Tata flats payment deadline extended to 20 years

Housing Development Corporation (HDC) on Wednesday extended the previous payment deadline for the two apartment complexes developed by Indian firm Tata Housing Development Corporation in capital Male from five years to 20 years.

In light of the hefty MVR 278 million the state had to pay Tata Housing upfront for the complexes, the government had then stated that the Tata flats will be sold to buyers who can afford the apartments’ cost of MVR 2 million in five years, which is a monthly payment of MVR 33,000. The decision had sparked public outcry and harsh criticism, as the former ruling government of Maldivian Democratic Party (MDP) had declared a monthly rate of MVR 9000 to the flat buyers at that time.

The government had later handed over the flats to Housing Development Corporation (HDC) and arranged a grant to pay the money to Apex Reality, the special purpose vehicle founded for the Tata flats project jointly by Tata Housing and SG18 Developers Pvt Ltd.

HDC’s finance director Ali Shareef announced Wednesday that flat buyers can pay the MVR 2 million in installments over twenty years via banks.

“We’ll hold an information session with banks next week. We’re also working to give the offer letters to flat buyers within a week,” said Shareef.

Mihaaru understands that HDC is also working to prevent the flat prices from exceeding MVR 2 million. A three-room apartment below MVR 2 million in Male is nearly half the market price.

Tata Housing had developed 90 flats and 190 flats in two land plots in Male.