Why The Likes Of Reliance And Adani Are Investing To Redevelop Mumbai’s Slums

By Amritha Pillay

What?

As the maximum city Mumbai continues to grow, it now has very little land left in its southern parts that can be developed at scale. Slums like Dharavi, the largest in Asia, sit on large plots of land but have been difficult to redevelop because of ownership issues, consent of residents and rehabilitation obligations, causing massive delays.  

However, a new Slum Rehabilitation Authority (SRA) policy — with plans for more than five lakh rehabilitation homes and 19 cluster development locations by 2030 — has made large clusters easier to take up, drawing some of India’s biggest conglomerates into a market that was once largely the preserve of specialist real estate developers.

Reliance Industries entered the fray in June, when its real estate arm won the bid to redevelop the 101-acre Juhu Lane-Gilbert Hill slum cluster.

Sajjan Jindal’s JSW Realty was also among those interested. Mahindra & Mahindra, which has not prioritised slum redevelopment, is now looking at the segment.

Gautam Adani is already pursuing Mumbai’s SRA opportunity through the Dharavi redevelopment project.

The lure, according to industry analysts, is a more conducive SRA policy; new rules have made it easier to access large parcels of land, while the economics of redevelopment can be significantly more attractive than conventional Mumbai real estate.

Why?

The biggest shift came with the new Slum Cluster Redevelopment scheme that was introduced last year. 

It allows large tracts of land to be developed together and waives individual slum-dweller consent in eligible large clusters. It also allows mixed-use development across larger tracts of land.

Consent of residents and fragmented plots have historically been among the biggest sources of uncertainty in slum redevelopment.

Under the new framework, the developer does not have to negotiate separately with every resident before proceeding with an eligible large cluster. 

The larger development parcels also allow rehabilitation and saleable development to be planned together rather than as a collection of smaller projects.

“There are two major opportunities — the first is in rehabilitating and providing housing to eligible and impacted residents. The second is the access it provides to precious land which, under any other circumstances, would never hit the market at all,” said Anuj Puri, chairman of ANAROCK Group.

What Next? 

With the goals for 2030, there would be further opportunities for these conglomerates. 

Behrampada in Bandra East, Majaswadi in Andheri and Behram Baug in Oshiwara are among the locations identified for the first phase, according to news reports.

JLL, in a report released this month, said SRA projects have reached an unprecedented execution momentum. It counted 1,202 active projects covering 2,156 acres and 321,858 tenements — nearly four times the number of tenements completed since the SRA was established in 1995.

The developments extend beyond the clusters already attracting corporate attention, including projects in the Parel-Sewri corridor, Dharavi, Wadala and Kurla.

But this also brings up the problem of financing. 

If the country’s largest companies compete for these land parcels, these bids could become significantly harder to win. 

Also, just having deep pockets won’t be enough for the success of these projects.

The ice cream shop that makes money when it's cold

28 Wishes sells ice cream in Los Angeles. Below 70°F, sales fall about 20%. The weather is out of their hands. Rent isn't.

So the owners started putting about $20 a day into Kalshi weather markets, taking the cold side. The days that keep customers away now pay something back.

This is hedging. Big companies have done it for decades, buying protection against bad weather, fuel spikes and rising rates. It used to take a broker, a trading desk, and an order size no corner shop could meet.

Kalshi opens it up. Contracts on weather, fuel prices, inflation, tariffs and regulation, starting at a few dollars. Take a position on the outcome that would hurt you. If it hits, the payout softens it. If it doesn't, the contract expires and the good month was the point.

See how other owners are doing it at Kalshi.com/hedging

Rs 530 crore

That's the daily loss state-run oil marketing companies are estimated to be racking up as surging crude prices outpace unchanged domestic fuel rates, rating agency ICRA said on Wednesday.

Indian Oil, Bharat Petroleum and Hindustan Petroleum are each losing Rs 8 a litre on petrol and Rs 9 on diesel, while LPG under-recoveries stand at around Rs 300 a cylinder.

Fast Facts: Crude has surged to $117.4 a barrel as of September 21, sharply up from last year's average of roughly $66, driven by renewed US-Iran tensions, the shutdown of Saudi Arabia's East-West pipeline, and Houthi disruptions in the Red Sea. ICRA's Prashant Vasisht said the conflict and supply disruptions have pushed crude higher, even as strong Singapore refining margins offer only partial relief.

