December 20, 2025: The Brihanmumbai Municipal Corporation (BMC) has moved to monetise a prime six-acre land parcel in Worli, formerly part of the Century Cotton Textile Mill, by initiating an auction with a base price of Rs 1,348 crore. The land is being offered on a 30-year lease, with a provision to extend the tenure by an additional 30 years.
The decision follows a Supreme Court judgment earlier this year that resolved a decades-old ownership dispute in favour of the civic body. The plot had originally been leased to Century Spinning and Manufacturing Company in 1927 at a nominal annual rent. After the lease period expired, differences emerged between the private entity and the BMC, leading to prolonged litigation. The apex court overturned an earlier Bombay High Court order and restored ownership to the municipal corporation, paving the way for the land’s commercial monetisation.
As per the auction terms, the successful bidder will be required to deposit 30% of the bid value within one month of receiving the letter of acceptance. The remaining 70% must be paid in instalments over the subsequent two years. The conditions also specify that delayed payments will attract interest, and non-compliance with the payment schedule could lead to cancellation of the allotment along with forfeiture of the deposit.
Any development undertaken on the site will have to strictly adhere to the Development Control and Promotion Regulations (DCPR) 2034. These regulations lay down norms related to land use, permissible built-up area, and other planning parameters applicable across Mumbai. Compliance with these rules will be mandatory for all future construction or redevelopment proposals on the plot.
An important aspect linked to the redevelopment of the land is the presence of over 400 tenants currently occupying parts of the property. Their rehabilitation and rights are expected to play a significant role in shaping future development plans.
With the legal hurdles now cleared, the auction marks a major step in unlocking the value of one of Mumbai’s most sought-after land parcels, while balancing redevelopment potential with regulatory and tenant-related considerations.
Source: Prop News Time
