The Maharashtra Housing and Area Development Authority (MHADA) has taken a significant step in public housing renewal by issuing a letter of acceptance to a consortium consisting of M.G.N. Agro Properties, N.N.P. Buildcon, and Honest Shelters for the redevelopment of the 33-acre Abhyudaya Nagar colony in South Mumbai's Kalachowki area. Under this redevelopment plan, residents currently living in 210 sq ft tenements will be provided with free rehabilitation flats measuring 641 sq ft each, enhancing their living conditions. This project, which involves 3,410 tenements across 48 buildings, received approval from the Maharashtra cabinet on February 27, 2024, and was initiated following a government resolution on March 6, 2026. The project execution will follow the Construction and Development (C&D) model, with the authority previously facing challenges in the tender process due to a lack of responses. After a joint meeting led by Chief Minister Devendra Fadnavis in April 2025, the tender conditions were revised to include provisions such as one parking space per tenement holder, a corpus fund of ₹5 lakh for each resident, and monthly rent compensation of ₹25,000 until the project's completion.