Mumbai: Indian Railways has identified its first railway land in Mumbai to be leased to developers for 99 years. This two-acre plot, adjacent to the notorious Shakti Mills, is located in Mahalaxmi and faces the iconic Race Course, with proximity to the Western Railway (WR) line.
The Rail Land Development Authority (RLDA) has been tasked with exploring commercial development opportunities for the land. Spanning 10,801.700 square meters (approximately 2.669 acres), the vacant plot, currently overgrown with weeds and shrubs, has been viewed by officials as a wasted asset.
Rail officials have placed the estimated asking price at ₹805 crore, though sources believe that due to the plot’s prime location and its FSI (Floor Space Index) of 4.05, it could attract bids higher than the reserve price. With the growing demand for luxury housing in Mumbai, the plot is expected to be attractive to developers already active in the area with high-end residential and commercial projects.
The railway ministry has also proposed leasing over 47.5 acres of land at Matunga and Mahim for the Dharavi Redevelopment Project (DRP), 29 acres of which have already been handed over under a 99-year lease for ₹2,800 crore. The Mahalaxmi plot, however, is the first to be offered specifically for private development under the long-term lease model.
Tenders for the Mahalaxmi plot have been invited, with an online pre-bid meeting scheduled for October 3 and the deadline for submitting e-bids set for October 4.
Railways also have plans to lease additional plots in Grant Road, Tardeo, Parel, Bandra, Mahalaxmi, and Carnac Bunder, potentially leading to a high-rise at Parel, which could soar up to 135 storeys.
The funds generated from these leases will be used for public amenities, station redevelopment, and the construction of new railway coaches, benefiting passengers across the network.
