Haryana Cabinet to Approve Hike in Affordable Housing Prices; Gurugram, Faridabad to Be Impacted
Chandigarh, March 24: In a move set to impact homebuyers, the Haryana government, led by Chief Minister Nayab Singh Saini, is set to approve an increase in the prices of flats under the Affordable Housing Scheme. The decision is expected to be finalized in a cabinet meeting today, with prices likely to rise by ₹3-4 lakh in key metropolitan cities.
Why Are Flat Prices Increasing?
The proposed hike is attributed to rising land costs and increased construction expenses. The current rates, established under the 2021 and 2023 policies, are seen as no longer viable, leading many builders to shy away from projects in cities like Gurugram and Faridabad. The government aims to make the scheme attractive for developers again.
New Proposed Rates
According to the proposal, the revised rates per square foot will be:
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Gurugram: ₹5,575 (up from ₹5,000)
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Faridabad: ₹5,450 (up from ₹5,000)
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Other High & Medium Potential Towns: ₹5,050 (up from ₹4,500)
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Low Potential Towns: ₹4,250 (up from ₹3,800)
Major Changes to Transit-Oriented Development (TOD) Policy
In a separate but significant move, the cabinet is also expected to approve changes to the Transit-Oriented Development (TOD) policy. The Floor Area Ratio (FAR) for institutional sites (schools, colleges, hospitals, offices) located in TOD zones will be significantly increased from 100-150% to a range of 250% to 350%. This will allow for larger construction on the same plot of land but will not apply to commercial or residential buildings.
The government hopes these changes will revitalize the affordable housing sector and streamline institutional development across the state.