UDA, TATA in $ 460 m housing project

Ramani KANGARAARACHCHI

The Urban Development Authority (UDA) has signed an agreement with TATA Housing India for the construction of a major housing complex near the Slave Island Railway Station at a cost of USD 460 million.

UDA Chairman Nimal Perera said eight acres of land currently owned by legitimate house owners and shop owners will make way for this development endeavour by TATA Group. This is a unique concept which will be considered a pilot project. The project is expected to be completed in two years.

He said there are 456 houses and 90 shops in the area and these lands bear clear titles and the land owners were not squatters. The extent of the property they owned ranged from one perch and above. The owners have agreed to negotiate the ownership of the land with TATA company through the UDA. Therefore, TATA will provide the land owners a rent allowance not exceeding Rs 15,000 per month so that they can live in a rented premises until their apartment complexes are ready. Each one of them will get a 400 square feet house replacing their current houses.

Accordingly, TATA will build condominium flats for them in a three acre land and the rest of the land will be utilized by TATA to carry out their own real estate development work. This will include a fully-fledged commercial area, with parking space, a community centre, a reception hall and a shopping complex. The 65 storeyed building is planned and work will commence by the end of the year. The UDA is in the process of clearing the land now.

In addition, the UDA has embarked on a programme to construct 70,000 housing units for the most vulnerable dwellers in Colombo to upgrade their living standards. This programme would enable the smooth transfer of families presently living in under-served housing units to new houses, Perera said.