Chief minister Devendra Fadnavis’ plans to revive Shivshahi Punarvasan Prakal Ltd (SPPL), a housing body, to construct affordable homes in the state is in limbo. The reason The Housing and Urban Development Corporation (Hudco) has backed out from funding SPPL and private developers.
A senior SPPL bureaucrat said, “Hudco is not keen on funding the project as the SPPL and private developers have missed the deadline to submit the detailed project report (DPR) to Hudco.”
SPPL had signed a joint development agreement with eight private developers and landlords who own the land in Mumbai Metropolitan Region (MMR) and had claimed that they have chalked out a plan for coming out with a DPR for affordable homes. The plan is to build apartments measuring between 350 square feet to 500 square feet at Panvel, Karjat, Kalyan, Shil and Turbhe for around '30 to '50 lakh by 2018. “The SPPL did not find any mention in a recent meeting chaired by the chief minister and nor SPPL has received any funds from the state government as it was promised by the CM in August to provide '500 crore for reviving the SPPL. Partly, it is also because the officials from the SPPL have not shown any interest in reviving the SPPL,” added a bureaucrat.
The SPPL has claimed that the logic of taking loans from the Hudco is because it will provide funds at a lower interest rate (compared to the market rate) to fund the project. Also, the reason behind funding private developers is to push projects of private sector in collaboration with public bodies to create maximum housing stock
However, if sources from SPPL are to be believed, the Hudco is not satisfied with the information about the plots provided by the developers and that is the reason behind Hudco being sceptical in providing funds.
Meanwhile, housing minister Prakash Mehta was not available for comment on the issue and an official from the chief minister’s office (CMO) said that it is not aware of any such development.
