Mills to develop into a new city center @ parel
The Supreme Court verdict, allowing unfettered development of mill lands brings to a close a bitterly fought struggle between the green lobby and the builders combine. The agenda is now set for commercial and residential development of 600 acres of land spread over sixty textile mills in Parel and laubaug in central Mumbai. .The decision will make 4 million square feet of developed land available in Mumbai within two years.
Fears have been expressed that the new development may at best stabilize the price of commercial space in Mumbai - but may not bring it down by much. The DLF group has proposed the development of a one million square feet mega mall on the NCT land it bought while India bulls –the group that successfully bid for two mills - is to redevelop for commercial space.
This leaves very little new property for residential purposes. The average bidding price for mill lands at the auctions was Rs. 15,000 per square feet. The price will naturally be much higher once development and marketing costs are factored by the builders. The residential property on offer given is unlikely to be within the reach of the middle class. What it may do however, is to take the price pressure off the better properties in the suburbs - and bring a general ceiling to land prices rising in the near future.
This may be just what Mumbai needed given that it will slow a sudden downturn in price. The deal may deflate the price bubble and reduce the chances of a burst..
For the greens the court order is a blow. They had hoped for 400 acres of green space from the mill land redevelopment scheme. However, with the Supreme Court upholding the the amendment in 2001, that changed the availability of free land these hopes have been dashed. The city will end up getting only about 60 across of green land in the new deal. This is bad news or Mumbai, by contrast Lodi Gardens, just one of the open spaces in Delhi is over 100 acres in spread. The order means that Mumbai landscape in terms of gardens walks and such like - that are a given in all the other great cities of the world is unlikely to change much. The ration of open space per thousand person is .003 acres in Mumbai and that is likely to remain unchanged.While the greens may have lost this immediate battle, they will do well to fight on. The docklands – the size of 60 Nariman points are likely to come up for redevelopment at some stage in the future an active campaign could yet help develop a green lung for the city.
Fears have been expressed that the new development may at best stabilize the price of commercial space in Mumbai - but may not bring it down by much. The DLF group has proposed the development of a one million square feet mega mall on the NCT land it bought while India bulls –the group that successfully bid for two mills - is to redevelop for commercial space.
This leaves very little new property for residential purposes. The average bidding price for mill lands at the auctions was Rs. 15,000 per square feet. The price will naturally be much higher once development and marketing costs are factored by the builders. The residential property on offer given is unlikely to be within the reach of the middle class. What it may do however, is to take the price pressure off the better properties in the suburbs - and bring a general ceiling to land prices rising in the near future.
This may be just what Mumbai needed given that it will slow a sudden downturn in price. The deal may deflate the price bubble and reduce the chances of a burst..
For the greens the court order is a blow. They had hoped for 400 acres of green space from the mill land redevelopment scheme. However, with the Supreme Court upholding the the amendment in 2001, that changed the availability of free land these hopes have been dashed. The city will end up getting only about 60 across of green land in the new deal. This is bad news or Mumbai, by contrast Lodi Gardens, just one of the open spaces in Delhi is over 100 acres in spread. The order means that Mumbai landscape in terms of gardens walks and such like - that are a given in all the other great cities of the world is unlikely to change much. The ration of open space per thousand person is .003 acres in Mumbai and that is likely to remain unchanged.While the greens may have lost this immediate battle, they will do well to fight on. The docklands – the size of 60 Nariman points are likely to come up for redevelopment at some stage in the future an active campaign could yet help develop a green lung for the city.
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