BMC panel approves 30-year lease of Lower Parel Century Mill land to Peddar Realty

The civic improvements committee approved leasing BMC's Century Mill land for thirty years. Opposition arose from Shiv Sena (UBT) and Congress regarding the land deal. A proposal to replace a sports complex reservation with a petrol pump was also cleared. Nearly nine thousand square meters of BMC land in Lower Parel will be integrated into an SRA scheme.

Mumbai, August 14, 2026: Despite fierce opposition from Shiv Sena (UBT) and Congress, the Shiv Sena-BJP-led BMC Improvement Committee on Friday approved the 30-year lease of 23,822 sq m of prime Century Mill land in Lower Parel to Peddar Realty Ltd, with an option to extend it for another 30 years.Opposition Questions Lease DecisionOpposition corporators accused the BMC of short-changing itself on valuable reclaimed land, questioning why the plot was not reserved for a public amenity or why more bidders were not invited. Shiv Sena (UBT) corporator Vishakha Raut said the proposal failed to adequately protect mill workers’ families, while fellow corporator Sachin Padwal questioned the transparency of the bidding process and alleged that the terms may have been tailored to benefit a particular developer. Padwal and another corporator, Vitthal Lokre, tore up copies of the proposal in protest.Committee Defends Revenue MoveHowever, Committee chairperson Sandhya Doshi defended the decision, saying efforts would be made to provide mill workers’ families — particularly Marathi families — homes or space at the same location, while insisting the lease would boost BMC revenue.Also Watch:Mumbai: Congress Leader Ashraf Azmi Questions BMC’s Proposed 30-Year Lease Of Century Mill Land At Lower ParelSports Reservation ReplacedIn another controversial move, the committee approved replacing a reserved sports complex/stadium in Mulund East with a petrol pump, citing the lack of one in the area. It also cleared a proposal to merge nearly 9,000 sq m of BMC land in Lower Parel with an SRA project, in return for 189 rehabilitation flats and a 25 per cent land premium.To get details on exclusive and budget-friendly property deals in Mumbai & surrounding regions, do visit: https://budgetproperties.in/

Mumbai, August 13, 2026: Congress BMC group leader Ashraf Azmi has opposed the proposed 30-year lease of 23,822 sq metres of prime Century Mill land in Lower Parel to Peddar Realty Ltd, with an option for another 30 years, questioning why a valuable municipal asset reclaimed after a decades-long legal battle should be handed to a private developer for potentially six decades.Azmi said the land should instead serve mill workers, existing residents and the wider public through rehabilitation, PAP and mill-worker housing, open spaces and civic amenities. He has also questioned the proposed Rs 1,351-crore consideration, citing an indicative development potential of 10.75 lakh sq ft and a potential gross development or sale value of nearly Rs 7,000 crore.Congress Demands Independent ValuationAzmi has demanded an independent valuation and comparison with a BMC-led development model before the proposal is cleared, along with safeguards for the nearly Rs 1,000 crore in deferred payments. The proposal will come before the Civic Improvements Committee for sanction at its next meeting.Nearly 20 years after Century Mills shut in December 2006, 476 mill-worker families are finally set for permanent rehabilitation on the Lower Parel plot. The proposed redevelopment will include a high-rise residential complex, with rehabilitation flats for eligible families and additional units sold in the open market to generate revenue for the BMC.Mill Workers Set For RehabilitationThe rehabilitation homes are expected to measure around 405 sq ft, depending on the scheme adopted by the developer.Also Watch: Mumbai Redevelopment Update: BMC Picks Peddar Realty’s ₹1,351-Crore Bid For Century Mills Plot In Lower ParelThe land was originally leased to Century Spinning and Manufacturing Ltd in 1927 to house poorer-class employees. After the lease expired in 1955, a prolonged ownership dispute followed. In January 2025, the Supreme Court ruled in favour of the BMC, affirming its ownership and clearing the way for redevelopment.To get details on exclusive and budget-friendly property deals in Mumbai & surrounding regions, do visit: https://budgetproperties.in/