In a significant move towards urban development in Mumbai’s eastern suburbs, Mahindra Lifespace Developers Ltd (MLDL), a subsidiary of the Mahindra Group, has signed a joint development agreement with GKW Ltd. This partnership aims to transform a 37-acre land parcel in Bhandup into a mixed-use development, encompassing residential, commercial, and retail spaces. With a development potential of around 3.6 million square feet, the project marks Mahindra Lifespace’s commitment to broadening its footprint in Mumbai’s thriving real estate market.
A Mixed-Use Project with Residential Focus
According to a statement by Mahindra Lifespace, while the primary focus will be on residential construction, the development will also include commercial and retail elements to support a vibrant, self-sustaining community. Mixed-use developments like this one are in high demand in Mumbai’s urban zones, where integrated spaces allow residents to live, work, and shop within the same vicinity, promoting a more holistic lifestyle.
The project aligns closely with Mahindra Lifespace’s strategy for growth and sustainable urban development. “This strategic development in Bhandup reinforces our goal of expanding Mahindra Lifespaces’ footprint in Mumbai,” stated Amit Kumar Sinha, Managing Director and CEO of Mahindra Lifespace Developers. “The project aligns with our vision to achieve 5x growth while remaining committed to innovative designs, sustainability, and creating vibrant communities.”
Economic Interests and Facilitation
Under the joint agreement, Mahindra Lifespace holds a 70.5 percent economic interest, while GKW Ltd retains a 29.5 percent share. This economic structure leverages both partners’ strengths, allowing Mahindra Lifespace to lead in development expertise and GKW to capitalize on its landholding as an asset. Real estate consultancy Anarock Capital facilitated the deal, while legal advisory was provided by Khaitan & Co.
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Moneycontrol has sought further details on the estimated gross development value and revenue potential for the project, with updates expected once Mahindra Lifespace provides feedback.
Legacy Industrial Lands Transforming Bhandup
The Bhandup-Kanjurmarg-Vikhroli-Thane corridor, once primarily an industrial hub, has seen steady growth in real estate as companies move industrial operations to areas further outside the city. This shift has created opportunities for land monetization and urban development. GKW, which once had significant engineering operations in Howrah and Bhandup, has shifted its focus to logistics and warehousing services. The company has maintained a land bank in these areas, which, through such partnerships, can be transformed into valuable mixed-use developments.
This trend is evident across Mumbai’s eastern suburbs, with companies like Godrej, Raymond, Blue Star, and tile maker Nitco monetizing land assets. In August 2024, for example, Nitco sold a four-acre land parcel in Kanjurmarg to Runwal Realty for Rs 232 crore, underscoring the high demand for real estate developments in legacy industrial zones.
Expanding Mahindra Lifespace’s Vision in Mumbai
For Mahindra Lifespace, the Bhandup project signifies an important step in its mission to expand its portfolio and reinforce its role in sustainable urban development. With a commitment to eco-friendly practices and vibrant community creation, Mahindra Lifespace’s involvement in such projects is aimed at meeting the demands of modern homebuyers while revitalizing legacy industrial areas in Mumbai.
This new project is set to be a landmark development in Bhandup, setting a high standard for mixed-use projects and offering residents a well-rounded, urban living experience. As Mahindra Lifespace continues to build on its growth trajectory, partnerships like this reinforce its brand and contribute to the ever-evolving Mumbai skyline.
