Furthermore, the inherent value of the land was very low because of its physical condition quality and a total lack of infrastructure in the area. The project area was inhabited by 95,000 people living in over 95 villages, with a low level of literacy or skills in the urban activities. The site of New Bombay is planned for a population of two million at the ultimate stage. The employment centers are sought to be dispersed to avoid unidirectional traffic flows during peak hours that lead to traffic congestion. The city structure was planned with the Central Business District at the center encircled by inner and outer ring roads and a circular rail corridor.
Rail transport is planned as the main mode of mass transit, supplemented by road transport.
For greater efficiency in transport, there are separate rail corridors and reserved tracks are planned on major roads for public transport by bus. To minimize environmental degradation that is likely to occur due to the low lying character of the site, large areas of hills and forests are reserved as regional parks. The land development strategy in New Bombay started with land-banking. Land banking helped to reserve land for environmental purposes. The end result of this approach is that adequate amount of lands are designated for various users.