Maharashtra Housing Authority Allocates ₹10,585 Crore for 13,012 Affordable Homes

The Maharashtra Housing and Area Development Authority (MHADA) has announced a significant investment of ₹10,585 crore to construct 13,012 affordable homes across its regional boards in the financial year 2026-27. The areas targeted for development include Mumbai, Pune, Konkan, Nashik, Amravati, Chhatrapati Sambhajinagar, and Nagpur.

According to MHADA, the revised budget for the financial year 2025-26 stands at ₹12,399 crore, and the budget for the year 2026-27 has been set at ₹17,430.73 crore. These allocations have been recently approved and will be used to fund the construction and improvement projects.

MHADA's plans are ambitious, particularly in Mumbai, where the authority aims to construct 2,538 flats for various income groups. For this purpose, a provision of ₹6,747 crore has been made in the 2026-27 budget for construction expenditure. Additionally, ₹2,711 crore has been allocated for work to be carried out by the Mumbai Slum Improvement Board using MLA/government funds. A further ₹661 crore is set aside for the repair of cessed buildings under the Mumbai Building Repair and Reconstruction Board.

Since its establishment in 1977, MHADA has been a key player in addressing the housing needs of Maharashtra. As of November 2025, the authority has constructed 5.27 lakh dwelling units across the state, according to the state government’s Economic Survey 2025-26. This ongoing commitment to affordable housing is crucial for the socio-economic development of the region, providing stable and affordable living conditions for a wide range of income groups.

The construction of these affordable homes is expected to have a significant impact on the housing market in Maharashtra. It will not only provide much-needed accommodation but also stimulate local economies and improve the quality of life for residents. The focus on various income groups ensures that a broad spectrum of the population can benefit from these initiatives.

In addition to the construction of new homes, MHADA's budget also includes funds for the maintenance and improvement of existing housing infrastructure. This holistic approach is essential for ensuring that the housing stock remains safe, functional, and accessible to all residents. The allocation of funds for the repair of cessed buildings is particularly important, as it addresses the issue of dilapidated structures and improves the overall living conditions in urban areas.

The Maharashtra government's commitment to keeping ready reckoner rates unchanged for 2026-27, citing geopolitical situations, further supports the stability of the real estate market. This decision provides a level of certainty for homebuyers and developers, which is crucial in a volatile economic environment.

Overall, the Maharashtra Housing and Area Development Authority's plans for 2026-27 demonstrate a strong commitment to addressing the housing needs of the state's residents. With a focus on affordable housing and infrastructure improvement, MHADA is playing a vital role in shaping the future of Maharashtra's urban landscapes.