Sucheta Dalal :Cluster development projects set to take off in Mumbai
Sucheta Dalal

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Cluster development projects set to take off in Mumbai   

November 11, 2009

Since the Maharashtra Cabinet’s decision in February 2009 which amended the development control (DC) rules for Mumbai giving a green signal for cluster development and also increased the floor space index (FSI) up to 4 for such properties, speculation has been rife about which parts of Mumbai offer the best potential for cluster development projects.

According to Pankaj Kapoor of Liases and Foras, “In D ward (comprising Nana Chowk, Girgaon Chowpatty, Haji Ali, Keshavrao Khade Marg), F South (Parel, Cotton Green, Sewri, Curry Road and Chinchpokli) and F North (Thane Creek, Sion and SN Mankikar Marg), the redevelopment potential arising out of the free-sale components is as high as 5 crore sq ft.  There is a huge potential for cluster development as there are a lot of chawls and old tenements which can be redeveloped.”
Cluster development allows redevelopment of old cessed buildings which have been constructed prior to 30 September 1969 and having a built-up area of up to 2,000 sq mt.


Mr Kapoor explains that Mumbai has 74 sq km (excluding water bodies and beaches) of land which can be used for development. Out of this, around 27–30 sq km of land is covered by slums, 15% area is under DC regulation and road widening. Only 30–35 sq km has been developed over 50 years, while Mumbai’s population has touched 16 million, with this figure rising rapidly every year. 


The Municipal Corporation of Greater Mumbai (MCGM) has created a special team headed by the municipal commissioner and comprising representatives of the MCGM, the state government and the traffic police who are granting permission to the builders for cluster development. Between May and September 2009, the panel had cleared 22 proposals.

After affordable housing, cluster development is popular in the real estate market now as this is a more profitable opportunity for developers. —Pallabika Ganguly [email protected]

-- Sucheta Dalal