Co-operative housing societies in the GTB Nagar Group Redevelopment Project, in Sion Koliwada, signed tripartite development agreements with MHADA and Keymidtown Developers Private Limited, a Rustomjee Group subsidiary, on March 5 at MHADA headquarters. MHADA appointed Rustomjee for the project in July 2025. It covers 11.54 acres (46,731.15 sq m) and is expected to benefit more than 1,200 members and unlock about 20.7 lakh sq ft of saleable area. Three residential towers of 39 to 48 storeys will be built, with a minimum FSI of 4.5, including fungible FSI. Each eligible beneficiary will receive a free, self-contained 635 sq ft home with modern amenities. The gated community will have multi-level basement and podium parking. After the commencement certificate is issued, eligible residents will receive ₹20,000 monthly rent compensation. MHADA will manage and maintain the buildings for five years after completion. MHADA said this is its first redevelopment project on private land.

Residents of GTB Nagar, Sion, allege redevelopment work on plots 88 and 89 at CGS Colony has severely damaged a narrow Development Plan road. They say heavy construction vehicles carrying materials and machinery use the road daily, despite the BMC denying permission for its use, according to residents. The route to a nearby railway station is heavily used by residents and schoolchildren. Locals report deep potholes, uneven surfaces and dust pollution; underground water pipelines have also been damaged, leaving water flowing onto the road and creating muddy conditions while wasting water. Residents say people have begun crossing through their building premises because the road has become dangerous, disturbing occupants. Ramesh Chavria, a resident of Raj Heights, which is separated from the redevelopment site by the road, described the concerns.

• The state government issued a resolution approving redevelopment of Sindhi Colony’s 25 buildings on an 11.20-acre plot at Guru Teg Bahadur (GTB) Nagar, Mumbai. Keystone Realtors of the Rustomjee Group will execute the project for MHADA, which is promoting it under the cluster redevelopment scheme.
• About 1,200 families will each receive a 635-square-foot home, ₹20,000 monthly rent until completion and maintenance fees from MHADA for five years after redevelopment. MHADA will receive 25,700 square metres of housing stock for sale through a lottery.
• The tenements were built for Punjabi and Sindhi refugees in the 1950s and 1960s under the Displaced Persons (Compensation and Rehabilitation) Act, 1954, and were later declared dilapidated by the BMC.
• The cabinet approved the redevelopment proposal on February 14, 2024. Residents challenged MHADA’s appointment as Special Planning Authority in the Bombay High Court, which temporarily stayed the plan; the stay was later lifted. Structures were razed between 2019 and 2022.
• Government approvals remain pending for Abhyudaya Nagar and Kamathipura. MHADA selected Oberoi Realty and AATK Constructions, respectively, and sent the proposals to the state government. Mahindra Lifespace and MGN Agro also quoted for Abhyudaya Nagar; J. Kumar Infraprojects participated in the Kamathipura bidding.

In the 1920s, the Bombay Development Department reclaimed land along Marine Drive and built affordable chawls for mill workers. City Improvement Trust plans shaped Dadar, Matunga and Shivaji Park from the 1930s. In 1948, NV Modak, Albert Mayer, SD Patel and VN Ambedkar prepared a Greater Bombay master plan proposing 95,000 housing units across Salsette in three development periods. It envisioned neighbourhoods of up to 1,000 homes across 30–40 acres, each with a school; Dharavi was planned as a mixed-income development with 7,600 homes. The plan also proposed moving Mahalaxmi Race Course outside city limits and building a public park and rental housing there. After independence, around 1,200 Sindhi refugee families were housed in 1,200 apartments across 25 GTB Nagar buildings. In the late 1950s, apartments cost about ₹5,380, or ₹14–15 per sq ft. GTB Nagar rates now range from ₹20,000 to ₹30,000 per sq ft and could reach ₹40,000–₹45,000 with redevelopment. Worli Sea Face apartments now approach ₹3 lakh per sq ft.

MHADA appointed Rustomjee Group, also known as Keystone Realtors, to redevelop 25 buildings in Guru Teg Bahadur Nagar (GTB Nagar), Sion Koliwada. The project, pending for a decade, covers 11.20 acres and will rehabilitate 1,200 Sindhi refugee families and 200 slum dwellers. Each eligible family will receive a free 635 sq ft flat; the project has a permissible FSI of 4.5, including fungible area, and will provide MHADA 25,700 sq m of built-up housing stock for sale in the open market.

The government began settling more than 1,200 refugee families in about 1,200 apartments across the 25 buildings in 1957. In the late 1950s, apartments cost about ₹5,380, or ₹14–15 per sq ft, payable in instalments. Local brokers put current rates at ₹20,000–₹30,000 per sq ft and said redevelopment could take them to ₹40,000–₹45,000. BMC declared the buildings unsafe in 2020; several were demolished, and residents had to find alternative accommodation.