Trust officials too have stepped up their outreach to families. Since the collapse, more than 200 families which had been holding out for better terms, have agreed to move and signed agreements with SBUT, a spokesman said. But 10 per cent of the owners are still holding out.
Still, government officials said they were surprised the project has come so far in a country where consensus for redevelopment projects from residents, wary of being relocated for years, is hard to achieve.
Mr Kaustubh Dhavse of the Maharashtra chief minister's office who oversees urban renewal projects noted that a project like Bhendi Bazaar "has multiple challenges".
"Various authorities and utilities are involved. Everything has to be revamped from water to electricity to transportation," he said.
"I could not fathom how so many variables come together," he said, calling it "magical" and "a fantastic example".
Can the case of Bhendi Bazaar be replicated elsewhere?
Urban expert and former urban development secretary M. Ramachandran said: "Bhendi Bazaar is one of its kind, (and) cannot be easily replicated.
"Residents need a commitment from developers that once their place is taken away, they get something back and are not stuck in resettlement homes for years."
He added: "Urban infrastructure constantly needs improvement in our country. But states don't have urban improvement as a priority. A key reason is because the votebank is in the rural areas."
This despite Prime Minister Modi making urban renewal a priority in a country where urban infrastructure is under extreme stress. With little or no planning, many cities have struggled with water and electricity shortages and poor sanitation as their populations grow.
But the trust's officials, who have hired architects and property consultants, believe their challenges could be a lesson for others.
Already, the project is attracting national and foreign attention. Officials from other city municipalities, diplomats and even foreign university teams have visited the area to see the project.
Mr Master said the trust is confident it will successfully redevelop Bhendi Bazaar. "Bhendi Bazaar will be not just a highlight of the city of Mumbai, but for India and the rest of the world on how these kind of things can be done in a democratic society," he said.