No takers of Mhada flats and plots worth Rs 869 crore

Maharashtra Housing and Area Development Authority (Mhada) set up to provide affordable houses is facing a difficult situation. Some plots and tenements worth Rs 869 crore are lying unsold for a long period as there are no takers due to its high cost compared to market prices. A week ago, when additional chief secretary (housing) Sanjay Kumar and Mhada managing director Milind Mhaiskar reviewed housing projects across the state, they found that there was no demand for tenements and plots worth Rs 869 crore. These plots and flats were constructed for economically weaker sections, low, middle and higher income group categories. “Our funds are blocked for a long period, since there is no demand due to massive price difference of Mhada tenements and flats on the open market in the same area. We will have to work out a new policy to ensure that Mhada tenements and plots are sold on no-profit no-loss basis,” a senior bureaucrat told TOI. “We are considering if the unsold tenements can be utilised for rental housing, so that the rent can be considered as an EMI and after a certain period, the tenant can become owner,” said a bureaucrat.