Struggling with unsold inventory, MHADA increases size of Konkan board lottery

The units are located in cities that are part of the Mumbai metropolitan area, with some of the flats being unsold as part of previous auctions

The Maharashtra Housing and Area Development Authority (MHADA) has increased to 16,000 the number of houses available for sale in the ongoing Konkan regional board lottery, as it struggles to liquidate unsold inventory.

The state government's nodal agency for affordable housing had earlier made 12,000 houses available for the lottery. It is also likely to extend the application date beyond the December 12 deadline.

"MHADA is sitting on unsold inventory of around Rs 3,000 crore across Maharashtra, and our management has asked the authority to conduct special drives to spread awareness about the properties, their location and amenities," MHADA deputy chief executive officer Anil Wankhade said.

Of the 16,000 houses, around 14,000 will be available for sale on a first-come-first-serve basis, while the rest will be available through the lottery process.

Both types of sales are part of what the agency calls as the lottery system.

Most of these homes are priced between Rs 14 lakhs and Rs 21 lakh. Some of the houses will be available under the Pradhan Mantri Awas Yojana, officials said.

The sale and the lottery will be conducted by the Konkan Housing and Area Development Board (KHADB), MHADA's regional authority that implements affordable housing schemes in the state’s Konkan division except the Mumbai city and suburban districts.

KHADB has planned roadshows and will also set up kiosks at railway stations and government premises in the Panvel-Virar belt to attract homebuyers and facilitate the application process.

The houses that have been added are closer to completion and also those that remained unsold in the previous rounds. They are located in or close to cities in the Mumbai metropolitan area such as Virar, Kalyan, and Panvel.

MHADA officials admitted that some of the houses went unsold over buyers' concerns about the locations and perceived unavailability of infrastructure such as schools, hospitals, and markets.

"We have worked with local civic bodies with each of the locations to ensure 24-hour water supply, as well as improvement to local roads. We are also working with various stakeholders to ensure the availability of supermarkets, hospitals, and schools near each of the housing developments," Wankhade said.

According to Revati Gaikar, KHADB chief officer many of the housing developments, especially in the Panvel-Kalyan belt, are near upcoming Mumbai and Navi Mumbai metro systems. They are also 18-20 km away from the Navi Mumbai international airport, which will ensure job opportunities, Gaikar said.

The houses are priced lower than those sold by private developers, she said.