Dharavi slum redevelopment project: Bidding to open todayhttps://indianexpress.com/article/cities/mumbai/mumbai-dharavi-slum-redevelopment-project-bidding-to-open-today-5540519/

Dharavi slum redevelopment project: Bidding to open today

Global tenders for the Rs 26,000-crore project were floated on November 23, 2018 for the Dharavi redevelopment project, which had been in the pipeline since 2004 but had not seen the light of the day for want of a developer.

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An officer from the Dharavi Redevelopment Authority (DRA) said financial bids would open on Wednesday at 3.30 pm. (Source: File)

THE TENDER for Maharashtra government’s ambitious Dharavi redevelopment project received two bids on Tuesday.

While one bid was received from a Dubai-based firm, the other was from the Adani Group.

An officer from the Dharavi Redevelopment Authority (DRA) said financial bids would open on Wednesday at 3.30 pm.

Global tenders for the Rs 26,000-crore project were floated on November 23, 2018 for the Dharavi redevelopment project, which had been in the pipeline since 2004 but had not seen the light of the day for want of a developer. The project is set to be a joint venture between the state government and private developers. However, the deadline for submission of bids had to be extended thrice owing to a tepid response from builders. In a pre-bid meeting, 15 to 20 top developers from across the country participated, but only two bidders actually submitted a tender.

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Senior officer from DRA said, “The tender received two bidders — one is an international firm and the other is the Adani group. In the Special Purpose Vehicle (SPV), the government plans to extend various concessions to facilitate speedy completion of the project. While the winning bidder will set up a SPV with 80 per cent equity (Rs 400 crore), the government will hold 20 per cent equity (Rs 100 crore)”.

The SPV will have to complete the rehabilitation work and other infrastructure in seven years after a work order is issued. Before signing the agreement, the lead partner will be expected to maintain a minimum base price of the quotation of Rs 3,150 crore. Under the SPV, free housing for eligible slum dwellers and occupants will have to be constructed.