Shiv Sena had opposed the reported plan to shift it.
In another announcement, Chavan said that Annabhau Sathe Open Theatre will be converted into a closed theatre, and Municipal Corporation of Greater Mumbai had already sanctioned money for the project.
On the issue of creation of a separate police force for the MCGM, he admitted that there was not much progress.
The issue of who will foot the salary bill was not yet resolved despite the necessary amendment to Maharashtra Regional Town Planning Act.
"Various infrastructure projects involving investment of Rs 5,000 crore will be operational by the year-end in Mumbai and metropolitan region," he said.