HC Refuses to Stay Mhada Redevelopment Tender as Bidding Process Reaches Advanced Stage

Bombay High Court refuses to stay Mhada redevelopment tender for Bandra and Worli layouts, noting bidding process at advanced stage despite objections.
HC Refuses to Stay Mhada Redevelopment Tender as Bidding Process Reaches Advanced Stage

Mumbai, May 18: The Bombay HC refused to halt the tender process for Mhada's redevelopment in Bandra and Worli, noting it's at an advanced stage despite objections from societies. Technical bids are scheduled to open on May 20.

Cluster Redevelopment Model

The state government decided to carry out cluster redevelopment of the two layouts through a single private construction and development agency instead of allowing the around 5,000 cooperative housing societies to redevelop their buildings individually. Under the proposed model, one agency would undertake integrated redevelopment including infrastructure and amenities. The GRs dated April 25, 2025 and December 15, 2025 provide for integrated redevelopment through a bidding process.

Petitioners' Objections

Eight cooperative housing societies challenged the GRs, arguing they took away independent redevelopment rights and forced them into cluster redevelopment. They contended the GRs violated their right to property under Article 300A of the Constitution. While the land belongs to Mhada, the societies argued buildings were constructed under valid leases giving them redevelopment rights. They also claimed the tender documents did not mention the High Income Group category.

Government's Stand

Advocate General Dr Milind Sathe submitted that the two Mhada layouts comprise nearly 5,000 housing societies and many 50-60-year-old buildings had become dilapidated. The cluster redevelopment project aimed at improving residents' living standards and enabling planned infrastructure development. He argued the bidding process was at an advanced stage and there was no justification to stay it based on objections from only eight societies.

Court's Observation

Refusing to stay the process, the court observed that no prejudice would be caused to petitioners if the tender process continued, especially since the award of tender would take time. "For the present we are not inclined to stay the tender process since the award of the tender is likely to take some time," the bench said. The court will hear the petitions finally on June 9 after the government files its affidavit.