NEW DELHI: Real estate developers expects a surge in demand for affordable housing in Haryana after state government approved the amendment in Affordable Housing Policy-2013 to change in minimum area limit, project area limit and increase in commercial component in a project and inclusion of parking space.
Developers feel that the decision to increase the area and include car parking space in the project will make the project more lucrative.
“The decision to minimise area limit for affordable group housing colony from 5 acres to 4 acres will be benefiting for many developers and will give a boost to affordable housing,” said Pradeep Aggarwal, Founder & Chairman, Signature Global Group and Chairman, Assocham, National Council on Real Estate, Housing and Urban Development.
“Also, increasing commercial area from 4 to 8 percent of net planned area, in case of the population exceeding 10,000 in a colony is going to give more options to the residents for shopping,” Aggarwal said.
Developers said that during pandemic, such commercial shops have proved to be the only support to cater to the needs of the people, thus this decision add more convenience and options for those who are looking business opportunities.
“The biggest take away from the latest decision is the increase in the size of the project, which will mean more number of units to hit the market. Though affordable housing has the maximum demand, many buyers were not going for the units due to the lack of car parking space; now, with one car parking space to be given in the projects, the demand will get a further boost,” said Rajat Goel, Joint Managing Director, MRG World.
The decision will further boost the affordable segment as it was the only segment that saw maximum sales and maximum number of new launches in 2020 as 70% of the all the launches this year happened in this segment.
“Parking is an essential requirement. The existing affordable projects in Haryana would have faced parking shortage just like DDA developments of in Delhi of ‘70s and ‘80s vintage. It was thought that middle class uses only 2 wheelers or public transport. This is not really true, especially in post covid times. The amendment will help create more parking in such projects,” said Pankaj Bajaj, President, CREDAI NCR.
Nagaraju Routhu, CEO, Hero Realty said that till one the affordable hosuing segment was seen as the minimal facility accommodation, and it was all about four walls.
“The project’s permitted size hindered many reputed developers as the margins were not good enough for them to work towards the affordable housing policy. In the Haryana cabinet’s latest decision, project’s size can now be up to 30 acres from 10 acres earlier; it is now a big enough size to come up with large number of units and work speedily towards achieving the target of housing for all,” said Routhu.