Maharashtra Chief Minister Devendra Fadnavis will relocate his office to the former Air India (AI) headquarters at Nariman Point, Mumbai, after the Maharashtra government acquired the landmark property to ease the shortage of office space near Mantralaya. [ Note that Maharashtra is the state where the India’s 90 million passenger capacity, first-offshore airport is planned].
The state government also plans to shift several departments currently operating from rented premises into the former Air India tower. The move is expected to create a centralized government complex while reducing annual rental costs by nearly $23 million (Rs 200 crore), Free press Journal reported.
Maharashtra Acquires Former Air India Headquarters
The Maharashtra government has formally acquired the iconic Air India Building at Nariman Point for $184 million (Rs 1,601 crore) and has begun planning its conversion into a key administrative hub. The 23-storey sea-facing tower, built in 1974 on reclaimed land owned by the Maharashtra government, served as Air India’s corporate headquarters for decades before the airline’s privatization.
After the Tata Group acquired Air India, the Nariman Point property, along with other non-core assets, was transferred to Air India Assets Holding Limited (AIAHL), making it available for purchase by the state government.
The acquisition is intended to address the long-standing shortage of office space around Mantralaya, the Maharashtra state secretariat, which has been operating beyond its designed capacity for several years.
Chief Minister’s Office to Move to the Top Floor
As part of the proposed plan, Chief Minister Devendra Fadnavis will establish his office on the building’s top floor. The government also intends to construct a new cabinet hall on the 22nd floor, covering around 13,363 square feet. A meeting chaired by the state’s Chief Secretary is expected to finalize the implementation strategy.
In addition to the Chief Minister’s Office, several government departments currently functioning from leased commercial buildings across South Mumbai will gradually relocate to the former Air India headquarters. Bringing multiple departments under one roof is expected to improve administrative coordination while reducing the government’s dependence on rented office space.
Government Targets $23 Million in Annual Savings
Originally constructed in 1955, Mantralaya has experienced growing space constraints as government operations expanded over the years. To accommodate additional departments, the Maharashtra government currently leases nearly nine lakh square feet of office space in nearby commercial buildings.
By relocating these offices to the former Air India headquarters, the state expects to save approximately Rs 200 crore every year in rental expenses while consolidating several departments into a single government-owned facility.
The move also allows the government to upgrade its administrative infrastructure without building a new office complex in South Mumbai.
Structural Audit and Renovation Planned
Before government offices begin operating from the building, authorities will conduct a comprehensive structural audit to assess its long-term safety and suitability. Maharashtra Public Works Department Minister Shivendrasinh Bhosale described the acquisition as a significant step toward strengthening the state’s administrative infrastructure.
According to the minister, the redevelopment will focus on construction quality, sustainability, operational efficiency, and citizen convenience. Officials have been directed to complete all required repair and refurbishment work, including upgrades to electrical systems, fittings, and technical infrastructure, while maintaining high engineering standards.
Entrance to Showcase Maharashtra’s Heritage
The government also plans to redesign the building’s entrance to give it a distinct government identity. Minister Shivendrasinh Bhosale has instructed officials to develop an entrance that reflects Maharashtra’s cultural heritage. Leading architects and specialized agencies may be engaged to create a design that combines modern functionality with the state’s architectural traditions.
The renovation aims to preserve one of Mumbai’s best-known commercial landmarks while adapting it into a modern government complex capable of supporting the state’s administrative requirements. With the acquisition completed and planning underway, the former Air India headquarters is set to enter a new phase as the future administrative center of the Maharashtra government.