NEW DELHI: On Monday, the Supreme Court upheld the Maharashtra Housing and Area Development Authority’s (MHADA) plan to redevelop Mumbai’s Motilal Nagar using the Construction and Development Agency (C&DA) model, dismissing challenges from local resident associations.
A bench comprising Justices Vikram Nath and Sandeep Mehta rejected a special leave petition filed by three parties – Motilal Nagar Jankalyankari Samiti, Motilal Rahivasi Vikas Sangh, and Gaurav Arun Rane – against a Bombay High Court decision that facilitated the redevelopment of 143 acres in Motilal Nagar I, II, and III through the C&DA framework.
Solicitor General Tushar Mehta, who represented MHADA, argued that the land is owned by the housing authority, and the Maharashtra government has provided “special status” to the project. He noted that seeking individual consent from thousands of residents could significantly delay the much-awaited redevelopment.
The court acknowledged that the redevelopment plan offers 1,600 sq ft of living space for every 230 sq ft of current occupancy, which exceeds the usual entitlements outlined in the Development Control and Promotion Regulations (DCPR).
Previously, the Bombay High Court had dismissed a review petition by the Motilal Nagar Vikas Samiti, reaffirming the legality of the C&DA method for redeveloping Motilal Nagar.
The redevelopment initiative, in collaboration with Estatevue Private Developers, a subsidiary of Adani Realty, seeks to provide modern apartments of 1,600 sq ft to about 3,700 residents. The C&DA agreement also involves 987 sq ft of commercial space and upgraded infrastructure.
MHADA will maintain complete ownership of the land while Estatevue Private Developers will execute the redevelopment. With a budget of ₹36,000 crores, the project is expected to be completed in seven years, during which 3,372 residential units, 328 commercial units, and 1,600 tenements from a nearby slum will be relocated.
The C&DA will bear all costs associated with rehabilitation, infrastructure, and amenities at no expense to MHADA.
