+
Railways to provide over 45 acre for Dharavi redevelopment
RAILWAYS & METRO RAIL

Railways to provide over 45 acre for Dharavi redevelopment

In order to redevelop Asia’s largest slum, the Maharashtra Government will be reportedly taking over 45 acre of railway land in Central Mumbai on a lease for 99 years for Rs 38 billion. 

Railway minister Piyush Goyal, reportedly, confirmed that the Rail Land Development Authority (RLDA) will be handing over 45 acre of surplus land to the Dharavi Development Authority (DDA) for the redevelopment of Dharavi. This decision is expected to transform the lives of Dharavi residents. 

Reports suggest that such a move of the railways handing over its land for a project, which is to be executed by the state, is very rare. The estimated cost of the project at present is Rs 260 billion. The Western and Central Railways have two parcels of land abutting Dharavi-one, measuring 17 acre, while the second of 90 acre has godowns, a scarp yard and encroachments on it. The government is expected to sought the entire 107 acre to resettle shanty dwellers in transit camps during redevelopment, for which the railways has agreed to transfer 45 acre. 

The deal was sealed after much bargaining as some railway officials had reportedly shown a lot of resistance as they feared it may cause allegations of graft. Besides, some of them reportedly said that surrendering land close to railway tracks may affect its future expansion plans. 

The railways has reportedly sough an upfront payment of Rs 12 billion of the total Rs 38 billion, while the state was willing to pay Rs 8 billion. It was then settled at Rs 10 billion, of which Rs 8 billion is expected to be paid immediately with the remaining balance in the coming six months. 

Of the remaining Rs 28 billion, Rs 25 billion is expected to come through profits generated from sale of surplus flats in the Dharavi project, while the remaining is expected to be adjusted against construction costs of 850 units of railway quarters on the same land. 

In order to redevelop Asia’s largest slum, the Maharashtra Government will be reportedly taking over 45 acre of railway land in Central Mumbai on a lease for 99 years for Rs 38 billion. Railway minister Piyush Goyal, reportedly, confirmed that the Rail Land Development Authority (RLDA) will be handing over 45 acre of surplus land to the Dharavi Development Authority (DDA) for the redevelopment of Dharavi. This decision is expected to transform the lives of Dharavi residents. Reports suggest that such a move of the railways handing over its land for a project, which is to be executed by the state, is very rare. The estimated cost of the project at present is Rs 260 billion. The Western and Central Railways have two parcels of land abutting Dharavi-one, measuring 17 acre, while the second of 90 acre has godowns, a scarp yard and encroachments on it. The government is expected to sought the entire 107 acre to resettle shanty dwellers in transit camps during redevelopment, for which the railways has agreed to transfer 45 acre. The deal was sealed after much bargaining as some railway officials had reportedly shown a lot of resistance as they feared it may cause allegations of graft. Besides, some of them reportedly said that surrendering land close to railway tracks may affect its future expansion plans. The railways has reportedly sough an upfront payment of Rs 12 billion of the total Rs 38 billion, while the state was willing to pay Rs 8 billion. It was then settled at Rs 10 billion, of which Rs 8 billion is expected to be paid immediately with the remaining balance in the coming six months. Of the remaining Rs 28 billion, Rs 25 billion is expected to come through profits generated from sale of surplus flats in the Dharavi project, while the remaining is expected to be adjusted against construction costs of 850 units of railway quarters on the same land. 

Related Stories

Gold Stories

Next Story
Products

Interio by Godrej launches modular workplace solutions

Interio by Godrej has launched Workscapes, a modular workplace solutions category designed to help organisations configure and adapt workspaces to changing requirements. The portfolio combines mobile and compatible furniture and support elements that can be rearranged across different work modes without changes to fixed layouts.Workscapes includes Collaboration Tables, Privacy Solutions, Mobile Markerboards and Space Dividers, Power Solutions, Storage and Support Elements, Meeting and Presentation Tools, and Seating Elements. The range is designed for focused work, collaboration, informal disc..

Next Story
Infrastructure Urban

CAFE-III Gives Auto Industry Investment Clarity

The government’s new Corporate Average Fuel Economy (CAFE-III) norms have provided the automobile industry with a clearer framework for technology investments, according to industry representatives. The framework seeks to balance environmental objectives with flexibility for manufacturers while encouraging the adoption of flex-fuel vehicles and biofuels. Society of Indian Automobile Manufacturers (SIAM) President Shenu Agarwal said the five-year framework would give automakers greater predictability to plan investments and accelerate innovation. He said the regulation established annual targ..

Next Story
Infrastructure Energy

Mines Ministry to Auction Two Offshore Mineral Blocks in Andaman Sea

The Ministry of Mines will launch an auction of two offshore mineral blocks in the Andaman Sea on Thursday, seeking to unlock India’s offshore mineral potential and strengthen long-term mineral resource security. The blocks will be offered under a composite licence, which permits exploration and development activities in accordance with the applicable regulatory framework. The ministry said the auction was intended to encourage systematic exploration, attract investment and promote the use of advanced technologies for offshore mineral exploration and development. The initiative is also aimed..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code