AFFORDABLE HOUSING RAJASTHAN INITIATIVES PRESENTATION BY GURDIAL SINGH SANDHU I.A.S. PRINCIPAL SECRETARY Urban Development , Housing & Local self Govt. GOVERNMENT OF RAJASTHAN

Rajasthan Where Urban planning is a tradition and Jaipur, Jodhpur, Jaisalmer, Udaipur, Bikaner etc. are internationally known for urban planning and architecture. Wide roads, excellent infrastructure, recreation areas, public parks etc. & traditional building art and artisans have made Rajasthan rich in heritage buildings and monuments.

Urban Population of Rajasthan Urban Population in million 7.21 10.06 13.20 22.77 Total population 34.30 44.00 59.00 87.12 Ratio of urban to total population 21.02% 22.88% 22.38% 26.14% (projected) Rajasthan has 222 urban centers. Out of 222 Urban centers 20 class-I Towns covering about 50 % of Urban population.

HOUSING SCENARIO ( AS ON 01.04.2007 ) ALL INDIA 24.71 MILLION 100% E.W.S 21.78 MILLION 88.14% L.I.G. 02.89 MILLION 11.69% M.I.G/HIG 0.04 MILLION 0.16% MORE THAN 99% SHORTAGE IS FOR EWS/LIG HOUSING RAJASTHAN STATE LEVEL SHORTAGE – 1.07 MILLION DWELLING UNITS, PROJECTED TO 1.70 MILLION BY 2021. 86% SHORTAGE IN EWS & LIG CATEGORY

AGENCIES PROVIDING AFFORDABLE HOUSING IN THE STATE RAJASTHAN HOUSING BOARD -CONSTRUCTED MORE THAN 200,000 UNITS FOR EWS/LIG IN 60 TOWNS. OTHER AGENCIES PROVIDING AFFORDABLE HOUSING – DEVELOPMENT AUTHORITIES-JAIPUR & JODHPUR URBAN IMPROVEMENT TRUSTS-11 NOS. MUNICIPAL CORPORATIONS-JAIPUR,JODHPUR,KOTA,AJMER,BIKANER, URBAN LOCAL BODIES –SMALLER TOWNS PRIVATE DEVELOPERS

NEW INITIATIVES NEW AFFORDABLE HOUSING POLICY-2009 TO PROMOTE EWS/LIG HOUSING THROUGH PRIVATE PARTICIPATION. 1,25,000 HOUSES FOR EWS, LIG AND MIG CATEGORY TO BE CONSTRUCTED IN NEXT FOUR YEARS TARGET

HIGHLIGHTS OF THE POLICY

VARIOUS MODELS Five Models in the Policy Model No-1: Mandatory Provisions: Rajasthan Housing Board to construct at least 50% plots/ houses/ flats of EWS/LIG category in its schemes. All Urban Local Bodies including Jaipur Development Authority, Jodhpur Development Authority, Urban Improvement Trusts and Municipal bodies to allot/construct at least 25% plots/houses/flats of EWS/LIG category in their residential/ housing schemes. Private developers to reserve 15% of the dwelling units for EWS/LIG housing in each of their Township/Group Housing Schemes.

Model No-2: Private developers on private land : Selected developers to take up construction of EWS/LIG/MIG-A flats (G+2/G+3 format) on minimum 40% of the total land. Buy-back of flats by the nodal agency (Avas Vikas Limited) at pre-determined prices, to be allotted to the eligible beneficiaries. Developer free to construct HIG flats/commercial on remaining land. Several incentives offered to developers.

Model No-3: Private developers on acquired land Developer can take up construction of EWS/LIG /MIG-A flats (G+2/G+3) on the land acquired by ULBs. Land would be made available to developer on payment of compensation (Land Acquisition cost + 10% Administration charges).Special zones are being carved out for this purpose

Model No-4: Private developers on Government land: (For Rental housing or outright sale basis) Earmarked Government land to be offered free of cost to the developer . Developer offering maximum number of EWS/LIG flats (G+2/G+3 formats) free of cost to the ULB, would be awarded the project. At least 50% houses should be of EWS category. Developer free to use the remaining land as per his choice for residential purpose with 10% for commercial use.

Model No-5: Slum Housing in PPP model The model is based on various schemes approved by Government of India i.e. BSUP, IHSDP, RAJIV AVAS YOJNA and also on the lines of "Mumbai Model" of slum redevelopment with private sector participation.

