Affordable Rental Housing Complexes for Urban Migrants

Affordable Rental Housing Complexes for Urban Migrants

The affordable rental housing scheme for urban migrants will ensure that the urban poor is not forced to occupy sub-human conditions. The new policy will do away with traditional methods of allotment of subsidies, which involved surveys and censuses so as to provide better-earmarked planning for the development of new projects. It will be a sub-scheme of the Pradhan Mantri Awas Yojana- Urban that is implemented by the Ministry of Housing and Urban Affairs.

About the scheme

Target Beneficiaries:

Affordable Rental Housing Complexes for Urban Migrants Program is aimed at helping poor migrants who left their hometowns in search of jobs and who are forced to live far from their workplaces. The program also hopes to help them save money on the high cost of rental housing and transportation expenses by providing shared accommodation with utilities included.

Features:

• Affordable Rental Housing:An estimated 1.03 lakh completed government-funded houses across cities that are yet to be allotted to beneficiaries (urban poor) under existing schemes would be converted into the rental housing complexes.
• Concession Agreements:The conversion will be done through concession agreements for 25 years.
• Special Incentives to Entities:Special incentives like concessional loan at priority sector lending rate, etc. will be offered to private/ public entities to develop ARHCs on their own available vacant land for 25 years.
• Technology Innovation Grant:Under it an expenditure of Rs. 600 crore would be provided for projects using identified innovative technologies for construction.

Significance:

• Creation of New Ecosystem:An ecosystem developed for urban areas as a solution to the high cost of rents and hence making housing available at affordable rent close to the place of work. This ecosystem can be created in isolation or connected with other projects like bus stops, hospitals, etc.
• Investment Opportunities: It would create a conducive environment for entities to develop AHRCs on their own vacant land which would enable new investment opportunities and promote entrepreneurship in the rental housing sector.
• Employment: Covid-19 pandemic has resulted in massive reverse migration of workers/ urban poor. Investment under ARHCs is expected to create new job opportunities.

Pradhan Mantri Awas Yojana -Urban

Pradhan Mantri Awas Yojana (Housing for All) was launched in 2015 by the Ministry of Housing and Urban Affairs, in which affordable housing will be provided to the urban poor with a target of building 20 million affordable houses by 31st March 2022. It provides central assistance to Urban Local Bodies (ULBs) and other implementing agencies through States/UTs.

Eligibility:

All statutory towns as per Census 2011 and towns notified subsequently would be eligible for coverage under the Mission. The mission will focus on a target of providing housing to all urban citizens by developing in-situ slum redevelopment with participation of private sector.

Provisions:

• In-situ Rehabilitation of existing slum dwellers using land as a resource through private participation.
• Credit Linked Subsidy.
• Affordable Housing in Partnership.
• Subsidy for Beneficiary-led individual house construction/enhancement.