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WELCOMES DIGNITORIES & DELEGATES OF CONFERENCE ON AFFORDABLE HOUSING & HOUSING FINANCE JANUARY 27-28,

Urban Areas – Housing 122 Urban Areas in the State – Population: M (27.08%) – Shortage : 0.95 M

Housing – position Several subsidized housing schemes benefitting urban poor Rich face no problems in getting choice houses Moderate income group relegated to the back position - could not afford a decent house / flat with minimum facilities and basic infrastructure.

Urban Housing – Market - Impact Land cost increased manifold Left to market Limited supply Abnormal Costs Affordability sacrificed Inability of Moderate income group to buy Emergence of Rajiv Swagruha

Rajiv Swagruha - Objective Every person with moderate income, having no house of his / her own, must have a house, i.e. an affordable decent house. Dr. K. Rosaiah Honble Chief Minister Andhra Pradesh 6

Affordable Housing Affordable housing is not about box sized budget homes in far flung places where there is no connectivity to work places and little surrounding infrastructure Deepak Parekh Chairman, HDFC 7

Rajiv Swagruha -Philosophy Affordable Housing has to cut across all income segments of the society and has to make economic sense – inclusive / complementary housing An affordable house does not mean a cheap house or any compromise on space, quality or facilities as required by the family 8

Rajiv Swagruha -Philosophy Demand of affordable quality homes is in the price range of Rs.15 – 30 lakhs. Rajiv Swagruha range Rs.6.30 – Rs.33 lakhs Swagruha - necessacity for many, opportunity for few and growth engine for Government 9

Rajiv Swagruha -Philosophy In lieu of subsidy and budgetary support from the Government - focus is on appropriateness, value addition and optimization of space in designs and layouts, quality construction in accordance with codes, with all necessary infrastructure and facilities, on schedule delivery of final product and limiting the cost - 25% less than the market – thus creating a brand – Premium lifestyle at affordable cost

Rajiv Swagruha – Features Demand driven Self Financed No subsidy No budgetary support Affordable Four sizes of flats / Houses All Infrastructure and facilities No profit - No loss basis Cost 25% less than the local market Covering the income up to Rs pm 11

Demand Survey –Analysis March – April 2007 Sl. No AreaCivic 400/ 523 Sft Basic 685 / 813 Sft Intrinsic 1150 Sft Classic 1450 – 1470 Sft Total Appl. recd 1Municipal Corporations Municipalities Municipalities (<100) Total

Demand Analysis Corporations Municipalities Total % 29.08% 21.08% 11.50%

Project - Spread Rajiv Swagruha : M (18.42%) Coverage: 23 DISTRICTS 122 MUNICIPAL AREAS (Corporations, 2-tier and 3-tier)

15 Scheme details Net Demand: 1,76,076 Project cost : Rs.35,000 Crs Proposed plinth Area: M Sft

APRSCL- Organogram ENC & ED Dir PlgDir HR SR GM Tech Sr GM P & E 1 Gm Lands Sr GM Q & V 24 Field divisions with support engineers and Project Coordinators Dir F & B Dir Mkt & PR Board CMD Dir Tech GM Designs GM Estate Sr Gm Mkt

Land Bank Required 12,864 acres Identified 8,329 acres Possession taken 5,732 acres Cost of lands Rs Crores

Project Planning Strategically located Contiguous area Thematic Townships Self contained gated Community Creating land marks Vaastu compliant (light & Ventilation) Units open to sky on three sides Harith Varna (Corridor plantation) Furnished units Walk in with suit case and start living

Pattern of construction G+5, G+9, G+14, G+20 Stories Independent Duplex Houses Seeing is believing Model houses Model houses / flats constructed in every project

20 Specifications Green Buildings and energy saving Norms Designs for earthquake NBC & Other BIS codes are followed VRCC :Framed Structure Masonry :Fly ash blocks

21 Specifications Plastering:Inside Lappam finish / Dubara Outside Flooring:Ceramic tiles Kajaria / Johnson Windows:Pre-painted steel windows with fly proof mesh

