Ten X Realty, a Raymond subsidiary, plans to undertake the redevelopment of Kumari Jethi Sipahimalani housing society (also known as Navjivan Society) property in Mahim West. Spread across 3.6 acre, the project is strategically located in one of the most sought-after residential areas of Mumbai, and is estimated to have a revenue potential of over Rs 17 billion, according to an intimation by Raymond.

The redevelopment market

Most of the construction in Mumbai took place from the 1970s, so redevelopment activity offers huge potential, especially in central and south Mumbai. Many societies are coming up with redevelopment projects because the floor space index (FSI) for redevelopment is up to four times higher today. Also, such projects contribute about 2-3 per cent of the total supply in the city, which is expected to increase to 10-15 per cent. The only drawback is the time required for completion of such projects to delays in receipt of permissions from society residents, building approvals, environmental clearances, etc. But overall, such projects are more profitable for developers.

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