MUMBAI: The Maharashtra government’s new housing policy, “My House, My Right,” aims to provide affordable housing for all, redevelop older buildings, and transform slums through public-private partnerships.
A Government Resolution for this policy was approved by the state cabinet in May and was released by the Housing Department on Wednesday.
The government anticipates an investment of Rs 70,000 crore during the policy’s implementation.
With a focus on “Housing for All,” the policy aims for a slum-free state, prioritizing economically weaker, lower-income, and middle-income groups. The government plans to construct 3.5 million houses over five years, targeting 5 million over the next decade.
The policy includes a comprehensive survey to assess current and future housing needs, expected to be completed by 2026, which will be a key component of the policy framework.
It also features an extensive slum rehabilitation program to enhance living conditions, optimize land use, and encourage public-private partnerships in slum transformation.
The policy promotes inclusive housing by utilizing resources from the private sector, advancing integrated townships that offer affordable housing with necessary services, and providing housing for industrial workers to be closer to their workplaces. Low-income groups, senior citizens, women, industrial workers, and students will receive priority, according to the GR.
Furthermore, the government intends to increase the MahaAwas Fund to Rs 20,000 crore. The ultimate goal is to build 5 million homes in ten years, with adjustments to existing regulations as necessary.
The State Housing Information Portal (SHIP) will soon be developed to share information on housing developments through collaborations between the government and private sector, as well as state-run enterprises.
Affordable housing has received infrastructure status, allowing developers to access external commercial borrowing (ECB) and foreign direct investment (FDI) for projects, as well as eligibility for Priority Sector Lending (PSL) from banks and housing finance companies (HFCs).
In line with the “Walk to Work” concept, 10 to 30 percent of land in Maharashtra Industrial Development Corporation (MIDC) areas should be allocated for housing. This land will be provided at acquisition price to enable adequate housing stock creation and partnerships with private industries for industrial worker housing.
The policy also suggests reserving 10 to 15 percent of land for housing projects near major infrastructure initiatives, like the Samruddhi Expressway and the Delhi-Mumbai Industrial Corridor.
Green building initiatives will promote sustainable development through eco-friendly practices and certifications.
Moreover, the strategy will address affordable housing for other vulnerable groups including senior citizens, working women, students, Project Affected Persons (PAPs), and migrant workers.
In light of climate change challenges, the policy emphasizes the construction of resilient and adaptable homes.
Incentives offered include single-window clearance, one percent GST, floor space index (FSI) up to 2.5 percent, a 10 percent commercial use allowance of utilized FSI, concessions on development changes, waivers on registration and stamp duty for operators, reduced property tax for the first ten years, and 100 percent profit deduction on student housing operations.
Slum rehabilitation initiatives on public land can be executed through joint ventures by forming a Special Purpose Vehicle (SPV) following the Dharavi model of 20:80 redevelopment.
The GR indicated that the planned survey to evaluate housing needs will guide future policy-making, facilitating data-driven approaches to housing development and resource allocation.
This survey will analyze the existing housing stock, the socio-economic profiles of households, and the availability of basic infrastructure and civic amenities, focusing on housing demand across various income groups and regions.
The policy will work towards establishing a comprehensive land bank database to identify government-owned land available for residential use.
Additionally, a survey will identify and validate government and semi-government land for construction, consolidating this information into a district-wise digital land bank.
The SHIP portal will facilitate coordination among various state and Central departments, including the PM Gati Shakti initiative, urban local bodies, and infrastructure agencies.