Future: LPG remains a key strain, with the sector's cumulative shortfall reaching Rs 61,940 crore by June, alongside elevated export taxes on diesel and jet fuel. ICRA said 2026-27 earnings will hinge on crude trends, price revisions and government support.

Separately, Kotak Securities noted ONGC has lagged Oil India's stock by 14-15 percentage points since February, a gap it linked largely to investor preference for mid-caps.

Adani Tops, Rupee Bites

Gautam Adani & family have reclaimed the top spot on the M3M Hurun India Rich List 2026 with wealth of Rs 9.23 lakh crore, edging past Mukesh Ambani & family, whose wealth declined 10% to Rs 8.63 lakh crore. India now counts a record 391 dollar billionaires, up from 365 last year.

Critical Moment: But the rupee is keeping the club smaller than it could be. "At the 2014 exchange rate, we would have 559 — with the same fortunes," said Hurun India's Anas Rahman Junaid, noting the currency's depreciation has kept 168 Indians off the billionaire list despite their fortunes staying the same in rupee terms. "Turns out, the rupee is a rather strict bouncer at the billionaire club," he added.

Setting: Overall wealth on the list rose 12.8% to Rs 187.5 lakh crore, even as the Nifty fell 3.9%, underlining how dollar-denominated rankings can diverge sharply from rupee-based business valuations.

Manufacturing Leads Recovery

India’s private-sector activity rebounded in September, with the HSBC Flash India Composite PMI rising to 56.5 from 54.3 in August, marking a three-month high. 

Catch Up Quick: Manufacturing led the recovery as factories recorded stronger output and new orders, while services activity also picked up. Domestic demand remained the main driver, but exports showed signs of weakness. New export orders grew at their slowest pace in nearly three years, while services hiring also lost momentum. The broader picture remains mixed: the composite PMI averaged 55.1 in the July-September quarter, down from 58.2 in the previous quarter. 

The Turning Point: Pranjul Bhandari, HSBC’s chief India economist, said, “Activity in the private sector gained momentum, led by stronger manufacturing.” However, the broader quarter was weaker: the composite PMI averaged 55.1 in July-September, compared with 58.2 in the previous quarter, pointing to a moderation in overall growth.

LG, Samsung Under Scrutiny

India is investigating LG Electronics and Samsung for allegedly paying lower import duties on OLED display components used to manufacture premium televisions in India, Reuters reported.

Context: The dispute centres on a 5% concessional tariff for certain LCD and LED display components. India introduced a 5% duty on open cells in 2018, temporarily scrapped it in 2019 and revised the tariff structure again in January 2026 to encourage domestic manufacturing. Revenue authorities argue that OLED open cells fall outside this concession and should attract a 15% duty. Both companies dispute this interpretation.

Pivot: Meanwhile, electronics industry associations have urged the government to extend the concession to OLED components, arguing that the existing rules penalise newer display technology and increase manufacturing costs. The investigation highlights a broader challenge for India's electronics ambitions: manufacturers still depend heavily on imported components even as the government pushes domestic production.

India’s Domestic Air Traffic Stays Almost Flat

India’s domestic air passenger traffic slipped into negative growth in the first eight months of 2026, with airlines carrying 1,105.30 lakh passengers, 0.18% less than the 1,107.26 lakh carried in the same period last year.

August traffic fell 6.34% year-on-year to 121.26 lakh passengers, according to Directorate General of Civil Aviation (DGCA) data.

Fast Facts: The slowdown has become sharper over the past few months. Passenger growth was 1.91% through May, but eased to 0.64% by July before turning negative in August.

Monthly growth also weakened from 9.49% in May to -6.34% in August. August also saw weaker seat utilisation at most airlines.

IndiGo’s load factor fell to 79.2% from 82.4% in July, while Air India Group’s dropped to 77% from 83.2%.

The overall cancellation rate was 1.04%, with technical issues accounting for 50.2% of cancellations.

Background: The recent slowdown appears to reflect a combination of seasonal demand, lower airline capacity and operational constraints.

SpiceJet, for example, sharply reduced its capacity, while Air India and other airlines have also been adjusting their networks.

The aviation sector has additionally faced supply-chain and aircraft availability issues, which have limited the number of flights some airlines can operate.

Exploring AI Voice With SuperBloom

For Deel's "Feeling of Deeling" campaign, agency SuperBloom needed one consistent brand voice across markets—deployed fast, without sacrificing quality or consent. In this on-demand video session, SuperBloom and Voices break down the casting, production, and governance, plus what they'd do differently and where AI voice is headed next.

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