Mumbai: The BEST has cancelled its plan to lease staff quarters at its prime Altamount Road plot, withdrawing a tender expected to fetch around Rs 263 crore. The tender was withdrawn on March 25.The proposal involved leasing 35 flats – 15 in Wing A and 20 in Wing B – on a 2,475 sq m plot at Cumballa Hill by opening it up for third-party residential use. Both wings are five-storey buildings. BEST published a notice on its website about cancellation of this tender. A BEST spokesperson did not respond to calls and messages when attempts were made to seek its version. The plan came under scrutiny earlier after the tender process moved unusually fast within the system, triggering concern among officials and activists. The e-tender was issued in late July, and key approvals across multiple departments were completed within hours on the eve of a top official’s retirement. The speed of clearances raised questions internally.Unions strongly objected, arguing that the plot, reserved for a power substation, could not be handed over to private parties for long-term residential use. Following the backlash, officials explored changing the reservation to enable leasing, sources said. BEST issued a public notice stating it planned to lease the quarters to generate non-fare revenue. However, the move drew criticism from citizen groups, who flagged concerns over the monetisation of public land and sought greater transparency. The plot houses a key receiving substation, which converts high-voltage electricity for local supply. It serves areas such as Malabar Hill, Nepeansea Road, Altamount Road and Cumballa Hill. The land is also designated for emergency utility use, limiting redevelopment. A third wing with eight flats was already leased earlier as part of the same complex.The issue of land monetisation came under the spotlight in Oct 2025, when activists submitted a white paper to the govt raising concerns over disposal of public assets. Around the same time, CM Devendra Fadnavis directed BEST to raise at least 40% of its revenue from non-fare sources. TNN
