Rajasthan Sets The Ball Rolling For Housing For All By 2022 Mission

Rajasthan is pacing up to make Housing for All by 2022 project a success. The state government recently signed 27 memorandums of understanding (MoUs) worth over Rs 12,500 crore. Among these, Rs 5,400 crore worth MOUs were aimed at promoting affordable homes and urban development projects.

Major real estate developers, including Tata Housing Development Company, Mahima Real Estate, National Building Construction Company and Wish Empire, have committed funds towards developing affordable real estate in Rajasthan. Nearly 14 residential and related projects are expected to come up in the state, providing employment to over 25,000 people.

Here are some of the factors that will aid the growth of affordable homes in Rajasthan:

Low cost of land

One of the biggest deterrents for affordable housing projects has been the lack of low-cost land. But in Rajasthan, which has one of the most affordable land across India, there would be no lack of inexpensive land. While land in state capital Jaipur can be bought for around Rs 2,000 per sq ft in most of the areas, cities beyond Jaipur offer larger land parcels at rates even lower.

Industrial development

As e-commerce is gaining ground, many towns and cities across the country are gaining from warehouse requirements of these online giants. Rajasthan, with its proximity to the National Capital Region (NCR), is one of the first choices for warehousing requirements. The state is also pushing for industrial development, with the Rajasthan State Industrial Development and Investment Corporation (RIICO) promoting both small and large scale industries. RIICO also aids site selection, land acquisition, and even financial assistance to small and medium businesses. The agency has already acquired 59,000 hectares of land and earmarked it for industrial development. This industrial growth, along with investments, will create jobs and drive migrant population to the state. The increased migrant population will bring in more demand for rental housing.

The Dharuhera model

Dharuhera is already being explored as the investment and affordable real estate hub. The small industrial town is feeding off the proximity to Gurgaon as well as the construction of good access roads. A number of new affordable residential projects are coming up here that will house apartments priced between Rs 16 lakh and Rs 25 lakh. With new investment flowing into the state, more Dharuhera-like cities might be constructed, allowing the growth of affordable residential projects across the state.