The Slum Rehabilitation Authority (SRA) has initiated a revival plan for 10 stalled projects across the city’s high-value zones.
Targeting areas such as Andheri, Jogeshwari, Bhandup, and Vikhroli, this new phase marks a significant departure from conventional models of urban renewal by introducing a profit-linked incentive mechanism for developers. Under the new plan, the SRA has shortlisted 30 financially vetted developers and invited them to participate in a tender process where allotment will favour those offering the highest share of profits from the sellable portion of each redevelopment. This shift aims to attract credible and well-capitalised builders capable of delivering projects without protracted delays — a persistent issue that has plagued over 500 SRA projects across Mumbai.
SRA officials confirmed that the revised tendering terms require developers to complete construction within three years. In addition to ensuring timely delivery, developers must pay two years’ rent in advance to eligible slum residents and deposit a cheque covering an additional year’s rent with the SRA before breaking ground. The decision to incorporate a profit-sharing component marks a turning point in how slum rehabilitation is approached. Traditionally, developers received land at zero cost in exchange for constructing free housing for eligible slum dwellers, with no obligation to share commercial gains with the authority. However, the new model seeks to ensure that public agencies also benefit financially from private sector-led urban transformation, thereby increasing accountability and public value creation.
The selected developers have been stratified into three tiers based on their past track record and financial capacity. This categorisation was submitted for approval to the Housing Department and has now received the green light, enabling the tendering process to move forward. According to SRA officials, the 10 projects under this special initiative could lead to the rehabilitation of around 12,560 families — a significant number considering the city’s chronic housing shortage. The revamped approach also aligns with broader efforts to make Mumbai a more liveable, equitable, and sustainable city, where housing solutions are delivered transparently and with long-term urban resilience in mind.
Despite repeated policy interventions, hundreds of slum rehabilitation schemes across Mumbai have been stranded due to financial mismanagement, lack of transparency, or developer exit. Many slum residents, promised formal housing for decades, continue to live in unsafe, unsanitary conditions with little hope of relocation. The new initiative seeks to repair public confidence in the SRA while also re-establishing faith among developers who have the capacity but have remained wary of bureaucratic gridlocks. Experts in the field of urban redevelopment have welcomed the shift. The financial model not only holds developers to stricter timelines and obligations but also makes public agencies like the SRA co-beneficiaries of redevelopment’s commercial upside. This could unlock fresh resources for future projects while encouraging more competitive and responsible developer participation.
However, some concerns remain about transparency in developer selection and whether the most vulnerable communities will receive sufficient protection during the transition phase. Housing rights activists have called for strong monitoring and grievance redressal mechanisms, particularly to ensure timely rent disbursals and to prevent displacement without appropriate compensation. For now, SRA’s move to rethink redevelopment financing marks a bold attempt to bring both financial sustainability and project completion timelines under tighter control. If successful, this initiative could serve as a model for other urban centres grappling with the dual challenge of slum clearance and affordable housing creation. It also underscores the importance of balancing profit with public interest in India’s rapidly urbanising metros.
As Mumbai continues to expand vertically and its population seeks dignified housing, the fate of these 10 projects will be closely watched — not just as a measure of policy success, but as a litmus test of political will to prioritise inclusive urban growth.
