In a significant boost for residents of formal and semi-formal buildings in Dharavi, the Maharashtra government has proposed increasing the minimum rehabilitation housing size to approximately 500 square feet (carpet area plus fungible space) for non-slum dwellers under the ambitious Dharavi Redevelopment Project (DRP).

The Urban Development Department issued a public notice dated March 12, 2026, which was published in newspapers on April 23, 2026, inviting objections and suggestions from the public. The proposal seeks to amend Regulation 33(9)(A)(4) of the Development Control and Promotion Regulations (DCPR) 2034 for Greater Mumbai.

Key Highlights of the Proposed Changes

  • Minimum Entitlement: Eligible occupants of existing buildings and chawls will receive a minimum carpet area of 370 sq.ft (34.37 sq.m) plus 35% additional fungible area, taking the total unit size to around 500 sq.ft.
  • Maximum Free Area: Residents will be entitled to rehabilitation equivalent to the actual carpet area they occupied in the old building, up to a maximum of 70 sq.m (approximately 753 sq.ft) — all provided free of cost as part of the Rehabilitation Residential Component (RRC).
  • Beyond 753 sq.ft: Any additional area requested by the occupant will be available at construction cost.
  • Important Clarification: This enhanced provision does not apply to pure slum hutment dwellers, who continue to be covered under separate Dharavi Redevelopment Project rules.

The move follows a high-level review meeting chaired by Chief Minister Devendra Fadnavis, where the need for better rehabilitation standards for building residents was emphasized to ensure smoother implementation of the project.

Background and Rationale

Dharavi, one of Asia’s largest informal settlements, is being redeveloped through a Special Purpose Vehicle. While the core focus has been on slum rehabilitation, thousands of families living in chawls, housing societies, and other formal structures within the redevelopment zone were previously entitled to only 300 sq.ft minimum carpet area.

Officials say the upgrade to 500 sq.ft (and up to 753 sq.ft) will provide significantly improved living conditions, better amenities, and higher resident satisfaction, while making the project more viable for developers through additional incentives.

The proposed modification explicitly states that the 35% fungible area provided for rehabilitation will not be counted towards the developer’s Incentive Sale Component (ISC).

Public Participation Invited

The government has given the public one month from the date of publication (i.e., until approximately May 23, 2026) to submit objections or suggestions. These can be sent in writing to the Deputy Director of Town Planning, Greater Mumbai, at ENSA Hutments, E-Block, Azad Maidan, Mumbai – 400 001.

The full notice is also available on the Maharashtra Government website.

This development is being seen as a resident-friendly step that could set a precedent for cluster redevelopment projects across Mumbai. Stakeholders, including housing societies in Dharavi, are expected to closely review the proposal in the coming weeks.

Also Read: Dharavi Redevelopment Tender Cancelled

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