The state cabinet on Monday approved the acquisition of 255.9 acres of Union government salt pan land in Mumbai for an affordable housing scheme targeting the economically weaker sections.
Earlier in February this year, the cabinet had authorised a proposal to request the Union government to transfer salt pan land for the Dharavi Redevelopment Project on a 99-year-old lease.
The salt pan land, owned by the Centre, is located between Kanjurmarg, Mulund and Bhandup. It will be handed over to Adani Realty, which is spearheading the Dharavi Redevelopment Project (DRP) aimed at creating a rental housing scheme for ineligible slum dwellers from Dharavi.
One of these parcels was previously proposed as a site for a Metro car depot by the former Uddhav Thackeray-led government, which aimed to relocate the Metro car shed from Aarey to Kanjurmarg. However, the Central government claimed the Kanjurmarg salt pan land, and a court has stayed the transfer of the 102-acre Kanjurmarg salt pan plot to the Mumbai Metropolitan Region Development Authority (MMRDA).
As per Monday’s cabinet decision, the state government had previously written to the Centre to facilitate the transfer of 255.9 acres of saltpan land via a lease agreement. Upon receiving approval from the Centre, the Additional Chief Secretary of the housing department was authorised to finalise the lease.
The state government will recover the cost of the salt pan land from the Special Purpose Vehicle (SPV), Adani Realty, which will then pay the Centre for the acquisition. Additionally, the SPV will bear the costs of rehabilitating workers currently on this salt pan land. The Dharavi Redevelopment Project will oversee the use of this land for rental housing, slum rehabilitation, and affordable housing initiatives for economically weaker sections.
The 255.9 acres earmarked for transfer include 120.5 acres at Kanjurmarg (Arthur Salt Works Land), 76.9 acres in Kanjurmarg and Bhandup (Jenkins Salt Works Land), and 58.5 acres in Mulund (Jamasp Salt Works Land).
The state has previously stated that ineligible Dharavi residents will be accommodated in rental housing projects. Officials estimate that around 3.5 to 4 lakh people, who are ineligible due to residing in mezzanine and upper floors of slum structures, will receive rental housing. Approximately 50,000 families are expected to be provided with affordable housing, while 1.5 lakh migrants will have access to affordable shared rental accommodations.
Additionally, the state cabinet approved the implementation of an affordable rental housing scheme for ineligible slum dwellers in Dharavi. The Dharavi Redevelopment Project is tasked with conducting a survey to identify eligible and ineligible slum dwellers and assess the land required for rehabilitation.
An official noted that while implementing the scheme, it is crucial to ensure that no financial liability falls on the state government under the credit-linked subsidy. The responsibility for this liability will remain with the SPV, and this policy will not apply to any other projects, according to the state cabinet’s statement.
Concession on payments
The state cabinet also approved a concession on land premium payments to the MMRDA to expedite the slum rehabilitation scheme in Ramabai Ambedkar Nagar, Kamrajnagar. Based on the ready reckoner rates for the 14 hectares of land in Kurla, MMRDA will be allowed to pay the premium from the sale proceeds after project completion, deferring the initial 25 percent payment.