Why permanent transit camps have become big business for developers

Mumbai: The Slum Rehabilitation Authority’s (SRA) notice to the developer of a luxury tower built on the site of yesteryear actor Mala Sinha’s bungalow in Bandra West, over alleged deviations from approved plans for permanent transit camp (PTC) tenements, has brought attention to one of the latest businesses quietly unfolding in Mumbai’s real estate market.

Once viewed primarily as a regulatory requirement in slum rehabilitation projects, PTCs are increasingly becoming an important tool for developers seeking to unlock development potential and make redevelopment projects commercially viable.

PTCs are buildings constructed by private developers to accommodate project-affected persons (PAPs). Developers hand over these units free of cost to government agencies such as the SRA in exchange for additional development rights to construct a large luxury building or commercial project.

There are currently 412 PTCs across Mumbai at various stages of construction, involving 25,733 housing units, a senior SRA official revealed.