Fadnavis told reporters the government had received a new proposal from the Mumbai Metro Rail Corporation (MMRC), the executing agency, that the depot be constructed at Aarey.
Environmental organisations are opposed to it, as Aarey Colony in northern Mumbai has a considerable tree-cover.
"We have received a fresh proposal whereby 300-350 trees need to be cut. These trees are not of rare species," Fadnavis said.
The government was examining the report and final decision was yet to be taken, the Chief Minister said.
"MMRC has said it favours Aarey because the alternative site at Kanjurmarg is stuck in litigation. Besides, that site is on a marshy land. Strengthening the land itself will take 18 months," he said.
