BMC resubmits proposal to lease Marol SevenHills Hospital land to Capri Global

The Brihanmumbai Municipal Corporation administration has resubmitted a proposal to the BMC Improvement Committee to execute a fresh lease deed for the 66,688-square-metre SevenHills Hospital campus at Marol in Andheri (East). The move comes nearly two months after the committee sent back the original proposal seeking to hand over the campus to Capri Global Ventures Pvt Ltd following opposition from the Shiv Sena (UBT) and Congress over timing, transparency, and contractual terms.
Under the resubmitted proposal, the civic body plans to execute a 30-year lease, extendable by another 30 years, with SevenHills Healthcare Pvt Ltd, which is now owned by Capri Global. Capri Global emerged as the successful resolution applicant for the company under the insolvency process, with its resolution plan approved by the National Company Law Tribunal. Capri Global will also receive equity-based support from the Reliance Foundation, which manages the H N Reliance Hospital in Girgaum.
The proposal allows the hospital to continue operating under its original public-private partnership model. Under the approved resolution plan, the site will be redeveloped as a 1,500-bed not-for-profit tertiary care hospital. The new promoter has agreed to abide by the conditions of the original 2005 contract and a 2013 memorandum of understanding. This includes reserving 20 per cent of operational beds, amounting to 300 beds, and 20 per cent of outpatient department services for BMC-referred patients, who will receive treatment, medicines, and diagnostic tests at civic rates.
The SevenHills Hospital project was originally awarded in 2004 under a public-private partnership framework to construct and operate a 1,300-bed hospital. However, only 306 beds eventually became operational. In 2018, the civic body issued a show-cause notice to terminate the agreement, alleging that the concessionaire had defaulted on ₹140.88 crore in lease rent and property tax, while failing to provide agreed services to civic patients.
The legal dispute subsequently moved through the National Company Law Tribunal, the National Company Law Appellate Tribunal, and the Supreme Court before Capri Global's resolution plan was approved. According to the current proposal, the original public-private partnership agreement and memorandum of understanding were never formally terminated, allowing the civic body to execute a fresh lease deed reflecting the updated ownership structure. Civic officials stated that the revival of the Marol facility will bring the long-defunct hospital back into operation and strengthen public healthcare infrastructure in the city.
