Chandni Chowk Phase 2: Revitalizing Old Delhi

Chandni Chowk Redevelopment Phase 2 Begins: What’s Changing in Old Delhi?

The historic heart of Delhi, Chandni Chowk, is set for a major transformation once again as Phase 2 of the redevelopment project receives a fresh push. This time, the focus is on the vertical expansion of buildings, upgrading infrastructure, and enhancing connectivity—all while trying to preserve the spirit of Old Delhi’s bustling wholesale markets.

What’s New in Phase 2?

The Delhi government, under the BJP-led leadership, has restarted discussions for the second phase of the Chandni Chowk revamp, which had been in limbo since Phase 1 was completed in 2021. This new phase will not only cover Chandni Chowk’s 1.5 km-long main market stretch but also improve six surrounding roads.

Moreover, the redevelopment will spread across other key markets of the Walled City—including Khari Baoli, Naya Bazar, Jama Masjid, Sadar Bazar, Kashmere Gate, Chawri Bazar, and Daryaganj.

What Does Redevelopment Include?

According to BJP MP Praveen Khandelwal, this phase will involve:

Facelift of old buildings
Underground wiring to replace overhead electric cables
Upgraded drainage and sanitation systems
Encroachment removal
A major shift towards “vertical growth”—turning existing markets into four-storey commercial buildings for better space usage

The plan also ensures that there will be no disruption to daily trade. Temporary relocation spaces will be provided to traders, who will move back once redevelopment is complete.

Political Heat and Pushback

BJP leaders have described this as a “triple engine government” effort—with the party in control at the Centre, in Delhi, and in the Municipal Corporation. The redevelopment drive received further momentum after Union Housing and Urban Affairs Minister Manohar Lal visited Chandni Chowk last month.

However, the project has stirred political tensions.

AAP leader Saurabh Bharadwaj accused the BJP of planning a “conspiracy against Delhi’s business community.” He strongly opposed market relocations and urged Chief Minister Rekha Gupta to withdraw her remarks on temporary trade shifts.

More Than Just Facelifts

Interestingly, there’s also talk of renaming Shahjahanabad to Indraprastha, with trade bodies pushing for the change. Khandelwal also requested Railway Minister Ashwini Vaishnaw to fast-track the redevelopment of nearby railway stations to better serve the area.

Additionally, a new warehousing and industrial policy is in the pipeline, expected to boost business and create jobs for residents in and around the Walled City.

As planning meetings continue and trade associations join discussions, the focus remains on modern infrastructure with minimal disruption to business. Whether the project delivers on its promises or repeats past mistakes remains to be seen.