August 11, 2025: Mumbai’s ambitious Dharavi Redevelopment Project (DRP) is poised for a major shift, with state authorities directing a more balanced and resident-centred approach. Under the updated plan, Dharavi’s land will be split equally between rehabilitation housing and for-sale developments, alongside significant increases in the size of rental and planned residential units.
According to records from a late-May meeting, senior state officials instructed the DRP to expand housing provision for residents ineligible for free rehabilitation. Rental tenements within the Dharavi notified area will now measure 350 sq ft, up from the current allocation, while flats in planned buildings will grow from 405 sq ft to 500 sq ft. The revisions aim to address long-standing concerns about overcrowding and poor living standards.
The 50-50 land division marks a strategic departure from earlier models, ensuring the commercial component remains financially viable while safeguarding existing residents’ housing rights. Officials have also called for the successful digital survey method used in Dharavi to be extended to all slums in Mumbai, enhancing transparency and accuracy in redevelopment projects.
The DRP is being carried out via a special purpose vehicle (SPV), which has yet to receive the updated master plan. While the current design is based on the 2016 Development Plan for Dharavi, amendments will now be made to reflect the new directives. Outside Dharavi, the state has earmarked large parcels for rental housing, including salt pan land in Mulund, Bhandup and Kanjurmarg, Kurla Dairy land, parts of the Deonar dumping ground, and revenue land in Aksai and Madh.
The SPV has already announced 300 sq ft rental homes, with the government to set rent levels. Tenants will have the option to gain ownership after ten years or make a one-time payment for immediate possession. Housing experts say these measures could set a precedent for equitable urban redevelopment across Mumbai.
Source: Urban Acres
