MUMBAI: The state government plans to invest approximately ₹181 crore to renovate and repair the recently acquired 22-storey Air India building located at Nariman Point. Officials estimate that the renovation will take around six months, after which state government offices will relocate to this building.
The acquisition cost the state government about ₹1,601 crore.
A structural audit conducted last week by the state public works department (PWD) indicated that substantial repairs and renovations are necessary.
“We will issue two separate tenders—for construction and electrification. The tender process is currently in progress, and we aim to complete the renovation within six months. The construction will involve repairs, interior work, new furniture, and painting, while the electrification will include the installation of new lifts and electrical systems,” said an official.
The state PWD recently inspected the building and installed a Maharashtra government signage board at the entrance. The iconic Air India logo atop the building will eventually be removed and replaced with a new logo representing the Maharashtra government, which will be prominently visible from Marine Drive.
The state cabinet approved the purchase of the building in 2023 to expand Mantralaya and accommodate state government offices. To facilitate this acquisition, the government agreed to waive all unearned income and other penalties owed by Air India. The takeover was finalized on June 2 this year, providing 46,470 sqm of space for government offices. Officials anticipate an annual rent saving of about ₹200 crore by moving offices from private buildings into the newly acquired structure. Chief Minister Devendra Fadnavis oversaw the signing of the building agreement, stating, “This move will not only save on rent but also centralize our offices.”
