Adani-Led Dharavi Redevelopment Project Accuses “Vested Interests” of Disruptive Tactics
The special purpose vehicle (SPV) led by the Adani Group, entrusted with redeveloping Asia’s largest slum in Mumbai, has raised concerns about “certain vested interests” attempting to hinder or delay the urban transformation project. This statement comes in response to the state government’s recent notification mandating the use of 40% transferable development rights (TDRs) generated from the Dharavi redevelopment project for real estate developers in the city.
Adani Properties secured the redevelopment rights for the Dharavi slum in November 2022 through an open and competitive tendering process. The state government holds a 20% stake in the Dharavi Redevelopment Project Pvt Ltd (DRPPL).
According to the Adani Group-led entity, the generation of TDR within the Dharavi Notified Area (DNA) was allowed under the Government Resolution (GR) of 2018, which was further modified in the GR of 2022. Both changes occurred before the issuance of the 2022 tender, ensuring transparency and fairness in the competitive bidding process. The recent government notification is seen as a due process, aligning with pre-existing policies.
While critics argue that mandating the use of TDR from a specific source could elevate property prices in Mumbai, DRPPL contends that the changes introduced in the September 2022 GR were part of a transparent process and not intended to benefit a single entity. The government’s final notification in November 2023 also imposes limits on TDR pricing to prevent arbitrary pricing.
Adani Properties secured the Dharavi redevelopment project with a winning bid of Rs 5,069 crore, exceeding the government’s minimum investment requirement of Rs 1,600 crore for the lead partner of the SPV. The project, long-delayed, has been subject to global tenders, and the involvement of DLF and Shree Naman Developers in the bidding process indicates a competitive landscape.
The Adani Group emphasizes that any allegations of favoritism are baseless and serve to distract from the project’s transformative urban management goals.
