In an attempt to boost push for affordable housing by builders and developers in Mumbai, the state government has decided to offer construction finance to them. The aid would also prove to be a relief considering the downturn that the real estate is seeing in the market today.
The state’s government company called Shivshahi Punarvasan Prakalp Ltd (SPPL) will help with these finances to the developers working on an interest rate basis. It is said to extend finance for construction activity at an interest rate of 11.15 per cent annum.
Those availing these offer will have to build low-cost houses for the weaker sections and sell these to SPPL at a nominal cost, which promotes slum and affordable housing development.