NAREDCO asks Maharashtra government to allocate 5,000 slum projects in Mumbai to the industry body

The National Real Estate Development Council (NAREDCO) Maharashtra, an apex body of real estate developers, has asked the Maharashtra government to allocate 5,000 slum redevelopment projects to the industry body.

What is a slum redevelopment project?

In Maharashtra, slums are redeveloped with public and private partnerships (PPP) wherein real estate developers are given additional floor space index (FSI) in exchange for rehabilitating slum dwellers in homes of over 300 sq ft. The real estate developers after rehabilitating slum dwellers are permitted to sell the apartments built after utilizing the additional FSI in the open market.

The nodal agency for slum redevelopment projects in Maharashtra is the Slum Rehabilitation Authority (SRA). Ever since the inception of SRA in 1995, in all 2,353 projects have been completed and 2,57,403 families are residing in rehabilitated slums, as of March 2024 according to the Maharashtra government data.

Also Read: Mumbai real estate: 10 things homeowners of societies looking to get their buildings redeveloped should keep in mind

“NAREDCO Maharashtra has formally requested state government authorities to allocate 5,000 slum redevelopment projects to the industry body. This initiative shall be a significant step towards strengthening Public-Private Partnerships (PPP) and redefining the landscape of Mumbai’s real estate sector,” said Niranjan Hiranandani, founder and chairman of Hiranandani Group and chairman Emeritus of NAREDCO Maharashtra.

“By spearheading this endeavor, NAREDCO aims to play a pivotal role in transforming Mumbai into a slum-free city, setting a benchmark for urban redevelopment and inclusive growth,” Hiranandani added.

Also Read: Mumbai real estate market: 5 things you need to know about Dharavi redevelopment project

Dharavi redevelopment is biggest slum redevelopment project in India

Dharavi is an example of a slum redevelopment project, Dharavi Redevelopment Project Pvt Ltd (DRPPL), a joint venture between the Government of Maharashtra and the Adani Group, is executing the Dharavi redevelopment project for which the survey to collect data on eligible and ineligible slum dwellers is currently on. The authorities expect the survey to be completed by March 2025.

Also Read: Dharavi redevelopment project: Construction work may start in 6-8 months, says CEO

The construction work is expected to start in the next six to eight months, SVR Srinivas, Chief Executive Officer (CEO) of Dharavi Redevelopment Project (DRP) told HT.com on August 29.