Delhi Plans Redevelopment of Three JJ Clusters in 2026

The Delhi Urban Shelter Improvement Board (DUSIB) has started the process to redevelop jhuggi-jhopri (JJ) clusters in Seelampur, Sultanpuri and Lajpat Nagar.

The initiative aims to improve housing conditions through in-situ rehabilitation, allowing eligible residents to remain in or near their existing neighbourhoods.

The proposed projects cover 4,870 jhuggis across the three locations. DUSIB is seeking a transaction adviser to assess project feasibility, help secure regulatory approvals and support the selection of private developers.

The projects are at an early planning stage; construction timelines and final development plans have not yet been confirmed.

Three Locations Identified for Rehabilitation

The redevelopment plan covers 1,997 jhuggis in Sultanpuri, 1,630 in Lajpat Nagar and 1,243 in Seelampur. Separate processes are being undertaken for the three locations, with Seelampur scheduled to be considered first in the bidding sequence.

The transaction adviser will examine the feasibility of redevelopment at each site. This assessment is expected to help authorities understand the development potential and determine how the projects can be implemented.

DUSIB Seeks Transaction Adviser

DUSIB has issued requests for proposals to appoint a transaction adviser for the proposed rehabilitation projects. The adviser will support feasibility studies, project structuring, procurement planning and the process of selecting developers.

The consultancy is expected to be completed within 16 weeks. The appointment is an initial step towards assessing the projects' viability and identifying suitable private-sector partners. It does not mean that construction has begun at the three locations.

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Public-Private Partnership Model Proposed

The proposed redevelopment is part of Delhi's wider approach to JJ cluster rehabilitation through public-private partnerships (PPPs).

Under this model, developers may build rehabilitation housing for eligible residents and receive development rights over commercially usable portions of the land.

The feasibility exercise will help determine whether the projects can support this model. The assessment is expected to consider development potential, regulatory requirements and the financial structure needed to implement the projects.

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Focus on In-Situ Housing Rehabilitation

In-situ rehabilitation aims to provide improved housing while maintaining residents' links to their existing communities, workplaces and local services.

The approach can reduce the disruption associated with relocating families to distant areas.

The proposed projects form part of Delhi's broader housing and urban renewal efforts. However, eligibility criteria, final layouts, developer appointments and construction schedules for these three sites remain subject to further planning and approvals.

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