Plans To Focus On Building Homes For Low-Income Group

Stuck with rising inventory, the Bangalore Development Authority (BDA) has decided to stop constructing new apartments and is considering renting out empty ones in different parts of the city .“We have decided not to build any new high-end apartments. Our focus will be to clear the inventory and build houses for the economically weaker sections and the lowincome group,” said BDA commissioner Rakesh Singh.

The BDA will continue to develop sites but not under the public-private partnership model.“We’re working on developing sites by tying up with credible developers,“ he added. Singh said all these issues will be discussed at the board meeting this week. The BDA also plans to improve various facilities in existing apartments. “If we still can’t sell them, we’ll look at giving unsold apartments on rent to ensure they don’t turn into white elephants,” he said. BDA officials said the authority is trying to find buyers for 1,065 flats especially those in the suburbs. There are no takers for BDA flats because of high cost and poor amenities. The BDA was formed to provide affordable and quality housing. That mandate, under strain for many years, now lies buried with rising land cost -a 2-BHK BDA flat costs between Rs 35 lakh and Rs 50 lakh.

“It’s not possible for the authority to undervalue its property . People are not willing to show the exact price as they fear huge taxes.Apart from the cost of building, buyers will have to pay service charge, registration fees and also furnish income-tax details. These requirements make BDA properties less attractive,“ said a senior official who handles sales of BDA apartments.

A home buyer maintains that middle income group flats are overpriced. “The BDA is acting like a private developer. The price of low-income group apartment is between Rs 7 lakh and Rs 13 lakh and buyers struggle to pay a lump sum,” said Shiva Kumar, a RTI activist.

There have been complaints about quality of work. “Fixtures and fittings are sub-standard, forcing people to replace them at their cost,“ said an allottee.

courtesy by Times of India

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