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HindustanTimes Tue,21 Oct 2014

Earn more than `40,000? Mhada has no flat for you

Naresh Kamath, Hindustan Times  Mumbai, February 18, 2011
First Published: 02:04 IST(18/2/2011) | Last Updated: 02:07 IST(18/2/2011)

Do you draw a salary of more than Rs. 40,000 per month? Here is some bad new for you.

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The Maharashtra Housing and Area Development Authority (Mhada) will not have any houses for the high-income group (HIG) category (income more than Rs. 40,000 monthly) in the forthcoming lottery scheduled this May.

Talking to Hindustan Times, Amarjit Singh Manhas, chairman, Mhada, Mumbai board, said: “Mhada is primarily created to provide houses to the poor and the middle-class people and we are doing our work.”

“Rich people can afford houses from private builders,” he added. Out of the total 8,182 houses allotted in lotteries in the past three years, 1,756 were given to people in the high-income group, he said.

On May 6, 2010, Mhada had revamped the entire lottery system by hiking both the income category and also the size of the flats. The HIG category was then classified as a person getting a salary of more than Rs40,000 from the earlier Rs20,000. Similarly, he was entitled to get a flat measuring more than 800 sq ft from the previous 500 sq ft. However, in the current draw, the maximum size of the flat is 710 sq ft, which puts it outside the HIG bracket.

Nearly 2,569 houses have been earmarked for the low-income group category (Rs8,000 - Rs20,000) and 1,209 flats have been kept aside for the middle-income group category (Rs20,000 - Rs40,000).

Ever since realty rates have reached exorbitant levels, there has been a great demand for low-cost Mhada houses.

Understandably, the announcement of excluding the HIG has acted as a dampener. “These people would be forced to migrate outside the city as their only hope to afford a house has been shattered,” said Vinod Sampat, a real estate lawyer and a housing activist.

Budget to focus on revamp of colonies

Mumbai: The annual budget of the Maharashtra Housing and Area Development Authority (Mhada) will focus on redevelopment of its colonies.

For the first time, Mhada has made a budgetary provision of Rs100 crore for this purpose.

The housing authority will unveil its Rs4,200-crore budget on Friday.

Talking to Hindustan Times, a senior Mhada official who was instrumental in preparing the budget said circumstances had forced the authority to take the decision.

“We hardly have any land bank left. It is only through redevelopment of our colonies that we can generate a huge stock of low-cost houses,” the official said.

Presently, Mhada has just five acres of land bank left and officials have been hard pressed to find ways to create low-cost houses.

The Mhada has 56 colonies across the city, which has 3,701 buildings housing 1.10 lakh tenants. There are large layouts located in places like Vikhroli, Goregaon, Worli, Chembur and Gorai. There has been a low response to the revamp process and hence Mhada has itself decided to undertake the work.

Another important budgetary provision is of Rs50 crore to redevelop slums located on Mhada land.

Activists have welcomed the authority’s move. “Private builders are only interested in making profits and constructing high-end luxury apartment. Mhada offers affordable houses to the common man,” said Gaurang Vora, a social activist. He said Mhada’s recent constructions had improved considerably.               

About Rs. 10 crore would be kept aside to provide amenities to newly-constructed buildings, beautifying gardens, as well as upkeep of playgrounds.


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