Maharashtra govt. has issued directions to all the House developers to sell at-least 50% of the Low Cost Houses under Pradhan Mantri Awas Yojana at Reckoner Rates (RR). This will promote the PMAY – Housing For All Scheme in the state. Now people can get houses at a much lower cost than rates under Maharashtra Housing Area Development Authority (MHADA) policy.
MHADA Policy is a complicated one and this new policy will provide affordable houses to poor people under PMAY Housing Scheme. Housing department’s new policy will assure that around 15 lakh affordable homes can be built in the state. Govt. will start construction work of these 15 lakh houses in joint venture with private landowners under PMAY.
Moreover, the state govt. will also provide an additional 2.5 Floor Space Index (FSI) for houses build under PMAY.
PMAY Maharashtra 2018 – 50% Affordable Houses at Reckoner Rates (RR)
MHADA Policy to sell the houses is harsh on the pretext of developers and thus on consumers. Now the state govt. has issued new directions to sell 50% of houses developed under PMAY at RR rates. Till date, developers sell the flats at 20% to 25% more cost than RR rates. Developers building houses under PMAY Maharashta 2018 Scheme were also offered an additional 2.5 FSI incentive. So, all the developers needs to hand over 50% of total PMAY houses constructed to Maharashtra government. Rest of the houses can be sold at the market rates.
30 Developers in the state have agreed to enter into Public Private Partnership (PPP) model to construct low-cost houses. Housing dept. has issued a new notification for this purpose. Private landowners having more than 10 acres of land are eligible to participate in the scheme. PPP model is benefiting industry to a great extent. Most of the people owned large parcels of land but did not have the finance to develop real estate projects. Now with this 2.5 FSI, all the developers can construct new houses and ensure sale of housing projects.
Previously, Rates of Houses were fixed in accordance with MHADA policy. Now the rates of new PMAY Houses will be fixed either on RR or proposed project cost rates (whichever is lower). The new policy will increase the housing stock in the entire state. Of the total housing units, 35 per cent will be given to landowners and 65 per cent to Mhada. The decision to offer 2.5 FSI to developer is a good move and will benefit poor people.