January 9, 2026: The Railway Land Development Authority (RLDA) has received a Rs 1,368 crore bid for the redevelopment of Supari Baug railway colony, a nearly six-acre land parcel located in Parel, one of central Mumbai’s rapidly transforming neighbourhoods. The site is being offered on a 99-year lease under a revenue-sharing framework as part of Indian Railways’ broader strategy to monetise high-value urban land and boost non-fare revenue streams.
The bid was submitted by Dineshchandra R Agrawal Infracon and is marginally higher than the revised reserve price of Rs 1,343 crore fixed by the RLDA. The authority had earlier recalibrated the project valuation by excluding Rs 390 crore earmarked for the rehabilitation of existing railway housing, effectively lowering the reserve price from the original Rs 1,734 crore. This restructuring was aimed at making the project more attractive to developers while ensuring mandatory rehabilitation commitments are met.
Under the proposed model, RLDA will retain a share in the project’s long-term revenues in addition to the upfront lease premium. The bid will now undergo detailed technical and financial scrutiny, following which the authority will decide whether to proceed with the sole bidder or re-tender the project to invite broader participation.
Supari Baug’s appeal lies in its strategic positioning along Dr Babasaheb Ambedkar Road and its proximity to major commercial districts. Over the past two decades, Parel has evolved from a mill-centric industrial zone into a high-demand mixed-use hub, driven by infrastructure upgrades, enhanced connectivity and sustained residential and commercial development.
The bidder has prior experience with large railway redevelopment projects, having earlier secured prime land parcels such as the Mahalaxmi site in south Mumbai. The Supari Baug redevelopment will permit a base floor space index of 4.05, unlocking significant development potential, subject to regulatory clearances. Rehabilitation of existing railway residents will remain a central component of the project, in line with RLDA’s redevelopment norms and planning framework.
