Rustomjee Group to Transform Andheri West with Massive Housing Redevelopment Project
The Rustomjee Group has been selected to redevelop eight housing societies in Andheri West, Mumbai, aiming to generate a revenue of ₹3,000 crore. 1,200 families will receive new 635 sq. ft. apartments.
MumbaiRustomjee GroupHousing RedevelopmentReal EstateAndheri WestReal Estate NewsJul 02, 2025
According to the company, Development Agreements (DAs) have already been executed with five of the societies, while Letters of Intent (LOIs) have been received from the remaining three. The execution of DAs for these is expected in the coming days.
The cluster redevelopment project is located in the Lokhandwala area of Andheri West, one of the city's most vibrant residential hubs. The project covers a cumulative plot area of approximately 4.75 acres (19,229 sq. meters) and includes 548 existing members. The company stated that the project is expected to unlock approximately 10.6 lakh sq. ft. of saleable area and generate a Gross Development Value (GDV) of ₹3,000 crore.
Rustomjee said that the project aligns with its broader strategy of expanding its footprint in key suburban markets and building a diversified portfolio across micro-markets and pricing segments. With this addition, the company has further strengthened its project pipeline for the current financial year, continuing its momentum of acquiring strategically located, high-potential redevelopment projects in key city clusters.
Boman Irani, chairman and managing director of Keystone Realtors Limited, said, “We are proud to have been selected as the preferred redevelopment partner for this large-format society cluster in Andheri West—one of Mumbai’s most dynamic residential neighbourhoods. With a GDV of nearly ₹3,000 crore and a significant development footprint, this project exemplifies our focus on scale, location, and value creation.”
Irani added, “We believe that urban redevelopment is not just about creating real estate, but about revitalising communities and transforming the way people live in the city. This cluster-led approach is a testament to the growing trust in Rustomjee’s redevelopment capabilities and our consistent track record of timely delivery and thoughtful design.”
In Maharashtra, several old buildings, especially those comprising two to seven storeys, are currently being redeveloped. Redevelopment of housing projects involves demolishing the old structure and replacing it with a modern, bigger building, subject to various norms. Residents of the old building get larger apartments in the newer building for free, as the builder sells a certain number of apartments in the new building for a profit in the open market. The government also earns revenue by selling the floor space index (FSI) to the builder.
Earlier, Maharashtra Housing and Area Development Authority (MHADA) had appointed the Rustomjee Group to redevelop 25 buildings in Mumbai’s Guru Teg Bahadur Nagar (GTB Nagar), Sion Koliwada. The project aims to rehabilitate 1,200 Sindhi families who migrated to India from Pakistan after Independence. The project has a total of 1,200 refugee families and 200 slum dwellers who will be rehabilitated as part of the project.
Spread across 11.20 acres, the redevelopment will generate 25,700 sq. m. of built-up space for MHADA as housing stock, with a permissible Floor Space Index (FSI) of 4.5, including the fungible area. Under the project, 1,200 families will receive 635 sq. ft. apartments in exchange for their current homes in dilapidated buildings.
Frequently Asked Questions
What is the Rustomjee Group's new project in Andheri West?
The Rustomjee Group has been selected to redevelop eight housing societies in Andheri West, Mumbai, as part of a large-scale cluster redevelopment project. This project is expected to generate a revenue of ₹3,000 crore.
How many families will benefit from this project?
1,200 families will receive 635 sq. ft. apartments in exchange for their current homes in dilapidated buildings.
What is the total area covered by this redevelopment project?
The project covers a cumulative plot area of approximately 4.75 acres (19,229 sq. meters).
What is the expected saleable area from this project?
The project is expected to unlock approximately 10.6 lakh sq. ft. of saleable area.
What is the broader strategy of the Rustomjee Group with this project?
The project aligns with Rustomjee's strategy of expanding its footprint in key suburban markets and building a diversified portfolio across micro-markets and pricing segments.
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