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Dharavi Redevelopment Project re-bid on the cards

Friday, 28 Jun 2019
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The government of Maharashtra might call for fresh tenders for the Dharavi Redevelopment Project. The rebid is on account of the time-consuming process of acquiring nearly 45 acre of railway-owned land which was included in the project.

Seclink Group, that emerged as the frontrunner in the first bid, will bid once again, but under another name. This time it will quote two to three times higher than their previous bid.

Seclink Group finished ahead in the tendering with a quote of Rs 7,200 crore; this time it might quote around Rs 20,000 crore. Towards the end of 2018, Dharavi Redevelopment Project floated global tenders. However, there were only two bidders for the global tender when it opened in February 2019 -- the Adani Group and the Dubai-based Seclink Group.

Adani Group had bid for Rs 4,500 crore. However, since January 2019 no decision has been taken yet on whom to award the tender. Dharavi is spread over 240 acre of land in Central Mumbai.

The state government had announced that it will float a special purpose vehicle (SPV) for the redevelopment where the lead partner, when forms the SPV, will have 80 percent equity worth Rs 400 crore while the government will hold 20 percent equity worth Rs 100 crore.

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