Government Focuses on Sustainable & Inclusive Growth for Mumbai, says Housing Minister Atul Save at NAREDCO Maharashtra’s ‘The Real Estate Forum 2024’

Mumbai (Maharashtra) [India], August 31: “Mumbai is at the forefront of India’s economic journey, and it is essential that we work together to ensure its growth is sustainable and inclusive. Our government is committed to supporting all stakeholders in their efforts to develop and implement projects that contribute to the city’s development”, stated Atul Save, Hon’ble Housing Minister, Government of Maharashtra at the National Real Estate Development Council (NAREDCO), Maharashtra’s flagship event, The Real Estate Forum 2024.

Save, added, “Mumbai is witnessing unprecedented growth in infrastructure, from the completion of major projects like the coastal road to metro expansions, all aimed at enhancing connectivity and easing the life of citizens. The Samruddhi Mahamarg has significantly reduced travel time between Nagpur and Mumbai to just eight hours, compared to the earlier 15-17 hours. Such projects are transforming Mumbai into a more accessible and efficient city.”

He further elaborated on the government’s focus on affordable housing, saying, “Affordable housing remains one of our most crucial projects. Schemes like Pradhan Mantri Awas Yojana (PMAY) and Shabari Yojana are designed to make home ownership a reality for every Indian. Our government, under the leadership of Prime Minister Narendra Modi, is committed to ensuring that every citizen has a roof over their head. I urge stakeholders to support these initiatives, not just for profit, but as a contribution to nation-building.”

Highlighting recent policy changes, he stated, “We have recently reduced the prices of MHADA housing units to make them more accessible. This has already attracted over 30,000 applications, showing the demand and necessity for affordable housing in Mumbai. Moreover, we are considering revising the price cap of Rs. 2,500 per square foot for MHADA projects to make them more viable for developers.”

Save also emphasized the government’s vision for Mumbai, aligning with India’s broader economic goals. “Our vision, as guided by Prime Minister Modi, is to elevate India from the 5th to the 3rd largest economy in the world. For that, Mumbai, as the financial capital, must lead the way. Projects like metro expansions, coastal roads, and new highways are not just infrastructural improvements–they are the foundations for economic growth.”

Concluding his remarks, Save assured, “The government is committed to addressing the concerns of all stakeholders. We are open to all constructive suggestions and will integrate them into our upcoming housing policies to ensure inclusive growth for Mumbai.”

In other key developments, Valsa Singh Nair, Additional Chief Secretary, Housing Department, Government of Maharashtra informed that the Government will soon introduce new policies such as Amnesty scheme for stalled SRA projects and the new PAP Policy for timely completion of redevelopment projects.

Prashant Sharma, President, NAREDCO Maharashtra, commented on the recent developments and challenges in the Indian residential sector.He said, “This year’s theme underscores the Indian residential sector as a beacon of growth and optimism. The market has seen unprecedented expansion since the pandemic, with Mumbai and Pune leading a revival that accounted for nearly 54% of new launches last year. This surge is driven by rising incomes, economic development, demographic benefits, and supportive government policies. The Pradhan Mantri Awas Yojana, one of the world’s largest housing schemes, aims to add three crore houses nationwide, while Maharashtra’s major redevelopment projects, including the Dharavi Redevelopment Scheme, are pushing progress forward. Additionally, the Pradhan Mantri Awas Yojana will provide one million housing units for marginalised communities. Despite this growth, rising housing prices are creating affordability challenges. To maintain competitiveness and attract investment, it is crucial to review and adjust government fees and limits, as current premiums are deterring developers from taking on redevelopment projects.”

Representing NAREDCO Maharashtra, Dr Niranjan Hiranandani, Chairman, NAREDCO has formally requested state government authorities to allocate 5,000 slum redevelopment projects to the industry body. He said, “This initiative is a significant step towards strengthening Public-Private Partnerships (PPP) and redefining the landscape of Mumbai’s real estate sector. By spearheading this endeavor, NAREDCO aims to play a pivotal role in transforming Mumbai into a slum-free city, setting a benchmark for urban redevelopment and inclusive growth.”

Rajan Bandelkar, Vice Chairman, NAREDCO India, addressed key issues in the real estate sector, highlighting, “As nation-builders, we must address the gap in affordable housing, which remains a challenge with current redevelopment costs. Moreover, current regulations hinder the creation of iconic structures in Mumbai, limiting architectural innovation. With RERA’s stringent oversight for seven years, it’s time to reassess its impact on business operations. Lastly, focusing on planning new cities rather than extending existing ones could alleviate migration issues and enhance living conditions.”

Sandeep Runwal, Vice Chairman, NAREDCO Maharashtra, discussed the current state of the residential real estate market at the Real Estate Forum. He stated, “At the Real Estate Forum, we’re witnessing unprecedented growth and engagement, reflecting the thriving residential sector’s recovery since the pandemic. In Mumbai, the residential market has surged by 30-40%, with increasing demand for larger homes and improved lifestyles. NAREDCO remains committed to enhancing Mumbai’s development through strategic partnerships, focusing on quality infrastructure, medical facilities and green spaces to ensure a sustainable, vibrant city for future generations.”

The first session Maha/Urban Revolution @2047: Government policies driving real estate had Dr Bhushan Gagrani (IAS), Commissioner of the Brihanmumbai Municipal Corporation (BMC), where he emphasized the collaborative effort required for Mumbai’s development in his recent statement. He stated, “We are witnessing unprecedented infrastructure growth, with Mumbai nearing 300 kilometers of metro lines–a significant achievement when compared to London’s historical network. This progress is a result of concerted efforts from the BMC, MMRDA, MSRDC, and private sectors. As we continue to advance, it is vital that these developments are complemented by active citizen participation to ensure a sustainable and prosperous future for Mumbai.”

Also, Valsa Nair Singh (IAS), Additional Chief Secretary of the Housing Department, Government of Maharashtra, underscored the significant progress in Maharashtra’s housing sector. Singh also highlighted the emphasis on cluster development for Mumbai’s redevelopment projects and the new PAP policy to ensure the timely completion of major infrastructure projects. “Our new slum rehabilitation authority (SRA) policy aims to make Mumbai slum-free, and we are introducing an amnesty scheme for stalled SRA projects,” She added, “We are committed to enhancing sustainability and reducing construction costs in future developments. We look forward to collaborating on optimizing construction technologies and approvals to ensure the success of PMAY 2.0 in Maharashtra.”
At the inaugural session a paper was launched by NAREDCO and JLL, titled ‘Mumbai Residential Market through The Lens of Time’.

City Lift was the Platinum Partner for The Real Estate Forum 2024; UltraTech Cement, Hiranandani Group, Aditya Birla and Eternia by Hindalco were the Gold Partners; SBI as Banking Partner; NextKraft Parking Technologies as the Parking Partner; JLL as the Knowledge Partner; The Guardians Real Estate Advisory as the Silver Partner; Lexicon Law Partners and DSK Legal as Legal Partners; ListenLights as Supporting Partner; RR Kabel RR Parkon as Lunch Partners; Jaquar as Dinner Partner; Infinity Project Solutions and Unitile as Associate Partners for the event.