Not Indian, foreign company may redevelop biggest slum in Asia

The Dharavi redevelopment project that didn’t look like it was ever going to take off, may have found a foreign investor. Chief Minister Devendra Fadanvis, during his foreign visit at Dubai, met MBM group, which has expressed its interest in redeveloping Dharavi. The state government had decided to redevelop Asia’s biggest slum via a Special Project Vehicle (SPV).

According to senior officials, a foreign company may be a part of the SPV and equity shares in the company would be allotted to the investor. When contacted, Fadnavis confirmed the same and said they (MBM Group) are interested in financing the project. The state government had last year decided that the slum will be redeveloped in the lines of BDD Chawl redevelopment.

The CM, who is on a foreign tour, met the groups in Dubai over the weekend, said a statement released by the chief minister’s office (CMO).

A senior officer in the project said, “There is nothing concrete that has been decided, it is a mere interest shown. If the company comes in, then it will be part of the SPV, where it shall be considered as an investor, who will be given equity shares of the company(sic).”

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“We need a developer who will pump in money and even in the past there were foreign developers who had come ahead for BDD Chawl redevelopment is a classic case. Where consortium come ahead and it does have a foreign investor too. Anyone who comes in for Dharavi will have to be financially strong,” said the officer.

By Varun Singh, DNA India