TNHB to raise funds worth Rs 682 cr with sale of 1,779 residential flats

C Shivakumar @ Chennai, Oct 21:

Tamil Nadu Housing Board is planning to raise funds worth Rs 682 crore with the sale of 1779 residential flats under the Self Financing Scheme.

The flats will be constructed after demolishing 2,238 flats located in 17 places of Chennai.

Sources said a total of 4,691 flats will be constructed by state housing board of which 2912 will be under the Tamil Nadu Government Rental housing Scheme and the rest will be developed under the self finance scheme.

Interestingly, the plan to sell 1779 residential flats, which is being constructed at nine places in Chennai, at a price of Rs 5,000 per square feet including land, development and construction cost works out to Rs 682 crore.

The sale of flats would help generate funds without expecting grants from the government. It is learnt the total cost of building 2,912 flats under the Tamil Nadu Government Rental housing Scheme would cost the exchequer Rs 380 crore while those of 1,779 residential flats under self finance scheme would cost Rs 300 crore.

This would tantamount to Rs 680 crore which is less than the value of sale of 1,779 flats under the Self Financing Scheme.

It is learnt that the housing board would be utilising the maximum permissible floor space index of 1.5 to construct additional 30 per cent of TNGRHS flats. The earlier flats in RK Mutt scheme were constructed by utilising a FSI of 0.37.

Factfile:

-- TNHB has till now constructed 25,849 residential rental units under Tamil Nadu Government Rental Housing Scheme

--- Revenue generated from the allottees towards rent for the year 2011-12 is Rs 3,027 lakh

--- The expenditure incurred towards annual maintenance per year is Rs 1,474.73 lakh

--- The total expenditure for repair works to make flats livable is Rs 15,509 lakh