Mumbai's New Slum Cluster Redevelopment Plan: A Game-Changer for the City
Mumbai is set to undergo a significant transformation with the introduction of a new slum cluster redevelopment framework. This plan aims to unlock hundreds of acres of land, improve infrastructure, and enhance the city's real estate market.
MumbaiSlum RedevelopmentReal EstateUrban PlanningInfrastructureReal Estate MumbaiNov 16, 2025
The new government resolution (GR) seeks to replace Mumbai's fragmented, plot-by-plot redevelopment with large-scale, integrated transformation. Clusters must span at least 50 acres, with over 51% of the area occupied by slums. The idea is to bring together scattered Slum Rehabilitation Authority (SRA) projects, dilapidated structures, unsafe buildings, and old tenements into a single master plan. This approach will allow for uniform rehabilitation structures, common amenities, and efficient civic infrastructure.
The scheme covers almost every category of land, including private, state government, and municipal land. This is significant for Mumbai, where large slum belts often straddle multiple ownerships. Inclusion of central government and public sector undertakings' properties will require their consent, but the framework removes the long-standing barrier of piecemeal ownership.
The Slum Rehabilitation Authority (SRA) will act as the nodal agency for identifying and approving clusters. Once eligible clusters are mapped, proposals will be evaluated by a high-powered committee (HPC) comprising senior officials from housing, SRA, and the Brihanmumbai Municipal Corporation (BMC). The HPC will finalize the cluster boundaries, layout, and master plan, phasing and infrastructure design, as well as rehabilitation and sale components. After HPC clearance, the state government will accord final approval under Section 3K of the Maharashtra Slum Areas Act, 1971.
One of the most consequential changes in the GR is the removal of the requirement for slum dweller consent, citing the need to avoid delays in city-scale public-interest redevelopment. This is a significant departure from existing SRA norms.
The framework permits the merger of ongoing SRA schemes approved under DCR 33(10). It allows the inclusion of commercial units, industrial establishments, cessed buildings, rental housing, and government offices. Developers have the flexibility to retain, demolish, or redevelop buildings that already have occupation certificates. The rehabilitation FSI of existing structures will be protected even when layouts are reorganized.
Development may proceed through joint ventures with government bodies, a competitive tendering process, or, in some cases, by prioritizing a developer who already controls 40% or more of the cluster land. All developers must prepare a comprehensive master plan covering rehab buildings, sale area, internal roads, amenities, and utilities.
Key planning norms include 12% open space within the slum area (relaxable to 8% in specific cases), community facilities equal to 2% of the rehab area or 200 sq ft per rehab building, integrated roads, fire access, social infrastructure, and underground utilities. CRZ-I and CRZ-II slum areas can also be redeveloped, with relocation within the cluster.
If private owners refuse to participate, they may opt for a developed land value under the scheme. If they decline, their land may be acquired under the Land Acquisition, Rehabilitation, and Resettlement (LARR) Act, 2013, with compensation costs borne by the project proponent.
In addition to unlocking land for cohesive planned development, consolidated layouts may also improve infrastructure, transport linkages, and urban liveability, enhancing the long-term value proposition of both rehabilitation and sale units. However, execution capacity, litigation risks, and coordination between agencies will determine how quickly these benefits materialize.
Frequently Asked Questions
What is the new slum cluster redevelopment plan in Mumbai?
The new slum cluster redevelopment plan in Mumbai is a framework introduced by the Maharashtra government to redevelop large slum-dominated land parcels through integrated planning. It aims to unlock hundreds of acres of redevelopable land, improve infrastructure, and enhance the city's real estate market.
What are the key requirements for slum clusters under the new plan?
Key requirements include clusters spanning at least 50 acres, with over 51% of the area occupied by slums. The plan also mandates 12% open space within the slum area (relaxable to 8% in specific cases), community facilities, integrated roads, fire access, social infrastructure, and underground utilities.
How will developers be selected for the redevelopment projects?
Developers may be selected through joint ventures with government bodies, a competitive tendering process, or by prioritizing a developer who already controls 40% or more of the cluster land. All developers must prepare a comprehensive master plan covering rehab buildings, sale area, internal roads, amenities, and utilities.
What happens if private owners refuse to participate in the redevelopment?
If private owners refuse to participate, they may opt for a developed land value under the scheme. If they decline, their land may be acquired under the Land Acquisition, Rehabilitation, and Resettlement (LARR) Act, 2013, with compensation costs borne by the project proponent.
What are the potential benefits of this new redevelopment plan for Mumbai?
The potential benefits include unlocking land for cohesive planned development, improving infrastructure, enhancing transport linkages, and improving urban liveability. These changes can enhance the long-term value proposition of both rehabilitation and sale units, although execution capacity, litigation risks, and coordination between agencies will determine how quickly these benefits materialize.
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