HDFC targets middle class in housing apartment projects

Irangika Range

HOUSING: The Housing Development Finance Corporation Bank of Sri Lanka (HDFC) has introduced new housing apartments to provide living and secure neighbourhood for middle income families at affordable prices. Housing apartments will be set up in Avissawella, Wellawatte and Ampara investing over Rs. 550 million.

It will also construct housing apartments in Colombo 5 and Colombo 10 investing Rs. 6,000 million to cater to the middle, luxury and the upmarket segments.

The HDFC Real Estate Development Ltd., which is a subsidiary of HDFC, would handle the project. This concept would empower the middle class while providing stylish living considering the 75 percent lower and middle income users’ requirements in the country.

CEO and General Manager of the HDFC C. A. Sarathchandra said the bank is keen on providing facilities to middle income families to purchase these houses.

The Avissawella project comprising 76 housing units will be completed by the end of this year. “We provide houses at affordable prices by attracting 60 percent of middle class, 30 percent of upper class and 10 percent of luxury class for these projects,” he said. The Bank is about to launch its new strategies, which are in the pipeline including housing development through its subsidiaries.

These projects are supposed to ensure high returns whilst the Bank expects to reasonably price its products by gaining from scale of economics arising from high volume.

The bank would provide housing loan facilities under concessionary rates and there is flexible repayment capacity for buyers.

The Bank, realising the mismatch of supply of housing loans in relation to market demand has paid special emphasis on considering a higher percentage of loans to low and middle income groups where the high demand exists. The Bank is about to launch its new strategies, which are in pipeline including housing development through its subsidiaries.

These projects are supposed to ensure high returns whilst the Bank expects to reasonably price its products by gaining from scale of economies arising from high volume.