Table of Content
The Rustomjee Group to redevelop eight housing societies in one of Mumbai’s most sought-after localities — Andheri West — marks another milestone in the city’s dynamic real estate transformation. Keystone Realtors Limited, widely recognized by its brand name Rustomjee, has been selected to execute this ambitious cluster redevelopment project, expected to unlock a massive ₹3,000 crore in revenue from the saleable area alone.
This project is not just a significant business opportunity for the developer but also a symbol of the shifting landscape of urban redevelopment in Mumbai — where aging housing societies are being reborn into modern, high-rise communities with better infrastructure and amenities.
Cluster Redevelopment Project in Lokhandwala
Located in the heart of Andheri West’s Lokhandwala area, this redevelopment venture spans approximately 4.75 acres (19,229 sq. meters). This well-established residential pocket is known for its cosmopolitan population, connectivity, and vibrant lifestyle.
The project encompasses eight cooperative housing societies with 548 existing members, all of whom stand to benefit from the transformation of their old, timeworn buildings into premium residential towers with modern amenities.
The Rustomjee Group to redevelopment of eight housing societies reflects the developer's commitment to upgrading key urban pockets in Mumbai, especially those with high redevelopment potential and rising land value.
Also Read: Housing Market to Grow Steadily with Luxury Segment Taking Center Stage
Development Progress and Current Status
The Rustomjee Group has already made substantial headway in formalizing this mega redevelopment. Out of the eight housing societies involved, Development Agreements (DAs) have been executed with five, while Letters of Intent (LOIs) have been secured from the remaining three. The final set of DAs is expected to be signed shortly, post which the project will move toward the construction phase.
This proactive engagement with all stakeholders, including society members and regulatory bodies, showcases Rustomjee’s strong execution capabilities and commitment to timely delivery — a critical factor in large-scale redevelopment.
Revenue Potential and Scale of Construction
The redevelopment will unlock around 10.6 lakh sq. ft. of saleable area, with a Gross Development Value (GDV) estimated at ₹3,000 crore. This revenue will be generated through the sale of newly constructed residential units in the open market.
With Mumbai’s western suburbs witnessing a consistent demand for modern housing, especially in areas like Lokhandwala that are close to key commercial hubs, this project is poised to attract significant interest from both end-users and investors.
The Rustomjee Group to redevelop eight housing societies is aligned with the company's broader strategy to acquire and develop high-potential land parcels through cluster redevelopment across the city.
Vision Behind the Project
Boman Irani, Chairman and Managing Director of Keystone Realtors Limited, shared his vision for the redevelopment:
“We are proud to have been selected as the preferred redevelopment partner for this large-format society cluster in Andheri West, one of Mumbai’s most dynamic residential neighborhoods. With a GDV of nearly ₹3,000 crore and a significant development footprint, this project exemplifies our focus on scale, location, and value creation.”
He further emphasized that urban redevelopment isn’t just about constructing new buildings but about reimagining how people live in the city. This initiative reflects Rustomjee’s mission to deliver thoughtful, sustainable, and community-first urban spaces.
Understanding Redevelopment and Its Benefits
Redevelopment projects have become a cornerstone of Mumbai’s urban planning due to the city’s limited land availability and aging building stock. Especially in areas like Andheri West, where many buildings are decades old, redevelopment offers a win-win for all:
- Residents get larger, modern homes with better amenities at no cost.
- Builders gain access to prime land for new inventory through the additional Floor Space Index (FSI).
- The government benefits through revenue generation from FSI premiums and taxes.
The Rustomjee Group to redevelop eight housing societies in this context is not just a private enterprise; it plays a key role in Mumbai’s infrastructure upgrade.
Rustomjee's Redevelopment Track Record
This is not the first time Rustomjee has taken on a significant redevelopment project. The group was recently appointed by MHADA to redevelop 25 buildings in GTB Nagar, Sion Koliwada, housing over 1,200 Sindhi refugee families. Spread across 11.2 acres, this project will generate 25,700 sq. m. of built-up housing stock for MHADA, offering new 635 sq. ft. apartments to displaced families.
