Cuffe Parade Marina Project Faces CRZ Hurdle Over Proposed Hotel Component

Mumbai: The proposed marina project at Cuffe Parade has hit a regulatory hurdle after the Maharashtra Coastal Zone Management Authority (MCZMA) raised objections to the construction of an accommodation facility, referred to as a hotel component by authorities, on reclaimed land falling under the CRZ-IV zone.

Authority Says Hotels Are Not Waterfront-Dependent Activities

The MCZMA has observed that such a building may not be permissible under the Coastal Regulation Zone (CRZ) Notification, 2019, as hotels are not considered waterfront or foreshore-dependent activities.

The issue came up during the 200th meeting of the MCZMA held on July 23, 2026, while reviewing the proposal submitted by Rashmi Development Private Limited for the development of an Inland Water Transport Terminal and Marina at Cuffe Parade.

Project Includes Eight-Storey Marina Building on Reclaimed Land

The project, earlier recommended by MCZMA to the Ministry of Environment, Forest and Climate Change (MoEF&CC), involves construction of an eight-storey marina building with two basements and six floors, having a built-up area of around 35,000 square metres on reclaimed land in CRZ-IV area.

While examining the proposal, MoEF&CC had raised concerns over the proposed accommodation component, stating that the CRZ Notification, 2019 does not allow construction of hotels in CRZ-IVA areas.

Developer Says Accommodation Is Essential for Marina Operations

The project proponent clarified that the facility was not a standalone hotel but temporary accommodation linked to marina operations. It stated that the facility was meant for yacht owners, sailors, crew members and other stakeholders and would function as an ancillary component of the marina.

However, MCZMA expert members observed that changing the description of the building would not change the nature of the activity proposed.

Authority Questions Legality Under CRZ Notification, 2019

“Even if it is not termed as a hotel building, the nature of activities proposed in the said building is not inherently waterfront/foreshore-dependent or requiring activities,” the Authority observed.

The MCZMA further noted that construction of such a building in CRZ-IV (water area) through reclamation is not permissible under the CRZ Notification, 2019.

The Authority also sought clarity on the environmental clearance requirements for the project.

Developer Defends Integrated Maritime Facility Concept

The MCZMA has also asked MoEF&CC to clarify whether buildings with a construction area exceeding 20,000 square metres proposed in CRZ-IV areas through reclamation can be considered in other category.

The project developer has argued that the marina is a waterfront-dependent facility and the accommodation component is essential for its functioning. It stated that the proposed building would provide maritime support facilities, temporary stay arrangements for sailors, immigration facilities, parking, food and beverage areas, convention facilities, retail spaces and a naval club.

The developer maintained that the project should be considered as an integrated maritime facility rather than a standalone hotel project.

The MCZMA, after deliberations, decided to forward the project proponent’s response along with its observations to MoEF&CC, New Delhi, for further decision.

The proposed marina project, planned along Mumbai’s iconic Cuffe Parade waterfront, will now await further clarity from the environment ministry on whether the accommodation component can be permitted as part of the reclaimed land development.

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