MaraimalaiNagar New Town was conceived by CMDA as part of its 1st Master Planfor Chennai Metropolitan Area. This new town is located 45 Km. from the cityand was envisaged as a full fledged Satellite Town and also as a countervailing force to control future emigration into the City. About3,000 Ac. of lands including Patta lands, Government Poramboke lands werenotified for development. About 1150Ac. of Patta lands have been acquiredand 693 Ac.Reserved forest lands have been taken up for development.
The New TownDevelopment Plan initially envisaged for the development of 10 residential neighborhoodswith varying density for different income groups with an industrial areas. Subsequently the development plan wasmodified to provide for more industrial Area to attract industries and toprovide economic base. The Governmentof Tamil Nadu signed a Memorandum of Understanding (MOU) in 1996 with MahindraFord India Ltd (MFIL) to provide lands for establishing an AutomobileIndustry. A total extent of about 270acres of land (both Patta and Government Poramboke lands) was handed over toMFIL. The location of this industry hasbeen the most important catalist in attracting the population to settle in MMNagar.
CMDA hasdeveloped both residential and industrial layouts inabout1200 acres. At present there are about3500 Housing units, 80 industries, 100 Commercial Establishments includingconvenient shops, Restaurants etc., 4 Hospitals, 4 Temples, 6 Churches, 1Mosque, 1 Library, 8 Schools and 4 Banks in MM Nagar New Town.