Affordable housing is the biggest challenge being faced by the city of Mumbai, which styles itself as an emerging Global Financial Centre. The city has the image of being home to a stark dualism, with slums abutting modern skyscrapers. Over the years, adequate policy attention has been given to slums and with the implementation of the Slum Rehabilitation Scheme slum dwellers are being provided with housing in multi-storey buildings and are being granted tenancy rights to the dwellings. However, an emerging area of concern is the large housing stock that is non-slum but is old and dilapidated. The collapse of an old and dilapidated building in Dongri in July 2019 that killed twelve people and the one at Bhendi Bazaar in 2017 that killed thirty-three has brought this problem into the mainstream and new policies have been initiated to address the problem. Implementing these policies seems to be a challenge, and this is the result of different factors. This article looks at the housing problem in Mumbai from a policy perspective and analyses the implementation challenges of the new policy aimed at redeveloping the old and dilapidated housing stock.