Maharashtra Approves Cluster-Based Slum Redevelopment Scheme for Mumbai
The Maharashtra government has approved a cluster redevelopment scheme for slums in Mumbai, aiming to transform informal settlements into integrated housing projects. This initiative, covering 50-acre-plus sites, is expected to boost construction and improve living conditions.
Slum RedevelopmentMumbaiMaharashtraConstructionReal EstateReal Estate MaharashtraOct 07, 2025
To be implemented by the Slum Rehabilitation Authority (SRA), the initiative aims to accelerate redevelopment, attract private investment, and boost construction activity. According to a statement from Chief Minister Devendra Fadnavis’s office, the project is also expected to generate significant employment in the construction and allied sectors.
The SRA will identify suitable clusters, with approvals routed through a high-level committee headed by the Additional Chief Secretary (Housing). Redevelopment may be undertaken via joint ventures or private developers, with incentives for larger rehabilitation projects. The policy also allows Floor Space Index (FSI) above 4 in certain cases to accommodate Project Affected Persons or relocate slums from non-developable areas like Coastal Regulation Zones.
The approval of projects under this scheme also provides homebuyers and developers with several incentives that a typical integrated housing project receives in the state of Maharashtra, officials said.
Real estate developers in the Mumbai real estate market have welcomed the government's move to approve a slum cluster redevelopment policy.
“We welcome the announcement of the Slum Cluster Redevelopment Policy by the State Cabinet. Currently, numerous small slum schemes are being undertaken on irregular and fragmented plots, creating planning inefficiencies and leaving several pockets undeveloped due to viability constraints. The new cluster-based approach will help overcome these challenges by enabling integrated development of larger contiguous areas under a single, well-planned framework,” said Rushi Mehta, secretary, CREDAI-MCHI.
“This policy has the potential to transform the urban fabric of Mumbai, promoting sustainable redevelopment, better infrastructure, and a marked improvement in the quality of life for residents. We are confident that the Government has drawn valuable lessons from the earlier 3K approvals, and that this initiative will become a watershed moment in the city’s journey towards inclusive and dignified rehabilitation of slum dwellers,” Mehta added.
The Maharashtra government's move is expected to not only improve the living conditions of slum dwellers but also contribute to the overall economic growth of the city by attracting more investment and creating job opportunities.
Frequently Asked Questions
What is the Slum Cluster Redevelopment Scheme?
The Slum Cluster Redevelopment Scheme is a government initiative in Maharashtra to transform informal settlements in Mumbai into integrated housing projects. It covers slum clusters over 50 acres and aims to improve living conditions and urban infrastructure.
Who will implement the scheme?
The Slum Rehabilitation Authority (SRA) will implement the scheme, with approvals routed through a high-level committee headed by the Additional Chief Secretary (Housing).
What are the benefits of this scheme?
The scheme aims to accelerate redevelopment, attract private investment, and boost construction activity. It also provides incentives for homebuyers and developers and is expected to generate significant employment.
How will the scheme be funded?
Redevelopment may be undertaken via joint ventures or private developers, with incentives for larger rehabilitation projects. The policy also allows a higher Floor Space Index (FSI) in certain cases to accommodate Project Affected Persons or relocate slums from non-developable areas.
What is the reaction from real estate developers?
Real estate developers have welcomed the scheme, stating that it will help overcome planning inefficiencies and promote sustainable redevelopment, better infrastructure, and improved quality of life for residents.
Related News Articles
Pune's Nightlife Takes a Hit: Under-25s Barred from Popular Clubs
Following the Porsche accident case
Domestic Abuse in Pune: Woman Abducted by Husband and In-Laws, Police Investigation Underway
A shocking incident of domestic violence has come to light in Pune, where a woman was kidnapped by her husband and in-laws, sparking a police investigation.
Schneider Electric Revolutionizes India's Real Estate Market with Innovative Solutions
Schneider Electric unveiled pioneering Home Energy Management Solutions at BuildCon 2024, catering to India's growing demand for smart and sustainable homes.
US Real Estate Mogul Brandon Miller's Shocking Debt Revealed After Tragic Death
Brandon Miller, a wealthy real estate developer, had only $8,000 in his bank account despite owing $34 million in debt. His financial struggles were largely due to his lavish lifestyle and massive loans on his Hamptons mansion.
PVR INOX to Shut Down 70 Underperforming Screens in FY25
The company plans to explore the potential monetisation of non-core real estate assets located in prime areas, including Mumbai, Pune, and Vadodara.
Real Estate Slump in Indore During Diwali: High Prices and Excess Inventory Dampen Sales
Despite the festive season of Diwali, real estate sales in Indore remain sluggish, primarily due to high property prices and an oversupply of inventory.