Top Developers Shortlisted for Massive Rs 10,000 Crore South Mumbai Railway Plot

The Railway Land Development Authority (RLDA) has shortlisted four out of 16 developers that have bid for the development of a prime 2.5-acre plot in South Mumbai’s plush Mahalaxmi locality. This project has an estimated revenue potential of around Rs 10,000 crore, according to sources with direct knowledge of the matter.

The tender has drawn participation from top developers, making it one of the most competitive bids for a government-owned land parcel. The e-bidding process took place on Tuesday.

According to information reviewed, the Lodha Group, Sobha Ltd, Dineshchandra R Agrawal Infracon, and Millennia Realtors have moved to the next round. The bidders who were not shortlisted include Godrej Properties, L&T Realty, K Raheja Corp, Oberoi Realty, Aurum Real Estate Developers, Welspun Realty, Shree Naman Developers, and Safal Construction.

RLDA’s Mahalaxmi land offers a rare opportunity to build large-scale premium real estate in one of the city’s most land-starved and aspirational locations. However, it is surprising that some of the bigger names with financial and technical capabilities did not make it to the shortlisted few, said a senior property consultant tracking the development.

Some of the developers who have not been selected for the next round are exploring legal options, highlighting lenient bidding criteria and a potential loss to the exchequer, according to sources in the know.

The RLDA has stated that many bidders submitted their bids within the stipulated time on Tuesday. The authority is following a fully transparent and automated process, leaving no scope for manual intervention. 'At present, the evaluation of the technical bids opened on 11.11.2025 is underway, and the next stage will involve the opening of financial bids of technically qualified bidders,' the RLDA said in a response to ET's queries.

The developers who bid for the project did not respond to ET’s emailed queries. Among the key criteria, the bidder is expected to have completed either one realty project with a minimum built-up area of 24,566 sq meters or multiple projects with a cumulative built-up area of at least 61,415 sq meters during the last 10 years.

The bidder should also have either a minimum average annual gross turnover of Rs 400 crore during the three preceding financial years or a minimum net worth of Rs 400 crore as of March 2025.

The plot, overlooking the Mahalaxmi Racecourse, is located in one of Mumbai’s most valuable precincts and carries an estimated development potential of nearly 850,000 sq ft. The redevelopment is structured on a revenue-sharing model expected to fetch the RLDA Rs 4,000-5,000 crore, depending on the final share ratio.

The RLDA project has drawn interest from developers in Mumbai and elsewhere due to the site’s strategic location and large-scale potential for premium mixed-use development. The land’s proximity to business districts and panoramic views of the Racecourse make it particularly attractive for high-end residential and commercial redevelopment.

Industry watchers said the high-profile interest in this plot underscores sustained appetite among developers for marquee redevelopment projects in Mumbai’s core areas, especially those backed by government authorities. The RLDA, the statutory authority responsible for commercial development of railway land, has been actively monetising its prime land parcels across major Indian cities.

The Mahalaxmi project is expected to set a benchmark for future redevelopment tenders in Mumbai, given its location, scale, and potential revenue yield. Evaluation of the bids is currently underway, and the final award is expected to be announced after detailed technical and financial assessments.