Costliest MHADA flat for MLA-MPs has no takers

A plush flat in Mumbai's expensive housing market, worth ₹7.57 crore, is struggling to find a buyer despite being subsidised for MPs and MLAs. BJP MLA Narayan Kuche, who won the flat in a lottery, surrendered it due to a financial crunch. MP Dr Bhagwat Karad, next on the waiting list, has also not come forward to purchase the flat. If no one claims the flat, it will be transferred to a person on the general waiting list. The Maharashtra Housing and Area Development Authority (MHADA) flats in Tardeo are priced 25% to 30% lower than the market rate.

Mumbai: While many are willing to spend crores to secure their dream homes in the city, one of the most expensive housing markets in the world, imagine finding no takers for a plush south Mumbai flat available at a subsidised price.

Mumbai, India - May 23, 2023: A general view of new and vacant MHADA flat in Crescent Tower, at Tardeo, in Mumbai, India, on Tuesday, May 23, 2023. (Photo by Bhushan Koyande/HT Photo) (HT PHOTO)

The Maharashtra Housing and Area Development Authority (MHADA)’s costliest flat worth ₹7.57 crore in Tardeo with an area of 1,531 square feet, reserved for MPs and MLAs is struggling to find an owner as BJP MLA Narayan Kuche, who won the flat in the lottery on August 14 and MP Dr Bhagwat Karad who was on the waiting list did not come forward to purchase the flat.

Kuche, an MLA from BJP’s Badnapur constituency in Jalna district had won the MHADA’s most expensive flat in its lottery. Out of seven flats in the lottery, one was reserved for legislators, including MLAs, MPs and former MLAs and former MPs. Within a few weeks of winning, Kuche surrendered the flat to MHADA stating a financial crunch. As per the rules, union minister of state for finance Dr Bhagwat Karad then became the claimant of the flat as he had applied to buy the property.

“As per the procedure, after the winner surrenders the flat or fails to fulfil the formalities related to documents or money, the person on the waiting list becomes eligible to claim the flat. But Dr Karad who was on the waiting list for this particular flat has not submitted the documents to finalise the property.” said an official from MHADA.

“In such cases, the flat will be transferred to a person on the general waiting list,” added the official.

In a similar case, former MLA Hiraman Varkhede who won a ₹2.5 crore flat in Juhu along with a ₹46 lakh flat in Goregaon, surrendered the Juhu property and selected the Goregaon flat. Shiv Sena (UBT) MLC Amshya Padvi, who represents the tribal-dominated Nandurbar district, won the ₹46 lakh flat in Goregaon in LIG and has submitted the documents for the same flat.

Of the 4,082 houses in various parts of Mumbai, 2,790 houses were meant for the economically weaker section (EWS), which included 1,947 flats under the Pradhan Mantri Gramin Awas Yojana. While the number of flats for the lower-income group (LIG) stood at 1,034, as many as 139 houses were reserved for the middle-income group (MIG) and 120 were in the HIG category.

MHADA has seven flats in Crescent Tower, Tardeo as per the old scheme of housing stock against extra FSI to the builder. According to real estate experts, the price of the MHADA flats at Tardeo is 25% to 30% lower than the market price.