August 30, 2025: A suburban Mumbai redevelopment project, stalled for nearly two decades due to mounting debt, is finally set for revival after the Mumbai Bench of the National Company Law Tribunal (NCLT) approved the resolution plan of Pune-based developer, Mantra Properties & Developers Pvt Ltd.
On August 26, the bench comprising Justice Lakshmi Gurung and Technical Member Hariharan Neelakanta Iyer cleared the Rs 614-crore plan, paving the way for Mantra to take over and complete the unfinished scheme in Jogeshwari (East).
The project was originally undertaken by Acme Realties, which was tasked with redeveloping the Majaswadi Sarvodayanagar Co-operative Housing Society, comprising 576 homes on an 8.5-acre plot. Under the agreement, Acme was to rehouse all residents while constructing additional saleable towers. Though three towers for 171 original occupants were partially completed and two towers were sold to 350 new buyers, escalating debt—totalling Rs 4,326 crore including borrowings from HDFC entities and homebuyers—brought the project to a standstill.
Frustrated residents and buyers approached the NCLT, which appointed a resolution professional to seek new bidders. Of 14 interested developers, five submitted formal proposals, with Mantra eventually securing unanimous support from homebuyers, occupants and creditors.
Under the approved plan, Mantra will complete two pending towers within 18 months, while ensuring possession is handed over to homebuyers. For the 576 original families, 171 are already housed, 92 still occupy homes awaiting demolition, and around 300 have been relocated but remain without possession. Mantra is required to pay pending rent to the displaced families and finish their homes within 42 months.
Rohit Gupta, CEO of Mantra Properties, said the company is committed to “fulfilling the long-delayed promise to both residents and buyers” while transforming the colony into a modern housing development.
Source: The Hindu
