No the development is yet to take place, Delhi's revenue minister Arvinder Singh Lovely has also commented that all the hurdles have been removed to initiate infrastructure development in the colonies. Hence the infrastructural development will slowly take place.
See, according to news, the government has announced that they will clear 895 colonies in September last year out of which 312 settlements were on private land, while 583 colonies came up on government land. Rest we have to wait, that when the next news come up for the illegal colonies.