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Rethinking FSI: Why Mulund offers a model for planned urban growth

#Opinions#Residential#India#Maharashtra#Mumbai City
Chintan Sheth, Chairman and Managing Director of Sheth Realty Last Updated : 26th Jul, 2026
Synopsis

As Mumbai faces increasing land scarcity and a growing population, redevelopment supported by Floor Space Index (FSI) has become central to meeting the city's housing needs. However, the focus should extend beyond maximising built-up area to creating well-planned, liveable communities. Using Mulund as an example, this opinion piece argues that strategic FSI utilisation, balanced density, adequate open spaces and supporting infrastructure can deliver sustainable urban growth while preserving residents' quality of life. It also highlights the importance of responsible redevelopment practices that prioritise long-term value over short-term gains, positioning Mulund as a model for Mumbai's next phase of planned urban development.

Mumbai has long grappled with the challenge of accommodating a growing population within limited land availability. As the Mumbai Metropolitan Region (MMR) population is projected to reach around 2.9 crore by 2030, according to industry estimates, the city must increasingly rely on redevelopment and efficient land utilisation rather than horizontal expansion. In this context, Floor Space Index (FSI) has become one of the most significant planning tools available to support Mumbai's future growth.
FSI determines the amount of built-up area that can be developed on a land parcel. Although often viewed as a technical planning parameter, its application has a direct bearing on housing supply, urban liveability and the long-term quality of residential developments. When deployed thoughtfully, FSI enables cities to accommodate more residents while improving infrastructure planning and residential experience. However, maximising permissible FSI without considering density management can create long-term challenges for both residents and the surrounding urban ecosystem.
The importance of FSI is particularly evident in redevelopment projects. Under conventional development norms across Mumbai, permissible FSI is largely linked to the width of adjoining roads and typically ranges between 2.5 and 3.24. In contrast, redevelopment frameworks such as Slum Rehabilitation Authority (SRA) projects and certain special planning provisions under the Municipal Corporation of Greater Mumbai (MCGM) permit effective FSI levels of up to 8 or even 10. While these provisions significantly increase housing potential on the same land parcel, they also place greater responsibility on developers to ensure that higher density does not compromise the quality of living.
Mulund presents a compelling example of how this balance can be achieved. Unlike many established neighbourhoods constrained by limited redevelopment opportunities, the suburb continues to offer significant redevelopment potential alongside relatively well-developed infrastructure. Supported by strong road and rail connectivity and multiple infrastructure projects that are operational or under construction, Mulund possesses many of the prerequisites necessary to accommodate higher-density development in a more sustainable manner.
Nevertheless, the availability of higher FSI alone does not guarantee better outcomes. In several redevelopment projects across the city, the emphasis on maximising saleable area has resulted in developments with a disproportionately high number of residential units. While commercially attractive, such projects can create operational challenges that become evident only after residents move in.
Long waiting times for lifts, congestion at entry and exit points, pressure on parking facilities, inadequate water storage capacity and overcrowded recreational amenities can significantly affect day-to-day living. Residents may also experience increased competition for common facilities, resulting in reduced convenience and a diminished quality of life. These issues often remain unnoticed during the purchase process, as buyers typically evaluate sample apartments rather than the operational efficiency of the completed development.
The next phase of Mumbai's redevelopment should therefore move beyond viewing FSI purely as a mechanism to maximise construction potential. Instead, it should be regarded as a planning instrument that enables balanced communities. This requires maintaining an appropriate relationship between the number of residential units, open spaces, landscaped areas, recreational amenities and supporting infrastructure.
In Mulund, this approach is increasingly visible through developments that adopt more efficient master planning principles. Rather than treating every square foot as saleable inventory, projects are incorporating podium-level planning, larger open spaces and better tower positioning to improve natural light, cross ventilation and privacy. Such planning creates more breathable developments without compromising the efficient utilisation of land.
Encouragingly, some developers participating in Mumbai's redevelopment cycle are beginning to prioritise lower-density planning over maximum built-up potential. Although this may involve relatively lower commercial offerings in certain projects, it reflects an understanding that better resident experience, reduced congestion and superior urban planning contribute to stronger long-term asset value.
Open-to-sky spaces also deserve greater attention as redevelopment gathers pace. While suburbs such as Mulund continue to benefit from comparatively higher green cover than many other parts of Mumbai, individual developments must also preserve meaningful landscaped areas within their premises. Green spaces not only enhance residents' quality of life but also contribute towards mitigating the effects of seasonal air quality fluctuations and rising urban temperatures.
Another advantage of well-planned FSI utilisation is the opportunity to transform ageing and underutilised land parcels into modern, lower-density gated communities that are supported by contemporary infrastructure. With its established social infrastructure, educational institutions, healthcare facilities and multimodal connectivity network, Mulund is well positioned to support this transition without requiring entirely new urban infrastructure.
As Mumbai accelerates its redevelopment journey, the conversation around FSI must evolve from one centred solely on development potential to one focused on responsible urban planning. The objective should not simply be to accommodate more residents within the city but to ensure that redevelopment enhances liveability, preserves open spaces and delivers long-term value for homeowners.
Mulund demonstrates that when FSI is applied strategically and supported by robust planning, redevelopment can address the city's growing housing requirements while maintaining the quality of life that residents increasingly expect. As Mumbai continues to densify, this balanced approach offers an important blueprint for the city's next phase of urban growth.
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