Chennai's new master plan to focus on inclusive urban growth by factoring in economic activity, labour patterns
Rather than relying only on land parcels and population forecasts, the report suggests planning based on economic activity, labour patterns, and real-time shifts in migration, capital flows, and employment. The report titled Spatial Distribution of Employment and Income Categories, maps how residential areas have organically turned into mixed-use economic hubs, with small businesses, IT services, and informal trade operating alongside homes.
'Our planning has always prioritised the elite,' said K.P. Subramanian, former professor of urban engineering at Anna University.
'If we don't centre the needs of the poor, migrants, and informal workers in urban and employment planning, we only deepen inequality. The first and second master plans, with their rigid land-use zoning and regulations, have been poor guides for dynamic urban growth. Designating land as 'industrial' won't create jobs unless it's supported by housing, transit, and utilities,' he added.
To make urban planning more flexible, IIHS recommends the use of Local Area Plans (LAPs) that can respond to local needs — whether in informal settlements, heritage zones, or transport corridors. It also identifies older industrial areas as spaces that can be redeveloped into hubs for MSMEs and service industries.
While areas like Sriperumbudur, Oragadam, Manali, and Ambattur have seen rapid industrial growth, they still lack affordable housing and public transit. The report calls for land to be set aside for worker housing and other amenities, alongside better coordination between the CMDA, SIPCOT, SIDCO, and the Tamil Nadu Urban Housing Board.
Commercial zones are being redefined into IT clusters, business districts, and transition areas — mid-to-high-end residential neighbourhoods like Adyar, Mount Road, and Anna Nagar are evolving into commercial enclaves. In IT corridors such as OMR and Siruseri, the report suggests Transit-Oriented Development (TOD) models and Floor Area Ratio (FAR) incentives to ensure affordable housing and maximise the benefits of metro and bus infrastructure.
Historic trading hubs like Georgetown, Parry's Corner, Koyambedu, and Mylapore are seen as vital economic centres. The report highlights how these areas should be integrated into the master plan as mixed-use wholesale commercial zones, avoiding resettlement that disrupts livelihoods. Connectivity upgrades — including pedestrian-first street design, better vehicular flow, structured parking, and last-mile options like electric shuttles — round out the recommendations.
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