1. welcomes dignitories & delegates of conference on affordable housing & housing finance...
TRANSCRIPT
1
WELCOMES
DIGNITORIES & DELEGATES
OF
CONFERENCE
ON
AFFORDABLE HOUSING & HOUSING
FINANCE JANUARY 27-28, 2010
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Urban Areas – Housing
122 Urban Areas in the State
– Population : 10.06 M (27.08%)
– Shortage : 0.95 M
Housing – position
• Several subsidized housing schemes benefitting urban poor
• Rich face no problems in getting choice houses
• Moderate income group relegated to the back position - could not afford a decent house / flat with minimum facilities and basic infrastructure.
Urban Housing – Market - Impact
Land cost increased manifoldLeft to marketLimited supplyAbnormal CostsAffordability sacrificedInability of Moderate income group to
buy
Emergence of Rajiv Swagruha
Rajiv Swagruha - Objective
“Every person with moderate income, having no house of his / her own, must have a house , i.e. an affordable decent house”.
Dr. K. Rosaiah Hon’ble Chief Minister
Andhra Pradesh
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Affordable Housing
“Affordable housing is not about box sized budget homes in far flung places where there is no connectivity to work places and little surrounding infrastructure”
Deepak Parekh Chairman, HDFC
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Rajiv Swagruha -Philosophy
• Affordable Housing has to cut across all income segments of the society and has to make economic sense – inclusive / complementary housing
• An affordable house does not mean a cheap house or any compromise on space, quality or facilities as required by the family
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Rajiv Swagruha -Philosophy
• Demand of affordable quality homes is in the price range of Rs.15 – 30 lakhs. Rajiv Swagruha range Rs.6.30 – Rs.33 lakhs
• Swagruha - necessacity for many, opportunity for few and growth engine for Government
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Rajiv Swagruha -Philosophy
In lieu of subsidy and budgetary support from the Government - focus is on appropriateness, value addition and optimization of space in designs and layouts, quality construction in accordance with codes, with all necessary infrastructure and facilities, on schedule delivery of final product and limiting the cost - 25% less than the market – thus creating a brand – • Premium lifestyle at affordable cost
Rajiv Swagruha – Features
• Demand driven • Self Financed • No subsidy• No budgetary support• Affordable• Four sizes of flats / Houses• All Infrastructure and facilities • No profit - No loss basis• Cost 25% less than the local market• Covering the income up to Rs.50000 pm
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Demand Survey –Analysis
March – April 2007Sl.No
Area Civic400/ 523 Sft
Basic685 / 813 Sft
Intrinsic1150 Sft
Classic1450 – 1470 Sft
Total Appl. recd
1 Municipal Corporations
13700
21437
14815 9270 59222
2 Municipalities
37117
45559
22014 10836
115526
3 Municipalities (<100)
613 489 179 47 1328
Total 51430
67485
37008 20153
176076
Demand Analysis
0
10000
20000
30000
40000
50000
60000
70000
A B C D
Corporations
Municipalities
Total
38.34%
29.08%
21.08%
11.50%
Project - Spread
Rajiv Swagruha : 0.175 M (18.42%)
Coverage : 23 DISTRICTS 122 MUNICIPAL AREAS
(Corporations, 2-tier and 3-tier)
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Scheme details
Net Demand : 1,76,076
Project cost : Rs.35,000 Crs
Proposed plinth Area : 139.17 M Sft
APRSCL- Organogram
ENC & ED
Dir PlgDir HR
SR GM Tech
Sr GM P & E 1
Gm Lands
Sr GM Q & V
24 Field divisions with support engineers and Project Coordinators
Dir F & B Dir Mkt & PR
Board
CMD
Dir Tech
GM Designs
GM Estate
Sr Gm Mkt
Land Bank
• Required 12,864 acres• Identified 8,329 acres• Possession taken 5,732 acres • Cost of lands Rs. 6102 Crores
Project Planning• Strategically located Contiguous area • Thematic Townships• Self contained gated Community • Creating land marks• Vaastu compliant (light & Ventilation)• Units open to sky on three sides• Harith Varna (Corridor plantation)• Furnished unitsWalk in with suit case and start living
• Pattern of construction
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Specifications• Green Buildings and energy saving
Norms
• Designs for earthquake
• NBC & Other BIS codes are followed
• VRCC : Framed Structure
• Masonry : Fly ash blocks
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Specifications