INCENTIVES TO THE DEVELOPERS: . COMPLETE WAIVER OF – EXTERNAL DEVELOPMENT CHARGES, BUILDING PLAN APPROVAL FEES, CONVERSION CHARGES GROUND COVERAGE FOR EWS/LIG PLOT AREA UPTO 50% COMMERCIAL USE UPTO 10% OF PLOT AREA FAST TRACK APPROVAL OF THE PROJECT – WITHIN 30 DAYS ADDITIONAL FAR – DOUBLE OF THE PERMISSIBLE FAR ON THE WHOLE LAND AREA WHICH CAN BE USED AS TDR FLATS TO BE HANDED OVER TO THE NODAL AGENCY AT PRE-DETERMINED PRICE of Rs 750 / sq ft ON SUPER BUILT UP AREA ADDITIONAL INCENTIVE OF 0.5 FAR FOR TIMELY COMPLETION OF THE PROJECT.

SELECTION OF SITE Site to be selected / approved should preferably be in the vicinity of existing infrastructure, so as to minimize delay and cost in extending various services to the scheme area.

Flow Chart for processing and approval of proposals by the Developer Invitation of proposal under EOI by AVL from the Developers Handing over of the possession to AVL Short listing of the proposals by AVL Commencement of work at site Empanelment of successful Developers for the Scheme by AVL Approval of proposals by the local authority within 30 days Proposal for development of the Scheme by the successful Developers to AVL On the basis of the letter of approval in principle and registration of the flats, scheme to be submitted by the developer (within 15 days after receiving registrations) to the local authority for approval etc. Issuance of approval in principle by the State Government Invitation of registration / booking for EWS/LIG flats by AVL

Time allowed for completion of the project. Time allowed for completion of the project would be as follows:- EWS/LIG flats 200 nos. - 01year EWS/LIG flats 400 nos. - 02years EWS/LIG flats 600 nos./above - 03years If the developer completes EWS/LIG flats within the scheduled period without getting any extension, the developer will get extra incentive of 0.5 TDR/FAR after obtaining completion certificate from the nodal agency. Time allowed for completion of the project.

FINANCING MODEL AWAS VIKAS LIMITED – NODAL AGENCY FOR IMPLEMENTATION OF THE POLICY HFC’S/BANKS TO PROVIDE LOAN TO THE BENEFECIARIES.-TO BE KEPT IN ESCROW ACCOUNT AMOUNT TO BE RELEASED IN 5 INSTALMENTS TO BUILDER BASED ON PROGRESS OF WORK TRI-PARTITE AGREEMENT TO BE DONE BETWEEN AVL-DEVELOPER AND LOCAL BODY. ALSO SEPARATELY WITH BANKER ALLOTMENT/LEASE DEED OF THE FLAT-DIRECTLY MORTGAGED TO THE BANK. EXTRA COMFORT TO THE BANKS BY ULBS IN CASE OF DEFAULT-POSSESION OF THE FLAT TO BE TAKEN & REALLOTED TO NEXT BENEFECIARY. SOME SUBSIDY ELEMENT ENVISAGED UNDER GOI SCHEMES

REDUCTION IN STAMP DUTY A major initiative has been taken by Government of Rajasthan in July,2009 in drastically reducing the stamp duty in the case of EWS/LIG from 8% to a mere Rs.10/- for EWS and Rs.25/- for LIGH. In other cases the stamp duty has been fixed at 5% with a reduction of 1% in the case of women.

RESPONSE MODEL - 2 LAUNCHED BY AVAS VIKAS LIMITED MORE THAN 70 DEVELOPERS SUBMITTED THEIR DETAILED PROPOSALS FOR 8 TOWNS INCLUDING JAIPUR FIRST PHASE OF REGISTRATIONS FROM APPLICANTS BEING INVITED FROM 01.05.2010 FOR 32 SCHEMES HAVING OVER 30,000 FLATS EXPRESSION OF INTEREST BEING INVITED FOR MODEL 3 AND 4

OTHER INITIATIVES SETTING UP OF SHELTER FUND IN EACH LOCAL BODY UNDER THE BUILDING REGULATIONS- TO BE USED FOR CREATING EXTERNAL INTRASTRUCTURE SETTING UP OF AN SPV FOR HOUSING FINANCE WITH IFC,NHB,HDFC AND GOVT OF RAJASTHAN AS PARTNERS

Thank you