This will be applicable in all the Municipal Corporations of the state, which has a population of more than 1 million, except for Mumbai.
Buildings constructed on a private land above 4,000 sq.m., will now have to reserve 20% of the total flats for Economically Weaker Section (EWS) and Lower Income Group (LIG). These flats will be sold by MHADA via lottery and the builder will get the construction cost fixed by the housing authority with an additional 20%. This will be applicable in all the Municipal Corporations of the state, which has a population of more than 1 million, except for Mumbai.
The notification was issued by state's Urban Development Department on February 27. The notification read, 'in furtherance of the housing policy of the state which provides for inclusive housing for the LIG in private layouts, the government has sanctioned and incorporated a regulation regarding inclusive housing the development control regulations of the Municipal Corporations having population of a million or above (excluding the Municipal Corporation of Greater Mumbai)." The notice was first put up for suggestions objections in February 2016 post which the government has sanctioned the modifications.
The modification read, "Affordable housing tenements to be constructed to the extent of 20%. The project after getting the commencement certificate for the scheme shall immediately intimate to MHADA regarding the numbers of affordable housing tenements to be disposed by them to the allottee. Upon such intimation, MHADA within a period of six months shall after lottery system prepare the list of the allottee and forward it to the developer. The developer shall dispose of such EWS homes to the allottees at the construction cost plus 20% additional cost. Of this 10% shall be paid to MHADA towards their administration charges."
The developer also has the option to construct EWS/LIG homes on the said 20% plot area as per specifications of MHADA at the rates as specified by MHADA. Haresh Chedda, President CREDAI Builder Association of Navi Mumbai (BANM), said, "This is a good move, it's like a developer fulfilling his social responsibility, but doesn't benefit developers. Instead we should focus more on Affordable housing scheme under PMAY, where a developer has to construct homes of 30 and 50 sq. m., and will also get higher FSI. EWS homes in a huge building will be out of place so PMAY is better."
A senior MHADA official said, "This will help them deliver more homes via lottery and also at cheaper cost."
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