Godrej Properties has entered into a development agreement for a 2.5-acre land parcel in Marine Lines, South Mumbai, to develop a luxury residential project with an estimated revenue potential of around ₹6,000 crore. The project will be jointly branded as part of the collaboration.
The development rights for the land parcel were jointly held by Man Infraconstruction (MICL) and Shreepati Group and have now been transferred to Godrej Properties. The agreement adds another premium residential development to Godrej Properties’ portfolio in South and Central Mumbai.
MICL to Retain Revenue-Sharing Interest
MICL, which was earlier the development manager for the project, will continue to have an economic interest through an agreed revenue-sharing arrangement with Godrej Properties.
In addition to the revenue-sharing arrangement, MICL will recover more than ₹300 crore of its existing investment in the project. The company said the recovery of this investment will provide it with early cash flows and greater financial flexibility to pursue new development opportunities in Mumbai.
The transaction therefore combines the transfer of development rights with continued participation by MICL in the project. While Godrej Properties will undertake the development, MICL will retain a share of the project’s revenue under the agreed arrangement.
Luxury Housing Development in Marine Lines
The 2.5-acre project is planned as a luxury residential development in Marine Lines, one of South Mumbai’s established residential locations. According to regulatory filings cited in the report, the project has an estimated revenue potential of about ₹6,000 crore.
The project expands Godrej Properties’ presence in the premium and luxury housing segment in South and Central Mumbai. The company’s managing director and CEO, Gaurav Pandey, said Mumbai remains a key market for Godrej Properties and that its premium and luxury developments in South and Central Mumbai have seen strong demand.
For MICL, the arrangement provides an opportunity to recover its existing investment while retaining exposure to the future performance of the development through revenue sharing. The company’s managing director Manan Shah said the early realisation of cash flows would provide greater financial flexibility for pursuing new development opportunities in Mumbai.
Mumbai Remains a Key Residential Market
The development comes as Mumbai continues to see activity in premium and luxury residential projects, particularly in established locations across South and Central Mumbai. The Marine Lines project will add to this segment with a sizeable 2.5-acre development and an estimated revenue potential of ₹6,000 crore.
The agreement also reflects a project structure in which development rights are transferred to a major developer while the existing development partner continues to participate through a revenue-sharing arrangement.
With the development rights now transferred to Godrej Properties, the company will take forward the planned luxury housing project in Marine Lines. MICL will recover more than ₹300 crore invested earlier in the project and retain its agreed revenue-sharing interes
