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The research is intended towards studying the formal private rental housing in Thane city, analyze the issues faced by the tenants, the challenges in the existing rental housing market and to provide recommendations to resolve them for the development of a strong rental housing market in the city. It particularly aims to explore the existing market-driven rental housing provided by small scale property owners in Naupada ward located in core city (lowest rental share) and Manpada ward in the peripheral area of the city (highest rental share).