Lodha Developers Ltd has entered a joint development agreement with the Sahana Group to develop a 10.26-acre land parcel in the Parel–Sewri corridor of central Mumbai, as per property registration documents accessed by CRE Matrix. The deal, valued at roughly Rs. 364.80 crore, included a stamp duty payment of about Rs. 37.20 crore at the time of registration. This agreement marks one of the significant land transactions in central Mumbai in recent years.
Revenue sharing and project outline
Under the terms of the agreement, as per property registration documents accessed by CRE Matrix, Lodha will receive a majority share of the revenue (67 per cent), while Sahana Properties and Resorts and Sahana Builders and Developers will take the remainder (33 per cent). The split is approximately 67 per cent for Lodha and 33 per cent for the Sahana entities. Construction is expected to span around five years, signalling a substantial addition to Mumbai’s residential and commercial stock.
Strategic location drives value
Large land parcels in central Mumbai are rare. Parel and Sewri have evolved from industrial zones into high-demand residential and commercial hubs. Infrastructure upgrades, metro connectivity, and proximity to business centres have made these areas attractive for developers. The location’s potential underpins the sizeable investment by both parties.
Slum rehabilitation component
The agreement also includes a slum redevelopment aspect. Certain portions of the land are occupied by slum dwellers organised into multiple societies. The plan envisages constructing rehabilitation buildings before developing residential or commercial towers for sale. This step adds complexity to the project but aligns with city regulations on redevelopment.
Implications for Lodha’s strategy
The JDA strengthens Lodha’s strategic presence in Mumbai. By entering joint ventures, the company reduces upfront capital risk while accessing prime land. This approach allows Lodha to expand its project pipeline in one of India’s most expensive and competitive property markets.
Market trends and outlook
Parel recorded high transaction volumes in 2025, with average property prices nearing Rs. 39,000 per square foot. Sewri, slightly lower in prices, also remains active. These trends indicate sustained buyer interest in centrally located residential projects.
A slight pause in the process
Of course, signing the deal is only the start. Approvals, construction planning, and practical execution still lie ahead. This pause reminds us that high-value land agreements do not immediately translate into completed developments, a nuance often overlooked.
Looking ahead
If executed smoothly, the Lodha–Sahana project could become a benchmark for central Mumbai redevelopment. The deal signals both continued investor confidence and the enduring appeal of well-situated urban land in India’s financial capital.
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