Mumbai: Next MHADA lottery to offer 240 homes at cheaper rates

May 24, 2016, 17:28 IST | Varun Singh

These homes will be cheaper by 20 to 40 per cent as they were built earlier but were never allotted under the CM’s quota

Citizens stand a chance of getting even luckier in MHADA’s next house lottery, where 240 homes will be sold for up to 20 to 40% less than the current market rate. While a total of 1,000 homes will be up for grabs in the upcoming lottery, 240 of them will be priced lower since they were built earlier — between 2011 and 2015.

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Most of these houses are from the chief minister’s quota but were never allotted by the then CM Prithviraj Chavan. “The prices for the CM quota homes haven’t been calculated yet, but it’s a given fact that the rates will be less, as the flats were built earlier,” said T Matkar, from the marketing department of MHADA C Dange, joint chief officer of the Mumbai board of MHADA, said, “We have a formula to decide the prices of the flats and the same formula shall be used for selling the CM quota homes too.”

This formula is based on the cost of land, construction and other factors from the period of construction. “So,in the case of a home from the CM quota in 2010, the price shall also be from that period. Only the taxes shall be applicable at current rates,” said a senior official.

MHADA will be come out with the advertisement for the lottery by the end of the month. It has been holding such lotteries every year since 2009. MHADA, being a non-profit organisation, doesn’t earn profits in most of its projects, except those that are meant for Higher Income Groups, and even then the margin is minimal.

CM’s quota
The CM quota is 2 per cent; so, if there are 100 homes, the CM holds the discretionary power to allot two houses from the total available homes.

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