Adani Group Secured Rs 36,000 Cr Motilal Nagar Redevelopment Project

Adani Properties Pvt Ltd (APPL) has secured the bid for the Rs 36,000 crore redevelopment of Motilal Nagar in Mumbai, making it the second significant redevelopment project for the Adani Group in the city, following its win with the Dharavi slum redevelopment. This win comes after the Mumbai High Court gave the green light to the Maharashtra Housing and Area Development Authority (MHADA) to proceed with the project through a Construction and Development Agency (C&DA), addressing MHADA's technical and financial limitations.

The Motilal Nagar project spans 143 acres in Goregaon (West) and aims to rehabilitate existing residential, commercial, and slum units. APPL outbid L&T by offering to hand over 3.97 lakh square metres of built-up area to MHADA, surpassing L&T's bid of 2.6 lakh square metres and exceeding the mandated requirement of 3.83 lakh square metres. The total estimated cost of the redevelopment is Rs 36,000 crore, with a rehabilitation period of seven years.

APPL's bid exceeds the minimum housing stock required by the C&DA, making it the preferred bidder. The developer is prohibited from selling or transferring land rights or mortgaging the property without MHADA's explicit approval, ensuring that MHADA retains full control over the project.

The Motilal Nagar redevelopment will rehabilitate 3,372 MHADA residential units, 328 commercial units, and 1,600 slum tenements, creating a well-planned community. The project aims to eliminate illegal constructions and integrate the area with proper infrastructure and facilities, addressing long-standing issues such as flooding and waterlogging.

The Bombay High Court recently upheld MHADA's decision to appoint a C&DA, citing the risks of fragmented development if individual societies were to appoint their developers. The court stressed that piecemeal redevelopment would not provide long-term solutions, especially for the ongoing flooding and waterlogging problems in Motilal Nagar. Holistic redevelopment, the court noted, was the only way to address these challenges and ensure sustainable growth for the community.

As part of its role, Adani Properties will oversee the entire redevelopment process, including design, approvals, and infrastructure development, ensuring that the project meets the needs of both current residents and future generations.