Cluster revamping to boost redevelopment in Mumbai Metropolitan Region


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The cluster redevelopment plan is set to offer 4 FSI to the builders that will allow them to go vertical and save land cost.

The Maharashtra government has announced cluster redevelopment policy for Mumbai’s satellite towns - Thane and Navi Mumbai in Mumbai Metropolitan Region (MMR). This plan has been announced in an attempt to create a development plan for suburban localities. Under this scheme, builders will have to redevelop structures that are in dilapidating condition and for doing this, they will get an incentive floor space index (FSI) of up to 4. Commenting on this, Rohit Poddar, managing director of Poddar Developers, says, “Thane has thousands of illegal buildings and such a proactive policy will have a positive impact on the infrastructure and overall quality of life to the residents.”

With a number of proposals, MMR has taken up Bhendi Bazaar as the first pilot project. Spread across 16.5 acres of land, Bhendi Bazaar is set to get redeveloped by Saifee Burhani Upliftment Trust (SBUT), which has taken up the project from the state government.

benefits of redevelopmentWhat is Cluster Development?

It is a policy to redevelop old buildings in order to expedite development in a particular region or area. Cluster development is allowed only for the dilapidating and non-liveable buildings that are located on at least one acre land. As per the policy, builders will develop residential properties in closer groups that will leave land for recreation or agricultural purposes. To make the plan attractive for tenants, the government offers flats starting 300 sq ft.

Cluster redevelopment in Thane

Thane Municipal Corporation (TMC) has finalised this scheme in order to solve problems related to unauthorized housing in Thane. Thane civic corporation is likely to have eight clusters for redevelopment out of which each cluster is supposed to be built on a minimum of one hectare plot. Spanning across 30 crore sq ft area, Thane will include development of old buildings, slums and other structures, out of which at least 40-45% of structures should be legal.

Cluster redevelopment in Navi Mumbai

A lot number of structures will get covered under the redevelopment scheme in Navi Mumbai. The government plans to redevelop as many as 22,000 houses in Navi Mumbai sprawled in 95 gaothans. These structures could be registered under Navi Mumbai Municipal Corporation or City and Industrial Development Corporation (CIDCO), Maharashtra. Realty experts account this need of redevelopment to the haphazard construction of houses in Navi Mumbai Municipal Corporation (NMMC). 

Talking about the need and importance of such a scheme, Ravi Gurav, Vice President, Marketing of Dheeraj Realty affirms, “With an FSI of up to 4, this policy will leave enough supply in the market to meet the growing housing demand in the affordable category. In addition, it will provide additional scope for road widening.” While this policy mostly appeals to rebuild the dilapidated structures, it is also likely to fulfil the increasing need of residential units in the region. Since the policy requires developers to compensate homeowners for relocation, some realty experts believe that it will cost developers dearly. However, they can still work this out by selling additional flats at market price.


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