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Ministry of Housing releases Affordable Rental Housing Complexes Knowledge Pack

Friday, 31 Jul 2020
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Minister of State (I/C), Ministry of Housing and Urban Affairs (MoHUA) Hardeep Singh Puri, released Affordable Rental Housing Complexes (ARHCs) Knowledge Pack (AKP).
 
Union Cabinet approved Affordable Rental Housing Complexes (ARHCs) as a sub scheme under PradhanMantriAwasYojana (Urban) on 8 July 2020 to provide ease of living to urban migrants/poor. 
 
ARHCs will be implemented through two models. 
 
Model-1: Utilisingthe existing government-funded vacant houses to convert into ARHCs through public private partnership or by public agencies for a period of 25 years.
 
The scheme provides an opportunity for all states/UTs to convert their existing vacant houses constructed under various Central/ state government schemes into ARHCs. 
 
A model RFP has been shared with all states for customisation and issuance by them to select a concessionaire. 
 
Model-2: Construction, operation and maintenance of ARHCs by public/private entities on their own available vacant land for a period of 25 years. 
 
A large portion of available vacant land is lying unutilised with various industries, trade associations, manufacturing companies, educational/health institutions, development authorities, housing boards, Central/state public sector undertakings (PSUs) and other such entities. By providing with appropriate policy support, enabling suitable provisions and incentives, these available vacant lands can be utilised effectively for developing affordable housing facilities to migrants/poor people.
 
Further, MoHUA will issue expression of interest (EoI) for shortlisting of entities by ULBs to construct, operate and maintain ARHCs on their own available vacant land. 
 
ARHCs Knowledge Pack includes documents -- memorandum of agreement (MoA) to be signed with states/UTs; operational guidelines of ARHCs; model request for proposal (RFP) for selection of concessionaire by states/UTs/ULBs under Model-1; expression of interest (EOI) for shortlisting of entities under Model-2; Frequently Asked Questions (FAQs). 
 
ARHC scheme has been framed after a series of consultation with concerned Central ministries/departments, states/UTs and other private/public stakeholders. AKP has been devised to provide support to all stakeholders in implementing ARHCs.
 
To make this a lucrative and viable business opportunity for entities, the Central government will provide concessional project finance under affordable housing fund (AHF) & priority sector lending (PSL), exemption in income tax and GST and technology innovation grant for promotion of innovative technologies in ARHCs. 
 
Further, state/UT government will provide use permission changes, 50 percent additional FAR/FSI free of cost, single window approval within 30 days, trunk infrastructure facility and municipal charges at par with residential property. 
 
A mobile application of CREDAI -- Awaas App and an e-Commerce Portal of NAREDCO -- Housing for All was launched by the Housing Minister. These online platforms will leverage technology and provide benefits to home buyers in changing market practices by providing effective solutions. 
 
These will serve as a gateway for home buyers from around the world to connect with developers and choose their homes from RERA registered projects.
 
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