Companies from Mideast show interest in Dharavi revamp project

 

According to reports, eight corporations are interested in redeveloping Dharavi, one of the biggest Asian slum clusters, in Mumbai. They include businesses from South Korea, the Middle East, and India.

On October 1, the Maharashtra government announced a global tender for the renovation of Dharavi. Over Rs 20,000 crore is the anticipated cost of the project.

The eight firms attended a pre-bid meeting that was held by the Slum Rehabilitation Authority (SRA), under whose auspices international tenders for the selection of a lead partner for the redevelopment of Dharavi were floated. The names of these companies, however, were kept a secret by the authorities.

According to SVR Srinivas, the head of the Dharavi reconstruction initiatives, "The tenders for building the Dharavi slum cluster received a solid response. At the pre-bid meeting, about eight businesses from South Korea, the Middle East, and India took part. These are large companies, but we are unable to disclose their names at this time."

Srinivas continued, "The businesses have asked several questions, so we will now provide an explanation. After the clarification is released, there won't be any significant adjustments. The current deadline for proposal submission is October 31."

The winner will have seven years to finish the job, which includes the rehabilitation of more than 56,000 people, and the Maharashtra government hopes to wrap up the bidding process by the end of the year. Every qualifying slum resident will receive a home with a carpet area of 405 square feet.

A four-point floor space index (FSI) for the redevelopment has been declared by the state government, along with other concessions on premiums paid by developers, inspection fees, goods and services tax (GST), etc. In addition to providing further concessions to potential developers, the government has chosen to incorporate land it just purchased from the Railways into the project.

Additionally, transferable development rights (TDR) may be used or invested in without indexation, and there are exemptions from development control restrictions. Additionally, the state GST that was paid by the industrial and commercial firm after receiving a certificate of occupancy as well as by the special purpose vehicle (SPV) for a period of 15 years will be reimbursed by the government.

Two firms had previously expressed interest in the project, but the former state administration cancelled the tender in October 2020 due to technical difficulties. The two businesses were the Adani Group and the Sec-Link Group of Dubai.

Dharavi is a centre of unorganized and small-scale manufacturing that produces medicines, leather, clothing, and footwear. It is spread out across 240 acres and is designated for rehabilitation. It is one of the world's most densely populated slums, with a population estimate of one million. Dharavi, which is situated in Central Mumbai, is adjacent to both posh South Mumbai and the Bandra Kurla Complex commercial complex.