Mumbai's Century Mills Redevelopment Gets ₹1,351-Crore Bid; 650 Mill Workers' Families Closer To New Homes After 20-Year Wait

Mumbai: More than 650 families of erstwhile Century Mills workers in Mumbai's Lower Parel have moved a step closer to getting permanent homes after nearly two decades, with the Brihanmumbai Municipal Corporation (BMC) receiving a Rs 1,351-crore bid for the redevelopment of the historic mill land.

Highest Bid Received

According to a Hindustan Times report, Peddar Realty Ltd emerged as the highest bidder among four developers that participated in the tender process for redeveloping the 6.17-acre land parcel. The civic body had invited bids in December last year to lease the plot for 30 years under a public-private partnership (PPP) model.

Apart from Peddar Realty, K Raheja Corp Pvt Ltd, Keystone Realtors Ltd and Shapoorji Pallonji Real Estate Pvt Ltd had submitted bids. The reserve price for the tender was fixed at Rs 1,348 crore, while the land is currently estimated to be worth around Rs 660 crore.

Confirming the development, Sanjog Kabare, Joint Municipal Commissioner (Improvements), said Peddar Realty's Rs 1,351-crore bid was the highest received, reported HT. He added that the proposal to appoint the developer will now be placed before the Improvements Committee for approval, after which the contract will be awarded.

Redevelopment Plan Outlined

The project aims to redevelop the existing Century Mills workers' colony, which currently comprises 23 buildings housing 476 tenements occupied by eligible mill workers' families and 10 commercial shops. The BMC plans to construct a high-rise residential complex on the lines of MHADA redevelopment projects. Eligible tenants will receive rehabilitation flats, while additional apartments built on the land will be sold in the open market to generate revenue.

According to civic officials, the redevelopment will be carried out under Development Control and Promotion Regulations (DCPR) provisions applicable to cluster redevelopment schemes. Sources said the new rehabilitation apartments are expected to measure around 405 sq ft, significantly larger than the existing 180 sq ft homes occupied by many families.

Two-Decade Legal Battle

For the mill workers and their families, the redevelopment marks the culmination of a legal and administrative battle spanning nearly two decades. The dispute over the land dates back to a lease granted in 1927 to Century Spinning and Manufacturing Limited for 28 years, with the condition that housing be constructed for mill workers. After the lease expired in 1955, ownership of the land was to revert to the BMC.

However, Century Mills challenged the civic body's claim, leading to years of litigation. While the company secured relief from the Bombay High Court in 2017, the BMC challenged the ruling before the Supreme Court. In January last year, the apex court dismissed Century Mills' plea, upholding the BMC's ownership of the land and paving the way for redevelopment.

Major Mill Land Project

The Century Mills redevelopment is among the largest mill land projects undertaken in Mumbai in recent years. Although the Rs 1,351-crore bid ranks among the city's highest for such a redevelopment, it remains below the Rs 1,505 crore paid for the 8.37-acre Bharat Textile Mills land in 2010. With the bidding process now completed, hundreds of former mill workers' families are hoping their long wait for larger, permanent homes will finally come to an end.

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