22 Specifications Ventilators:Fixed Louvers Doors:Main door teak frame and Rubber wood shutter, others CRCA Frames ply wood shutters Kitchen: Granite top with Steel sink (Nirali) Toilet fittings:bathroomfittings of Jaguar make

23 Specifications Cupboards: RCC shelves with ply wood cover Dadoo :Glazed tiles up to lintel level in bathrooms and Kitchen Electrical : Concealed cables, Quality fittings, Provision for internet, TV & telephone

Infrastructure Fire fighting Two lifts – passenger & cargo Generator Back up Municipal water supply Underground drainage & STP Cabled electricity, telephone, internet Storm water drains with recharge pits Paved driveways Hassle free life

Premium lifestyle at affordable cost Facilities - Charged Piped gas supply Solar water heater Solar street lighting Land scaped parks and tot lots Playgrounds Parking

Premier lifestyle at affordable cost facilities – not charged Club House Shopping complex Multiplexes Amphitheatre School Bank & ATM Post office etc

Quality Assurance Site labs - material testing and records the results Quality & Vigilance wing checks at every stage Surprise checks by ENC & CMD Third party quality checks - CIVIL AID / IITs Applicants encouraged to give feed back on quality

Fast & Cost Effective Technology M/s Shirke construction technology using Siporex light weight blocks and prefabricated technology – ABHIMAN Jawaharnagar - Cost Rs.1100 Crs Aluminum formwork technology by L & T – Manabhavana- Bachupalli – Cost Rs.760 Crs

Eligibility Per month income up to Rs Born in AP working any part of the world 5% for other Indians (Project specific) No House affidavit

New Applications

Costing Project specific tentative cost 25% less than the local market Inclusive of construction, development, land value, and all taxes and fee etc No hidden / extra costs – unlike private market Cost ranges from Rs.1641/Sft to Rs.2500/ Sft Cost

Financing pattern Self financed Booking advance : 15% Within one month: 10% Balance schedule of payment : 75% – in 4 bullets 40% : grounding 25% : basement level 25% : roof level 10% : completion

APRSCL – Role of facilitator 19 Banks committed to provide home loans for 35 projects costing Rs Crs Concessional rate of interest No processing fee Free Life Insurance Single window clearance Flexi EMI 33

Project Status AARAMBH Chandanagar ( Hyd) completed (August 2007 – August 2009) 1140 flats in 13 acres 900 – 697 Sft Two bed room 240 – 486 Sft One bed room Project cost Rs Crores

Project Status As on Sl. No Item DescriptionNo of Units Amount in Crs 1Projects prepared Bids awarded Works Grounded

PRASHANTHI ENCLAVE – ANOTHER INNOVATION - SENIOR CITIZEN HOUSINGSENIOR CITIZEN You matter because you are you and we will do all that we can do to help you live peacefully with affection and dignity APRSCL 36

Prashanthi Enclave – Senior Citizen Housing – A person 58 years and above – 640 Sft + – Specially customized flats with anti skid tiles, spacious corridors with grab bars, panic call button, etc – Common facilities like kitchen, common dining, recreation room, clinic, Gym, Home theater, library, Guest accommodation, etc – Attachment with nearby super specialty hospital – Laundromat, House keeping, round the clock security and other services by an agency 37

Kurnool Town – Reconstruction A, B, C Camps consisting of 248 acres to be remodeled – Master plan is ready – Implementation proposed in phases

Concerns Land, technology and knowledge is clubbed with long term finance ensures sustainable, holistic programme Home loans up to Rs.20 lakhs – priority sector lending but loan to Construction company is treated as reality sector Lower interest rates are key to affordable housing

Concerns Enabling environment through incentives and concessions may go a long way Self financed scheme is a new concept – It is taking time for proper understanding – till then momentum has to pick up showing physical progress – need for bridge funding / project finance at lesser rate of interest and education to buyer – to develop ownership

Concerns Both goals and approach needs to be realistic Multi players are to be welcomed for bringing balance and choice

RAJIV SWAGRUHA a humble beginning … THANK YOU