Cluster redevelopment is emerging as a key strategy to expand affordable housing supply in Mumbai, with the Maharashtra Housing and Area Development Authority (MHADA) planning to prioritise redevelopment of large housing layouts across the city, according to its vice president and CEO Sanjeev Jaiswal.

Jaiswal said the cluster model could unlock around 800–1,000 acres of land for redevelopment and generate nearly 20,000 affordable housing units for MHADA over the next six to seven years, while enabling more planned urban renewal compared with piecemeal building redevelopment, according to a report by ETRealty.

The cluster model, he said, will not only enable planned urban redevelopment but also generate a significant supply of affordable housing units for the authority, with MHADA expected to receive about 20,000 homes over the next six to seven years through such projects.

Jaiswal also highlighted ongoing and upcoming projects including Motilal Nagar, SVP Nagar, GTB Nagar, Kamathipura, Magathane and Mandvi, as well as the BDD Chawl redevelopment, one of the largest housing redevelopment projects undertaken by the authority.

He added that reducing housing costs through policy reforms, such as rationalising premiums, development charges and taxes, could help bring down affordable housing prices by nearly 25%.

The interview also covers the status of PMAY housing in Maharashtra, the proposed rental housing policy, redevelopment of cess buildings, and MHADA’s financial performance and redevelopment pipeline.