Facing a severe cash crunch, the Municipal Corporation of Delhi (MCD) has roped in state-run NBCC (India) Limited to redevelop six ageing staff housing complexes at prime locations across the capital — a move expected to fetch nearly ₹15,000 crore and help the civic body tide over its mounting financial crisis.

The properties slated for redevelopment house employee accommodation built over five decades ago at Minto Road near Connaught Place, Model Town, Azadpur, Dhaka near Delhi University’s North Campus, Usmanpur, and Kamla Nagar. Under the plan, these structures would be razed and replaced with multi-storey residential-cum-commercial complexes, with the flats and commercial space sold to generate revenue.

Discussions with state-run NBCC (India) Limited are at an advanced stage, a senior MCD official said, with the proposal expected before the standing committee soon. The decision to involve NBCC follows the civic body’s repeated failure to execute these projects on its own and the collapse of earlier talks with the Housing and Urban Development Corporation.

“The civic body has failed to take off these redevelopment projects and has finally decided to hand them over to NBCC, which is undertaking several such projects and has a proven track record,” the official said.

The financial stakes are substantial. The corporation estimates it could generate approximately ₹15,000 crore by constructing and selling around 5,000 flats across Model Town’s 97,184 square metre site and Azadpur’s 72,145 square metre plot, along with hotels, hospitals, clubs and banquet halls, according to projections made about eight years ago. Substantial additional revenue is anticipated from developing residential complexes at the three remaining sites in Dhaka, Usmanpur and Kamla Nagar.

Such an injection would prove transformative for a corporation that, despite an annual budget of ₹17,000 crore, is saddled with liabilities worth ₹16,226.51 crore—including employees’ seventh pay Commission arrears, gratuity, and outstanding payments to contractors. “The proceeds will not only help clear the corporation’s debts but also provide significant savings for development projects,” said a second official, speaking on condition of anonymity.