Mumbai's Eastern Waterfront Plan Shelved: Port Authority Leases Land for Commercial Use

The ambitious plan to transform Mumbai's eastern waterfront into a world-class hub has been shelved as the Mumbai Port Authority (MbPA) decides to lease 215 acres of land for industrial and commercial purposes.

MumbaiWaterfrontDevelopmentMbpaLeaseReal Estate MumbaiAug 12, 2025

Mumbai's Eastern Waterfront Plan Shelved: Port Authority Leases Land for Commercial Use

Real Estate Mumbai:Mumbai: One of Mumbai’s most transformative plans – developing the city’s eastern waterfront into a world-class hub focused on tourism, recreation, entertainment, a marina, and commercial spaces – has been all but shelved. The grand plan, drawn up in 2018 but hanging fire ever since, reimagined the 28-km coastal stretch from Colaba to Wadala as a vibrant urban landmark.

Now, the Mumbai Port Authority (MbPA), which owns most of the land along this stretch, has decided to instead lease 215 acres along the eastern shoreline for up to 30 years, for industrial and commercial purposes. This has virtually laid to rest the ambitious waterfront master plan, which would have unlocked 966 hectares that fell into disuse ever since port activities shifted from Mumbai to the Jawaharlal Nehru port across the harbour in Navi Mumbai.

By leasing these properties, the MbPA is eyeing a minimum ₹814.04 crore in revenue annually. The port authority published an Expression of Interest (EOI) on Monday, offering 28 properties on 215 acres – 27 plots in Mumbai and one in Thal in Raigad district. The last date for submission is September 11.

These properties include a 22-hectare plot at Princess Dock near the domestic cruise terminal; a 1.2-lakh sq m plot that once housed an HPCL facility in Wadala; a 42,955-sq m plot that used to have warehouses of the Food Corporation of India in Wadala; the Sewri Timber Pond, a cargo storage yard measuring 1.04 lakh sq m near the Mumbai Trans Harbour Link; and various buildings owned by the MbPA along the city’s east coast.

According to the EOI, the MbPA intends to allot plots/buildings in one of South Mumbai’s most coveted locations on long lease, strictly for non-residential purposes. The plots will be allotted for industrial/commercial use. The MbPA’s decision to lease these plots has cast doubt on the intention to implement the much-talked-about eastern waterfront plan, which received a boost when Nitin Gadkari was appointed ports minister after the NDA government came to power at the centre in 2014.

The plan envisages a world-class promenade along the eastern shoreline, with playgrounds, a marina, gardens, amphitheaters, spaces for arts and culture, a cruise terminal, sea transport facilities, and other public amenities. It would also boast convention centres and a business district built to global standards. The ambitious plan also aims to revamp Sassoon Dock, one of Mumbai’s oldest docks, and build a ropeway connecting the Elephanta Caves to Sewri on the mainland. If implemented, it would have not only unlocked the commercial potential of this vast swathe of land but also resuscitated a portion of Mumbai, a city starved of open spaces and citizen amenities.

In December 2018, the MbPA (then known as the Mumbai Port Trust) was appointed as the Special Planning Authority to lead the development of the 966 hectares at the centre of this grand design. A committee headed by then MbPA chairperson Sanjay Bhatia released a draft development plan for public scrutiny. It was later finalised – but put in cold storage.

Government sources say the plan was placed on the backburner after Gadkari was divested of the ports ministry in a reshuffle at the centre in 2019. Opposition parties in Maharashtra had alleged that the BJP government at the centre had sidelined the plan in favour of developing GIFT City in Gujarat.

With a large section of the land now proposed to be leased by the MbPA, the waterfront project has effectively been shelved, officials said. According to Girish Shirsat, estate manager, MbPA, “We are leasing plots that are vacant. Overall development can take place only when all the plots are vacant. At present, we have existing tenants on many plots. Hence, overall development cannot take place.”

Milind Kulkarni, chief engineer with MbPA’s asset monetisation department, added, “We want to check the market’s pulse. We have floated an Expression of Interest and will then invite a request for proposal. Most of the properties we intend to lease are godowns and we will allow only industrial and commercial use.’’

Retired state government officials who have been part of various Mumbai development projects said the move to lease plots would defeat the purpose of the eastern waterfront plan. Former urban development secretary, T C Benjamin, who played an important role in the construction of the Eastern Freeway, said, “The MbPA is slowly losing its relevance as a port because of the JNPA port in Raigad. Now a new port is being built at Vadhavan. An alternative was to develop the eastern coastline and it should have been developed as an open space and recreational space. It is a critical need in a congested city like Mumbai.”

He added, “At present, there is no tourist attraction in Mumbai except the Gateway of India and Nehru Planetarium. Land use must be carefully planned as Mumbai’s carrying capacity is limited. They must consult experts before developing the land.’’

Rahul Asthana, former MbPA chairperson and former commissioner, Mumbai Metropolitan Region Development Authority (MMRDA) said, “Nearly 70% of MbPA cargo is liquid like chemicals and petroleum. There must be an overall plan for development and not piecemeal development. Liquid cargo does not require much land, which can be freed up.’’

Former IAS officer Sanjay Ubale, who was secretary, special projects, and a part of several makeover projects in the city, said, “Giving land on lease on a piecemeal basis will rob the city of a valuable waterfront for several years. A detailed plan was prepared by Sanjay Bhatia, then chairperson of MbPA, for land use. This plan needs to be put into action, to meet the target of a 1-trillion-dollar economy for Mumbai.’’

Former Union minister of state for shipping, Milind Deora, said, “Mumbai has benefited from the port and MbPA has benefited from Mumbai. The MbPA must work in tandem with the state and not in isolation.”

Town planner and former president of the Practising Engineers Architects and Town Planners Association, Manoj Daisaria, is of a different view. “Mumbai requires warehousing facilities and there is a dearth of space. Leasing plots will open up warehousing facilities apart from commercial offices. These lands are strategically located. The MbPA can modernise the Mumbai port with money earned. Most of these plots are close to the Atal Setu and accessibility is excellent.’’

Significantly, the warehouses at Sassoon Dock are also proposed to be leased, which means the fishing community that uses them as seafood processing centres may face eviction.

Frequently Asked Questions

What is the Mumbai Port Authority's (MbPA) new plan for the eastern waterfront?

The MbPA has decided to lease 215 acres of land along the eastern shoreline for up to 30 years for industrial and commercial purposes, instead of developing it into a world-class hub as originally planned.

What was the original plan for the eastern waterfront?

The original plan, drawn up in 2018, aimed to transform the 28-km coastal stretch from Colaba to Wadala into a vibrant urban landmark with tourism, recreation, entertainment, a marina, and commercial spaces.

How much revenue is the MbPA expecting from leasing the properties?

The MbPA is eyeing a minimum ₹814.04 crore in revenue annually from leasing the properties.

Why was the original plan put on hold?

The plan was placed on the backburner after Nitin Gadkari was divested of the ports ministry in a reshuffle at the centre in 2019, and opposition parties alleged that the plan was sidelined in favor of developing GIFT City in Gujarat.

What are the potential impacts of leasing the land instead of developing it as planned?

Leasing the land may defeat the purpose of the eastern waterfront plan, which aimed to create open spaces and recreational areas in a congested city like Mumbai. It also means the fishing community at Sassoon Dock may face eviction.