October 31, 2017

 

The government is yet take a decision on the percentage of affordable homes the developer has built

The state government is planning to eliminate developers who aren't competent enough to complete projects under the Slum Redevelopment Authority (SRA) scheme. Earlier this month, the government had decided to give loans to developers involved in SRA projects that are stuck.

In addition, the government is also considering another proposal whereby it will remove such developers whom they consider unable to finish the projects. In such projects, the developer will be paid all his dues and the whole project will be constructed for affordable housing after the government takes it over. This will help the government to have a bank of affordable homes in Mumbai.

The government had announced that it will be giving loans to developers who have not been able to complete their rehab as well as sale component under slum redevelopment. The condition from the government was that the developer has to construct houses under the Pradhan Mantri Awas Yojna (PMAY) scheme in the sale component. Under the new proposal, the government believes that the developer won't be able to complete the project from such developers the government shall take over the project completely. After constructing the rehab building for slum dwellers, the sale component comprising affordable schemes shall be constructed.

Speaking to DNA, additional chief secretary, Housing Department, Sanjay Kumar, said, "In cases, where we will feel that the developer cannot complete the project on his own. We will take over the project from them and clear their dues > Later, we shall hand over the projects to agencies such as MHADA. In such cases, the whole of sale component will be under the PMAY scheme, and will create affordable housing inside Mumbai city."

For the loan scheme, the government is yet to decide the percentage of affordable homes the developer has to construct in the sale component. However, in the complete take over the scheme, the government will see to it that all the homes in the sale component are constructed are only affordable housing under PMAY.

A senior official from the government says that this will help getting rid of stuck projects in the city. "With the loan, genuine developers will be able to complete the project and even the government will be able to get the affordable housing. With the new proposal of taking over projects, the number of affordable homes will go up and stuck projects will see some movement. This will benefit Mumbai and homebuyers both," he said.

The government has an ambitious plan of constructing 19 lakh affordable homes under housing for all.

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Source: dnaindia.com