• Plastering : Inside Lappam finish /
Dubara Outside
• Flooring : Ceramic tiles Kajaria /
Johnson
• Windows : Pre-painted steel windows with fly
proof mesh
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Specifications
• Ventilators : Fixed Louvers
• Doors : Main door teak frame and Rubber wood shutter, others CRCA Frames ply wood shutters
• Kitchen : Granite top with Steel sink (Nirali)
• Toilet fittings : bathroomfittings of Jaguar make
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Specifications
• Cupboards : RCC shelves with ply wood cover
• Dadoo : Glazed tiles up to lintel level in bathrooms and Kitchen
• Electrical : Concealed cables, Quality fittings, Provision for internet, TV & telephone
Infrastructure• Fire fighting• Two lifts – passenger & cargo• Generator Back up• Municipal water supply• Underground drainage & STP• Cabled electricity, telephone, internet• Storm water drains with recharge pits• Paved driveways
Hassle free life
Premium lifestyle at affordable cost
Facilities - Charged
• Piped gas supply• Solar water heater• Solar street lighting• Land scaped parks and tot lots• Playgrounds• Parking
Premier lifestyle at affordable cost• facilities – not charged
•Club House • Shopping complex• Multiplexes• Amphitheatre• School• Bank & ATM• Post office etc
Quality Assurance• Site labs - material testing and records
the results• Quality & Vigilance wing checks at
every stage• Surprise checks by ENC & CMD• Third party quality checks - CIVIL AID /
IITs• Applicants encouraged to give feed back
on quality
Fast & Cost Effective Technology
• M/s Shirke construction technology using Siporex light weight blocks and prefabricated technology – ABHIMAN Jawaharnagar - Cost Rs.1100 Crs
• Aluminum formwork technology by L & T – Manabhavana- Bachupalli – Cost Rs.760 Crs
Eligibility
• Per month income up to Rs. 50000
• Born in AP working any part of the world
• 5% for other Indians (Project specific)
• No House affidavit
Costing
• Project specific tentative cost • 25% less than the local market• Inclusive of construction, development, land
value, and all taxes and fee etc • No hidden / extra costs – unlike private
market• Cost ranges from Rs.1641/Sft to Rs.2500/ Sft
Financing pattern • Self financed
• Booking advance : 15%
• Within one month : 10%
• Balance schedule of payment : 75% – in 4 bullets• 40% : grounding• 25% : basement level• 25% : roof level• 10% : completion
APRSCL – Role of facilitator
• 19 Banks committed to provide home loans for 35 projects costing Rs. 13000 Crs• Concessional rate of interest • No processing fee• Free Life Insurance• Single window clearance• Flexi EMI 33
Project Status
Project Status
Sl. No
Item Description No of Units
Amount in Crs
1 Projects prepared 85961 17888
2 Bids awarded 53316 9366
3 Works Grounded 49353 8742
PRASHANTHI ENCLAVE – ANOTHER INNOVATION - SENIOR CITIZEN HOUSING
“You matter because you are you and we will do all that we can do to help you live peacefully with affection and dignity “
APRSCL
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Prashanthi Enclave – Senior Citizen Housing
– A person 58 years and above– 640 Sft +– Specially customized flats with anti skid tiles,
spacious corridors with grab bars, panic call button, etc
– Common facilities like kitchen, common dining, recreation room, clinic, Gym, Home theater, library, Guest accommodation, etc
– Attachment with nearby super specialty hospital– Laundromat, House keeping, round the clock
security and other services by an agency37
Kurnool Town – Reconstruction
• A, B, C Camps consisting of 248 acres to be remodeled
–Master plan is ready
– Implementation proposed in phases
Concerns
• Land, technology and knowledge is clubbed with long term finance ensures sustainable, holistic programme
• Home loans up to Rs.20 lakhs – priority sector lending but loan to Construction company is treated as reality sector
• Lower interest rates are key to affordable housing
Concerns
• Enabling environment through incentives and concessions may go a long way
• Self financed scheme is a new concept – It is taking time for proper understanding – till then momentum has to pick up showing physical progress – need for bridge funding / project finance at lesser rate of interest and education to buyer – to develop ownership
Concerns
• Both goals and approach needs to be realistic
• Multi players are to be welcomed for bringing balance and choice
RAJIV SWAGRUHA a humble beginning …
THANK YOU