This thesis is our attempt to understand deeply what Dharavi is, how it works and what does it needs? The thesis deals with the history and development of Dharavi since pre-colonial era while trying to understand how Dharavi came into existence. Huge focus has been laid on Koliwada due to it’s connection with Mumbai as well as Dharavi. We have tried to explain how Koliwada correlates with both and why it is an imperial part of Dharavi even today. Dharavi is an informal settlement in Mumbai, India which is under continuous suspicion of the authorities since a long period of time, for redevelopment.