This growing portfolio of redevelopment projects showcases Rustomjee’s expertise in managing large-scale, socially sensitive, and technically complex urban transformation initiatives.
Also Read: Pune Dominates India’s Industrial Property Market for Second Straight Year
Redevelopment as a Citywide Movement
Mumbai's skyline is undergoing a quiet revolution. With thousands of aging housing societies across the city, cluster redevelopment is becoming the preferred model due to its ability to scale projects, reduce delays, and generate meaningful value for all stakeholders.
For developers, it opens up land access in land-starved Mumbai. For residents, it means safer, larger, and more livable homes. For the city, it means improved infrastructure, higher property tax revenues, and rejuvenated neighborhoods.
The Rustomjee Group to redevelop eight housing societies in Andheri West is a prime example of this ongoing transformation.
Conclusion
The project is more than just a construction initiative, it’s a vision for redefining urban living in Mumbai. With an expected revenue of ₹3,000 crore, strong backing from society members, and a proven developer at the helm, this redevelopment could become a model for similar efforts citywide.
For Rustomjee, this is yet another strategic step toward strengthening its presence in Mumbai’s western suburbs. For residents of these eight societies, it marks the beginning of a new chapter, one filled with space, security, and modern comforts.
As urban redevelopment gains pace across Mumbai, all eyes will be on how projects like this shape the next generation of city living.
Follow AquireAcers Whatsapp Channel to Stay Updated With The Latest Real Estate News
_1751437337.webp)
Ans 1. This project stands out because it’s one of the largest cluster redevelopment initiatives in the upscale Lokhandwala area of Andheri West. It involves transforming eight cooperative housing societies spread across nearly 4.75 acres into premium high-rise residences. With an estimated revenue potential of ₹3,000 crore from the saleable area, it reflects not just commercial success, but a key moment in Mumbai’s urban renewal journey.
Ans 2. Residents of the eight societies involved will receive newly built, larger, and better-equipped homes at no additional cost. Apart from enhanced safety and comfort, they will also gain access to modern amenities like parking, security, recreational spaces, and better infrastructure—something older buildings often lack. It’s a lifestyle upgrade without financial burden.
Ans 3. As of now, Rustomjee has executed Development Agreements with five out of the eight societies and secured Letters of Intent from the remaining three. The signing of final agreements is expected soon. Once completed, the project will move into the planning and construction phases. This strong early engagement demonstrates the developer’s execution capability and the confidence society members have placed in the project.
Ans 4. The projected revenue is based on the planned development of approximately 10.6 lakh sq. ft. of saleable residential space in one of Mumbai’s most in-demand locations. Lokhandwala’s connectivity, premium neighborhood status, and proximity to business hubs make it a high-value market, attracting both homebuyers and investors. The scale and location of the project make such a revenue estimate realistic.
Ans 5. This redevelopment is part of Rustomjee’s focused approach to expand its footprint through large-scale cluster redevelopment in key Mumbai neighborhoods. The developer has been actively acquiring high-potential land parcels and working on socially impactful projects—such as the GTB Nagar redevelopment in Sion Koliwada for MHADA. It’s a strategic mix of commercial ambition and community upliftment.
Ans 6. Redevelopment has become a necessity in land-starved Mumbai, where many buildings are over 30–40 years old and no longer structurally sound. Cluster redevelopment allows developers to rejuvenate entire neighborhoods while residents benefit from safer, more spacious homes. Projects like this also contribute to the city’s infrastructure development and economic vibrancy, making redevelopment a win for everyone involved—residents, developers, and the government.
Ans 7. Large-scale redevelopment projects often face hurdles such as regulatory clearances, aligning multiple society members, and logistical complexities. However, developers like Rustomjee, with experience in similar initiatives, tend to have stronger stakeholder management and legal structuring capabilities—key to navigating these challenges and ensuring smoother execution.
Ans 8. Construction is expected to commence once all development agreements are signed and regulatory approvals are in place. While timelines vary depending on approvals and site conditions, such large-scale projects generally take between 3 to 5 years to complete. Rustomjee’s track record in delivering complex projects adds confidence to timely execution.