Dharavi revamp gets no bids, again

A section of residents from Shatabdi Nagar in Dharavi protested on Thursday against the redevelopment. (Photo: Asian Age)

The redevelopment of Asia’s largest slum cluster, Dharavi, found no bidders yet again as the developers boycotted the bidding for the project, leaving the government red-faced.

The state government on January 30, 2016, had floated global tenders of Rs 22,000 crore for which it had opened the bids on March 20, 2016 where it did not find any takers. The government was compelled to give an extension by further opening the bids up to May 5, 2016, which did not yield any takers either.

“The developers have demanded to allow the extra Floor Space Index (FSI) in terms of Transfer of Development Rights (TDR) in the island city over the existing norms of suburbs, on which the government is yet to take a call,” said a senior official from the housing department.

According to the norms, the additional TDR generated can only be utilised in the suburbs and one cannot use the additional TDR in the island city.

“Following the queries and concerns submitted by the developers I have forwarded the same to the departments like the urban development department and the housing department for further calculations and have extended the dates till May 20,” said Nirmal Deshmukh, CEO, Dharavi Redevelopment Project (DRP).

At the pre-bid meeting held by the DRP in March and April, several national and international developers were present to clarify their concerns. However, it looks like these developers did not bid for the project.

A senior official with a construction firm who attended the pre-bid meeting said, “We have submitted our queries much in advance and the state government after getting no response last time should have taken some decision rather than having 15 days extension. They have repeated the same mistake again by giving another 15 days extension.”

“There are various issues relating to the TDR, clarity on the various opposing factors demanding an area of 750 square feet. Also, the government has no concrete data on the number of tenants. How will any national or international developer do a feasibility study of the project without it ” the construction firm official added.

A section of people living in Dharavi protested on Thursday against the redevelopment and demanded that every chawl and building residents be given 750 square feet.

Meanwhile, chief minister Devendra Fadnavis assured that “the government will try and sort out problems.”

Flip Flops: January 30, 2016 : Rs 22,000 crore bids floated

March, 20, 2016 : Bids were opened to a zero response, followed by an extension till May 5, 2016

May 5, 2016 : Bids were opened for the second time to find a zero response, followed by an extension till May 20, 2016