Dharavi Redevelopment Project Pvt Ltd (DRPPL)?

The Dharavi Redevelopment Project Pvt Ltd (DRPPL) is a Special Purpose Vehicle (SPV) formed by the Maharashtra government. Adani Realty, the lead developer, owns 80% of the equity, while the state government holds 20%.

What is the estimated number of ineligible Dharavi residents who will benefit from rental housing?

The government estimates that around 3-4 lakh households of ineligible Dharavi residents will benefit from the rental housing provided under the Dharavi Redevelopment Project.

What are the salt pans that are part of the Dharavi Redevelopment Project?

The salt pans included in the Dharavi Redevelopment Project are the Arthur Salt Works land (120.5 acres) at Kanjurmarg, Jenkins Salt Works land (77 acres) at Bhandup, and Jamasp Salt Works land (58.5 acres) at Mulund.

Tags:

Related News Articles

Real Estate

Real Estate Soars as Inflation Shield; Housing Prices Surge 13% in Two Years

Real estate investments offer a hedge against inflation, providing both rental income and capital value appreciation.

June 13, 2024

Read Article

Real Estate

Anant Raj Ltd Posts Impressive Q1 FY2025 Results with 63.5% Jump in Profit After Tax

Anant Raj Limited, a prominent player in the real estate sector, has announced its unaudited standalone financial results for Q1 FY2025, showcasing a significant surge in profit metrics.

July 28, 2024

Read Article

Real Estate Mumbai

Putting Family First: Arkade Developers Launches Heartwarming Campaign for Mumbaikars

Arkade Group, a renowned real estate developer in Mumbai, has launched a unique campaign titled 'Family First' to emphasize the importance of family values and unity.

July 27, 2024

Read Article

Real Estate Mumbai

Mumbai's Real Estate Market Sees Significant Land Sale: Nitco Ltd Sells Prime Kanjurmarg East Land to Runwal Group

Nitco Ltd's sale of a 16,250 sqm land parcel in Kanjurmarg East to Runwal Group for INR 232 crore highlights the high demand for prime Mumbai real estate and the company's focus on optimizing its asset portfolio.

August 15, 2024

Read Article

Real Estate

Pune Real Estate Firm Falls Victim to Rs 24 Lakh Whale Phishing Scam

A Pune-based real estate firm suffered a significant financial loss of Rs 24 lakh in a sophisticated whale phishing attack. The fraudsters posed as the company director’s father, manipulating an accounts staffer to transfer funds to fraudulent accounts.

November 27, 2024

Read Article

real estate news

Experts Applaud IBC's Success in Resolving Real Estate Distress

Industry experts have lauded the Insolvency and Bankruptcy Code (IBC) for its effectiveness in resolving distressed real estate projects, bringing much-needed relief to both developers and homebuyers.

February 19, 2025

Read Article