Piramal Mahalaxmi is a high-end housing project that features luxurious apartments with panoramic views of the Mahalaxmi racecourse and the Arabian Sea. The 2, 3, and 4 BHK flats in three towers promise a “lifestyle filled with luxury, comfort, and extravagance”. Piramal Mahalaxmi is also Mumbai’s tallest slum redevelopment project, managed by the state’s Slum Redevelopment Authority (SRA).
For decades, the terms ‘luxury’ and ‘slum’ rehab did not go together; not anymore. Piramal Mahalaxmi exemplifies a new trend in which an increasing number of branded developers are entering the slum restoration industry, ironically selling premium and luxury homes. A handful of such projects have been completed in recent years, with slum dwellers receiving 300-square-foot homes as mandated by the SRA, developers selling luxury apartments as part of the free-sale component of their agreement with the SRA, and the city gaining large open spaces that were previously covered in shanties.
In a nutshell, massive Floor Space Index (FSI) incentives and a slew of policy changes, including the new Development Control and Promotion Regulations (DCPR) 2034, strategic land parcel location, a scarcity of larger land parcels, higher margins, newer business models, changing real estate dynamics, and market consolidation.
Among the rising list of such developers are Godrej Properties, Adani Realty, L&T Realty, Ashar Group, Piramal Realty, Prestige Group, Forum Group, Chandak Group, S D Corporation, and Oberoi Realty. According to industry sources, two Bengaluru-based companies, Puravankara and RMZ Corp, are looking for ‘lucrative slum projects’ to extend their real estate portfolio in Mumbai.
Even if the new road to slum redevelopment is occasionally bumpy, the arrival of huge developers appears to present a viable paradigm. Where initiatives were previously stymied by red tape and other obstacles, there appears to be a path forward. “As Mumbai and MMR continue to urbanise, more branded developers will likely explore SRA projects, given their potential for growth and alignment with developer expertise,” commented Hiranandani.
Source: Hindustan Times