Not-so-affordable: Maharashtra housing authority faces flak for selling 204 flats for over 1crore in Mumbai
Activists have slammed the MHADA, saying that the price of its apartments in both Lower Parel and Powai were according to the prevailing market rates, and hardly provided any relief to the homebuyers.mumbai Updated: Sep 15, 2017 16:35 IST
The Maharashtra Housing and Area Development Authority (MHADA), which was formed to provide mass housing, is facing flak for coming out with 204 apartments costing over Rs1 crore, for the first time.
Activists have slammed the MHADA, saying that the price of its apartments in both Lower Parel and Powai were according to the prevailing market rates, and hardly provided any relief to the homebuyers.
These houses are meant for homebuyers classified under the Higher Income Group (HIG), whose monthly family income is more than Rs75,001.
Take the cost of the 364 square feet (carpet) houses at Lower Parel priced at Rs1.42 crore. This works out to be Rs39,010 per square feet, on the basis of carpet area and approximately Rs23,500 per square feet on basis of super built up.
Similarly, 476 square feet houses at Lower Parel are priced at Rs1.95 crore, which works out to be Rs40, 966 per square feet carpet and Rs24,800 by super built up.
Here, the market rate is in the range of Rs38,000 to Rs45,000 per square feet on carpet.
The Powai project in Tunga area also seems costly, as a 730-square feet house is priced at Rs1.39 crore comes at the rate of Rs18,800 per square feet on carpet, and Rs11,400 per square feet on super built up. Here, the rate is Rs 20,000 per square feet carpet.
Commenting on this pricing, Liases Foras, a real estate research firm, said, “The prices quoted are as per market rates, and some builders are even selling at less than these,” said Pankaj Kapoor, CEO, Liases Foras. “If MHADA starts charging exorbitantly, where will the buyers go?,” questioned Kapoor.
MHADA is coming with 819 houses in Mumbai located in places like Pratiksha Nagar-Sion, Chandivali, Mankhurd, Siddhartha Nagar- Goregaon, Magathane, Charkop and Malvani-Malad apart from Lower Parel and Powai. The lottery will be held on November 10.
MHADA, however, has defended the prices. “These houses in Lower Parel are in central Mumbai, and the rates are reasonable. We will definitely get a good response,” said Vaishali Wagh, public relations officer, MHADA.
For years, MHADA houses were in great demand as they were below the market rates. This can be gauged from the fact that in the last nine draws, there were more than 13.58 lakh applicants who tried their luck for the 22,923 houses put on the block. However, in the last few years, pricing continued to be an issue, as MHADA hiked the prices.