A Special Fund set up by the MHADA for all flats which are low in income
Since the lost cost houses are getting lesser and lesser cheap with time, the state housing authority has come to a conclusion that it will establish special funds to cross subsidise all the flats simply by tapping all the profits it makes. This comes from the houses it constructs for all the middle income groups.
From this year, the Maharashtra Housing and Area Development Authority has decided to deposit all those profits that it will make from selling houses for the middle income and higher income groups in this fund.
Before, the housing authorities had decided to reduce the tenement area for all the sections which are economically weaker. It started from 269 sq feet currently to 180 sq feet. This will be done in order to make all houses cheaper at the current rates.
Niranjankumar Sudhanshu, who happens to be the vice chairman and chief officer of MHADA’s Mumbai board, has mentioned that previously, the profits that MHADA had made for the groups that are middle income and high income would go back to the operations of the authority. Now the profit money will be kept aside to cross subsidise houses for those sections of the society that are economically weaker.
Source – Manasi Phadke
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