Godrej Properties Limited has filed an appeal with the National Green Tribunal (NGT) challenging the Ministry of Environment, Forest and Climate Change’s (MoEFCC) decision to revoke the Environmental Clearance (EC) for its commercial building project, Godrej Eternia, in Chandigarh.

The company received the revocation letter dated September 30, 2026, and contends that the action proceeds on an erroneous premise. Godrej Properties asserts that it acted in strict accordance with approvals granted by competent authorities and remains confident in its legal position regarding the matter.

Basis for Revocation and Company Defense

The MoEFCC revoked the clearance alleging that the project falls within 10 km of the Sukhna Wildlife Sanctuary, thereby requiring clearance from the Standing Committee of the National Board for Wildlife (NBWL), which was not obtained. The company denies this allegation, stating that the original EC never mandated NBWL clearance for this specific project.

Godrej Properties highlighted a Gazette Notification by the Union Territory of Chandigarh dated January 18, 2017, which conclusively notified the final limits of the Environmentally Sensitive Zone (ESZ) as extending up to a maximum of 2.75 km from the boundary of the Sukhna Wildlife Sanctuary. The company noted that Godrej Eternia is located 6.6 km from that boundary, placing it more than twice the notified limit and clearly outside the ESZ. Consequently, the company argues that the question of NBWL clearance does not arise.

Project Compliance and Legal Status

The revocation comes ten years after the project was completed with all requisite approvals. The company emphasized its full compliance with the conditions of the EC at all times and stated that it has acted in good faith. The matter is currently sub judice before the NGT.

What the Numbers Show

The core divergence lies in the distance metrics cited in the regulatory dispute. The MoEFCC’s action relies on a general 10 km proximity rule to the wildlife sanctuary, while the company’s defense hinges on the specific statutory definition of the Environmentally Sensitive Zone (ESZ) notified by the local administration. With the ESZ limit fixed at 2.75 km and the project situated at 6.6 km, the company maintains a buffer of nearly 4 km beyond the legally defined sensitive zone, arguing this renders the NBWL clearance requirement moot.

Godrej Properties has entered into a development agreement for a prime land parcel of approximately 2.5 acres in Marine Lines, South Mumbai. The proposed luxury housing development carries an estimated overall revenue potential of ₹6,000 crore.

The project is situated in one of Mumbai's most sought-after residential micro-markets, characterized by limited land availability and a rich heritage. Marine Lines offers strategic connectivity to the city's premier business, cultural, and lifestyle hubs, particularly through the Coastal Road. This location continues to attract strong demand from end-users and affluent buyers.

Collaboration with Man Infraconstruction

Man Infraconstruction Limited (MICL), which was earlier the Development Manager for the project, has partnered with Godrej Properties for its development. The development rights jointly held by MICL and Shreepati Group have been transferred to Godrej. This collaboration marks a defining milestone for MICL Group, allowing it to recoup its existing investment in the project to the tune of ₹300+ crore through a revenue-sharing arrangement with Godrej. The project will be jointly branded as part of this landmark collaboration.

Strategic market positioning

The development aligns with Godrej Properties' focus on premium and luxury segments in key urban markets. The company cited the encouraging response to its existing developments, such as Godrej Trilogy in Worli and Godrej Avenue Eleven in Mahalaxmi, as evidence of sustained interest in high-quality residences across South and Central Mumbai.

Gaurav Pandey, MD & CEO of Godrej Properties, stated that Mumbai remains a key market for the company. He noted that tailor-made developments for South Mumbai have been particularly well received, reinforcing confidence in the long-term attractiveness of well-located homes in this segment.

Project details

Note: Revenue potential is based on current business assumptions.

What the numbers show

The addition of this project underscores Godrej Properties' strategy to consolidate its presence in high-value micro-markets where supply constraints support pricing power. With over 100,000 families housed and a ranking as India's largest residential developer by both value and volume of sales, the company is leveraging its scale to secure scarce land parcels in established neighborhoods like Marine Lines. For MICL, the transaction provides immediate financial flexibility by unlocking cash flows from a prestigious asset while retaining upside through revenue sharing.