Affordable Housing in Gurgaon: Solution to Housing Crisis

Gurgaon, famously known as the Millennium City has been undergoing a staggering transformation in recent years. Gurgaon today has emerged as one of the major hubs for corporate & IT industries in the country. Gurgaon has magnetized a substantial workforce from various corners of the country. However with the recent progress and transformation, also lies challenges. With the growing commercial value of the city, there is a grave housing crisis which has been characterized by soaring property prices and continuous scarcity of affordable homes in the city. While it is important to develop world-class infrastructure and have more commercial projects to take the city to new heights and make it a globally well-known city, it’s also vital to have affordable homes in the city to accommodate mid-income professionals.

Understanding the gravity of the situation, the Gurgaon government has launched an initiative to build an array of affordable housing projects in the city. This initiative shows the efforts of addressing housing concerns of the city, especially when urbanization in Gurgaon is at an all-time high. To understand the concern of the affordable housing crisis, let’s first understand some of the reasons behind them.

Skyrocketing Property Prices

The pricing for real estate in Gurgaon has soared to astronomical levels, rendering it beyond the reach of an average citizen. Gurgaon today has witnessed an unparalleled upward trajectory in property prices which effectively prices out numerous potential homebuyers.

Lack of Affordable Housing Options

As the city continues to establish itself as a global metropolitan hub, it has also prioritized premium housing projects in the city like DLF Privana North which in the last decade alone has been on a meteoric rise. Moreover, developers in the city have focused on the high-end luxury market, which is in direct coordination with the influx of influential individuals moving into the city like entrepreneurs, ex-pats, and HNI.

Migrant Workforce

Today Gurgaon with all its developments and array of projects in the pipeline is nothing short of an employment magnet. This means individuals today frequently grapple with the challenges of finding affordable rental homes which results in the city being overcrowded and people living in substandard living conditions.

Informal Settlements

Today because of the lack of affordable homes in the city, many low-income families have been left to seek refuge in informal settlements and slums which are often devoid of basic amenities and security.

Housing Initiatives by the Government

Being well aware of the housing crisis in the city and the imbalance between luxury and affordable homes, the government in Gurgaon aims to provide affordable housing in the city. The aim here is to cater to the housing needs of diverse income groups, with special emphasis on economically weaker sections and low-income groups. Let’s look at some of the implementations by the government to achieve their goals of having affordable homes in the city.

• Price Capping

One of the first steps to tackle the challenges of affordable homes in the city is to implement a maximum price cap for affordable housing units which ensures their accessibility to the targeted audience. This cap will be decided on factors such as location, size, and the market value of the project.

• Incentive for Developers

To make the most of the housing projects in the city, the Gurgaon government has proposed a spectrum of incentives. Some of these incentives include reduced development charges, expeditious approval, and land parcels at concessional rates.

• Quality Standards

To make sure that affordable homes have good quality standards, the Gurgaon government has enforced stringent quality standards on the same. This would include focusing on construction quality, provision of amenities, and unwavering adherence to building codes.

Conclusion

Gurgaon continues to make impressive progress towards becoming the economic hub of the country and home to some of the biggest IT and corporate establishments from around the world. On the other hand, it continues to face the challenges of having well-constructed affordable homes for mid or lower-income class professionals. Hence Gurgaon government has taken the initiative to tackle this problem.