logo
MHADA to Redevelop Pratiksha Nagar Under EPC Model

MHADA

MHADA to Redevelop Pratiksha Nagar Under EPC Model

Wed Sep 30 2026

MHADA to Redevelop Pratiksha Nagar on Its Own Under EPC Model

The Maharashtra Housing and Area Development Authority (MHADA) has decided to undertake the redevelopment of Pratiksha Nagar in Sion on its own, marking a major shift in the way the housing authority is handling large redevelopment projects.

The 25-hectare Pratiksha Nagar layout will be redeveloped through the Engineering, Procurement and Construction (EPC) model. Under this approach, MHADA will retain control of the project while appointing a contractor to carry out the construction for a fixed fee.

The decision is expected to allow MHADA to retain a larger share of the additional housing units created through redevelopment, which can later support its affordable housing programs.

MHADA Chooses EPC Model for Pratiksha Nagar

The Pratiksha Nagar project will be the first major redevelopment undertaken by MHADA through the EPC model, according to officials familiar with the plan.

Unlike the Construction and Development Agency (C&DA) model, the EPC system will not transfer the project to a private developer for development and sale. MHADA will remain responsible for planning and execution, while the selected contractor will construct the buildings based on the approved project requirements.

The decision comes as MHADA, under Vice President and CEO IAS Sanjeev Jaiswal, continues to explore ways to increase the availability of housing stock through large-scale redevelopment projects.

Project Covers Around 25 Hectares and 216 Buildings

Pratiksha Nagar currently has around 216 buildings with approximately 10,000 residential units spread across the 25-hectare layout.

Around 90 buildings have been used as transit accommodation over the years. The remaining buildings include homes allotted to beneficiaries through different MHADA lottery programs.

The first phase of the redevelopment is expected to focus on buildings that are dangerous or in poor condition. Many of these structures are transit camps that have been in use for several decades.

Around 5,508 residents currently live in these transit accommodation buildings.

Transit Accommodation Plan for Residents

MHADA is also examining how families living in the transit camps without authorized allotments can be accommodated during the redevelopment process.

According to a senior MHADA official, families identified as encroachers may also receive transit accommodation while their legal cases are pending before the courts. This approach is intended to ensure that the redevelopment process can move forward while pending legal matters are addressed.

A proposal for implementing the EPC model is expected to be sent to the state housing department for approval shortly.

Cluster Redevelopment to Create Better Infrastructure

The Pratiksha Nagar project is being planned as a cluster redevelopment rather than as separate redevelopment projects for individual buildings or housing societies.

Officials said the cluster approach can help MHADA plan common facilities and infrastructure across the entire layout. This can include roads, open spaces, utilities and other community amenities as part of an integrated redevelopment plan.

Chief Minister Devendra Fadnavis had announced in March that MHADA would undertake the Pratiksha Nagar redevelopment under the cluster redevelopment model.

Additional Homes Can Support Future Affordable Housing

Another important objective of the project is to create additional housing stock.

MHADA has limited vacant land available in Mumbai for constructing new affordable homes. Redeveloping existing layouts can therefore provide an opportunity to generate additional homes without depending entirely on new vacant land.

The additional housing units created through the Pratiksha Nagar redevelopment are expected to remain with MHADA and could be offered through future affordable housing programs and lottery schemes.

Newer Buildings Excluded From Initial Redevelopment

The cluster plan will not include buildings that were constructed around 15 years ago and are currently considered fit for occupation.

These buildings do not require immediate demolition and will remain outside the initial redevelopment phase. This will allow MHADA to concentrate resources on older and more vulnerable structures first.

Approvals and Tender Process Still Pending

The redevelopment schedule has not yet been finalized. MHADA must first obtain the required administrative approvals before moving ahead with the bidding process for the EPC contractor.

Once the proposal receives approval and the tendering process is completed, the authority can move toward appointing the contractor and starting the redevelopment work.

The Pratiksha Nagar project could become an important example of how MHADA uses its own resources and project control to create new housing while improving aging residential infrastructure across Mumbai.