The New Tenancy Act to create another wave of affordable rental housing: Durga Shankar Mishra

                After the affordable rental housing policy, the government is now eyeing to push the growth of affordable rental housing segment by modifying the age – old Tenancy Act by 
implementing the new Model Tenancy Act by removing the complexities and restrictions on the existing rent control laws to increase the supply of affordable housing, 
announced Durga Shankar Mishra, Secretary, Ministry of Housing and Urban Affairs, government of India at the inauguration of Naredco’s three–day virtual ‘Real Estate 
and Infrastructure Investors’ Summit (REIIS) – 2020’ in association with APREA. 

The new Act once implemented across the states would release over one crore vacant houses locked in the clutches of the old Act and promote investments into the real 
estate sector. Calling the pandemic – induced reforms to be a great booster, he informed that a slew of measures taken by the government such as liquidity infusion, 
Housing For All, affordable rental housing policy, stamp duty reduction across the states, revision of the circle rates and income tax reliefs have opened up avenues for 
fresh investments into the sector. He advocated the need for implementing global housing technologies to make housing more affordable and environment-friendly to 
achieve the dream of Housing For All.

Naredco and Asia Pacific Real Estate Association (APREA), a leading pan Asian trade association with focus on cross-border real estate investment, along with Anarock 
Property Consultants, have organised the the virtual ‘Real Estate and Infrastructure Investors’ Summit (REIIS) – 2020’ with the theme of ‘India – Opportunities in the 
Coming Year’.

Ashok Mohanani, president, NAREDCO Maharashtra, in his welcome address, said, “The real estate sector is on a growth mode, post pandemic. We are expecting a 
quantum leap in home buying due to the cooling home loan rates, the best ever residential housing prices and the zero stamp duty bonanza by the developers. The home 
loan structure has been supportive across ticket sizes and the Government’s initiative like the SWAMIH fund, liquidity infusion reforms, stamp duty reduction have 
accelerated housing demand, which in turn, will encourage foreign investors revising their outlook on the sector.”

Attributing the revival of the real estate sector mainly to the government’s reforms and visionary decisions like a complete waiver of the stamp duty, Rajan Bandelkar, VC, 
said, “The sector needs more liquidity and wholesale lending by the financial institutions for further growth. While futuristic steps like levying a zero-stamp duty has 
accelerated demand from the homebuyers, the banking industry should infuse more funds in viable affordable housing projects and allow restructuring of loans for 
sustainability.”

Terming India as a bright spot for real estate investment, Sigrid Zialcita, CEO, Asia Pacific Real Estate Association (APREA), said, “The year 2021 will be a better year for 
economic growth for India, as it will bring economic and capital revival due to the Government and the Central Bank’s support to the realty sector. With the demand picking 
up, we expect a greater participation from institutional investors and the REITs sector in India will also grow.”

Rajeev Talwar, national chairman, Naredco, opined that the government must consolidate the affordable housing policy further to bring the government, PSUs and slums 
lands for construction.

Naredco has pegged substantial amount of foreign investment flows into the Indian real estate sector in the next two years. The Summit partner Anarock predicted $8 
billion capital inflows in Indian realty sector in the next fiscal in the new asset classes like logistics and data centres.

Source: Construction Week Online