Mumbai’s Kamathipura Set For Major Redevelopment From Diwali
Mumbai, 18th September 2026: The long-awaited redevelopment of Kamathipura has moved closer to implementation after the Maharashtra Housing and Area Development Authority (MHADA) signed an agreement with a consortium of developers for the transformation of the historic South Mumbai neighbourhood. The agreement between MHADA and the consortium comprising Bhagirathi Housing Pvt Ltd and Maathi Developers Pvt Ltd covers around 34 acres of Kamathipura. The redevelopment will be carried out under the cluster redevelopment model, with work expected to begin around Diwali. The project covers 475 cessed buildings and 249 non-cessed buildings across Lanes 1 to 15. It also includes 14 religious places and two civic-run schools. Around 8,001 residents, tenants and commercial occupants, along with nearly 800 landlords, are covered under the project. MHADA has been appointed as the nodal agency and special planning authority for the redevelopment under Regulation 33(9) of DCPR 2034. A draft master plan is expected to be submitted in mid-October, while a project feasibility committee will work on determining eligibility and securing the required consent from residents and landowners. For eligible residential tenants, the redevelopment plan provides flats measuring 500 sq ft. The project is also expected to generate around 44,000 sq m of housing stock for MHADA, through which approximately 900 additional housing units are proposed. Beyond housing, the plan includes commercial spaces, public amenities, recreational and green areas, internal roads, transportation facilities and upgraded urban infrastructure. Kamathipura, established in the late 18th century as a settlement for construction workers known as ‘kamathis’, has undergone several transformations over the decades. The area later became known for its red-light district and is today characterised by ageing chawls, dense lanes and deteriorating structures. The redevelopment therefore represents a major physical transformation of one of Mumbai’s most historic neighbourhoods. MHADA has said that the project will focus on improving safety and quality of life while retaining Kamathipura’s historic identity, with citizen participation and transparency forming part of the implementation process.
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