The plan was unveiled on Friday during the presentation of the Rs 2974-crore budget of MHADA’s Mumbai Board. Mumbai Board chairperson Amarjeetsingh Manhas said that MHADA in October this year plans to release 3,000 flats in the market. “About 2,000 flats would be for those in the Economically Weaker Section (EWS),” Manhas said. These houses would be in addition to the 3,863 flats that are about to be allotted to applicants through the lottery system.

MHADA’s decision to construct more flats for the EWS and Low Income Group (LIG) has been prompted by the Central government’s move to release funds under the Jawaharlal Nehru National Urban Renewal Mission (JNNURM). The funds released would be up to Rs 1.61 lakh for each EWS flat, Rs 2 lakh for every LIG flat built and Rs 2.10 lakh for mill workers homes.

MHADA will be constructing 6000 homes for retrenched mill workers on the land handed over to them.

Besides the 24,000 homes that the housing board will construct over the next two years, the MHADA will get another 5,244 flats through redevelopment of seven of its colonies in joint venture with private developers. “Most of these flats will be for the low and middle income groups with an area of 300-450 sq ft each,” Manhas said.