Yet another proposal from the Tamil Nadu Housing Board for a multi-storeyed apartment complex — that too on prime beach-facing property — has been unenthusiastically received.
The government agency has received only a handful of applications for the 560 high-income group flats in Foreshore Estate that cost between Rs. 1.2 crore and Rs. 1.9 crore. The project was announced towards the end of 2013. It appeared as if it had been shelved, but the Board publicised the scheme again a few months ago.
However, it has received only 70 applications so far, officials at TNHB said.
The plan is to construct the flats in four blocks – all of them with stilts plus five floors. There are four sets of flats based on area – those of 916, 960, 1,491 and 1,501 square feet, including common area. They are priced at Rs. 1.21, Rs. 1.27, Rs. 1.97 and Rs. 1.99 crore respectively.
The market value of the flats is Rs. 13, 200 a square foot, against the Guideline Value of Rs. 5,500. The flats’ cost was fixed in 2013 and was not hiked when the Board resumed advertising the project a few months ago.
The 25-acre site is in the midst of a government quarters, close to the shoreline. This is not the first instance in recent times of TNHB’s project announcements receiving a lukewarm response.
Another high-rise residential project, on a prime location near Ashok Pillar in K.K. Nagar, also had fewer applications than flats on sale.
“The base price of Rs. 13,200 square foot pegged by TNHB is actually lower than the prevailing price of Rs. 15,000 upwards quoted by private builders,” said Sanjay Chugh, national head – Mandated Sales and Business Head, Jones Lang LaSalle Residential Private Limited.
He said Chennai did not have many beach-facing high- rise properties and the TNHB’s flats, at the price quoted, were a good offer. Better branding and publicity will improve the project’s visibility and attract more buyers, he said.
