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Dharavi project gains momentum as BMC begins relocation process for Shahunagar residents

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Mumbai (Maharashtra) | June 11, 2026 10:25:22 PM IST
The Dharavi Redevelopment Project has taken another step towards on-ground implementation, with the BMC beginning to issue notices to Shahunagar residents to vacate their homes for redevelopment work.

According to a press release, the move follows similar notices issued by the DRP/SRA last month to residents in Sector 6, where families have been asked in advance to prepare for relocation to rented accommodation or transit housing. Government officials said the objective is to free up land within Dharavi to expedite rehabilitation and renewal construction work so that permanent homes can be delivered to residents at the earliest.

The exercise also reflects the collective intent of the Maharashtra Government and associated state agencies to move the project collectively from planning to execution and accelerate redevelopment work on the ground, the release said.

The latest action can be seen as a defining push after Chief Minister Devendra Fadnavis' recent directive of making 10,000 homes available by 2028.

Around 900 BMC tenants residing in Shahu Nagar will have to temporarily relocate.

"Those opting for transit accommodation will be allotted homes in MHADA buildings in Sector 5 of Dharavi. Around 500 MHADA units have already been kept ready by the DRP and NMDPL for families choosing this option. The rest have the option of rented accommodation," a government official said.

"An agreement will be executed with the residents before they vacate, setting out the terms of temporary relocation and their rehabilitation entitlement. Shahu Nagar residents will receive their new and permanent homes within the same vicinity, within five years from the commencement certificate," the official added.

The transit units are larger apartments with better-quality living spaces than many of the existing structures, fully maintained by DRP/NMDPL. The official said the arrangement is aimed at ensuring residents have access to safe and comfortable accommodation until their permanent homes are ready.

The release noted that under the relocation package, families living in units of up to 275 sq ft will receive a monthly rent allowance of Rs 22,000, while those residing in 375 sq ft units will receive Rs 30,000 per month.

"The rent support will be increased by 5 per cent annually. In addition, every family will receive a one-time shifting allowance of Rs 15,000, irrespective of whether they opt for rented accommodation or transit housing," the official said.

Shahunagar residents will be entitled to new homes with a minimum carpet area of 500 sq ft or 1.35 times the carpet area of their existing homes, whichever is higher, under the Dharavi Redevelopment Project.

"Every effort is being made to ensure that the relocation process is carried out in a resident-friendly manner while addressing concerns and minimising inconvenience. The larger objective is to enable construction activity to commence in phases and expedite the delivery of permanent rehab and renewal homes to residents," the official said. (ANI)

 
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