Blueprint for Mumbai's development 2034

Dr. Niranjan Hiranandani, National President, NAREDCO
For years, Mumbai's Development Plans focused on residential real estate development. This time around, the focus has been equally placed on commercial real estate, with twin focus - first, on decongesting existing CBD areas as also extending the 'walk to work' aspect to newer locations. The Mumbai Development Plan 2034 brings in a serious effort as ensuring the target of affordable homes get constructed within a reasonably short time, given the opening up of various categories of land on which such construction was earlier not allowed. Similarly, there is an acceptance of the fact that GDP growth will not happen only because of industrial production, but commercial activities will play a major role in enhancing GDP growth - the DP shows significant hikes in FSI for commercial, retail and hospitality. Similarly, for financial technology and bio-tech parks, medical and educational hubs. The FSI hike for commercial real estate is expected to not just enhance GDP growth, but also encourage employment and economic development.

Ashok Mohanani, VP NAREDCO (West), Chairman EKTA World
The latest Mumbai's Development plan 2034 is like a breath of fresh air, as for years the plan focused on residential real estate development alone whereas this plan has taken commercial development also into consideration. The increase in FSI for both residential and commercial development is a serious effort to match international norms and development standards. The overall outcome of the plan has been well accepted by the real estate sector as it has opened many opportunities for developers to provide their customers with the best facilities targeting 1 million affordable homes along with the permission of using fly ash as a building material. The plan has also focused on beautification and recreational facilities such as theme gardens, parking areas, old age homes, farmer markets and many more, additionally marking 12,859 hectors as natural areas and listing them under no development zones. As per the plan Maharashtra will release 3,355 hectares of land of which 2,100 hectares will go for affordable housing and the balance for commercial and retail development, thus also emphasizing on GDP growth along with an increase in job opportunities which will lead to strengthening the economy at large and give a boost to the sector.

Shishir Baijal, Chairman and Managing Director, Knight Frank India
The much awaited blueprint for Mumbai's development has finally been delivered. Despite the long wait, the approval of the DP 2034 could be a silver lining amid the recent upheaval and slowdown triggered by regulatory reforms such as the Real Estate (Regulation and Development) Act. 2016 (RERA) and the Goods and Services Act (GST). The move would bring the much needed stability in the real estate market. Key measures such as significant increase in the FSI for residential development particularly in South Mumbai and the thrust on affordable housing through the opening up no development zones and salt pan land would boost the national vision of 'Housing for All'. Another unprecedented move is the fillip towards commercial space development. The burning demand for commercial real estate in the space-constraint city has received the government's attention through increased FSI for building office spaces. While these are our initial reactions, the DP 2034 would have far-reaching implications on Mumbai's growth over the next two decades, which would need closer introspection in the days to come.

Rohit Poddar, Mananging Director, Poddar Housing and Development Ltd
This is a much awaited initiative which had been in pipeline since last year and DP 2034 addressed the biggest challenges faced by Mumbai to provide enough land. Now with a firm focus on affordable housing it proposes to unlock about 3,355 hectares of public and privately owned lands, currently tagged as no development zones (NDZ), to push low-cost housing and augment social amenities. It has a potential of providing almost 10 lakh houses for the prospective buyers. The land embarked for tourism development and salt pan land, have been given to achieve this initiative. About 2,100 hectares of it will go for affordable housing under the Development Plan 2034. The plan has promised and offered incentive floor space index to use land more economically and productively; commercial construction has been raised to 5, while for residential it has been kept at 2.5 and 3.”It has also opened up various categories of land on which such construction was earlier not allowed.

Dhaval Ajmera, Director, Ajmera Realty
The Development Plan 2034 has given the land starved city of Mumbai a big reason to rejoice as it has opened up 3,355 hectares of space for development. Prime Minister's vision of 'Housing for all by 2022' gets yet another boost as a huge chunk of the freed space has been dedicated to affordable housing in addition to which 300 hectares of the salt pan area has also been contributed to the development of the same. While the plan does focus on residential segment, had some considerations been made on the fungible FSI which is has been kept the same as earlier, it would have given affordable housing a boost in true manner. Commercial segment has received a good incentive as it is a major growth driver for the sector and the economy as well and it was definitely required in a city like Mumbai which is the financial capital of the country. The DP 2034 comes across as a really well balanced plan because on one hand it has freed up land for development, whereas on the other it has made specific efforts towards maintaining the open and nature spaces by tagging hills, slopes mangroves and other as non-developmental. Overall the new DP plan 2034 with its drastic measures will prove to be favourable for growth of real estate industry by creating millions of jobs and allowing construction of approximately 30 lakh new homes.

Manju Yagnik, Vice Chairperson of Nahar Group
Unlocking of land promised in Mumbai's 20-year development plan will definitely facilitate the smart city concept, boost social infrastructure and also have an aim of creating 8 million jobs. Given the increasing population and need for more development within limited land, higher FSI for both residential and commercial development was long due and will certainly come as a boon to the city's realty sector. The affordable housing targets roaring up to 1mn would facilitate the homebuyers with voluminous options to choose from the variant and changing market dynamics. Also, an additional 300 hectares of salt pan land will be opened for affordable homes and will provide opportunities giving an added boost to development in the city. The plan will also help in creating a sustainable stock of inventory. Overall, the announcement will act as a catalyst to the GDP growth of the country.

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