Bhubaneswar, Aug. 22: The local urban development authority is planning to develop two more affordable housing projects at Gadakana and Nakhara.

The one at Gadakana will be developed on 3.82 acres, while the Nakhara plot is of the size of six acres.

The Bhubaneswar Development Authority has already taken up three such housing projects at Shanti Nagar and Chandrasekharpur.

The projects will be executed under the state government's Housing for All scheme. Like the other three projects, these two projects will also be executed in the public-private partnership mode where the developer will get 65 per cent of land for the project to build houses at its own cost. However, the developer will also get the rights to use the remaining 35 per cent land for commercial or other purposes.

"This model is proving to be a hit, and many developers are evincing interest in these projects," said vice-chairman of the development authority Krishan Kumar.

There will be four-storey buildings at Gadakana, while details of the Nakhara project are yet to be finalised. The exact number of flats to be built has also not been decided yet.

Sources said that after the initial design, the development authority would float a tender to select developers for the projects.

"It is a welcome step by the state government to develop more affordable housing projects to rehabilitate us. Even if the government helps us in getting bank loans, the cost of the houses should be affordable," said Niranjan Jena, a resident of Behera Sahi slum.

The development authority plans to create a stock of about 6,700 affordable houses in its housing projects at Shanti Nagar and Chandrasekharpur, while the new projects at Gadakana and Nakhara would add 1,500 more such dwelling units. The cost of the dwelling units varies between Rs 10 lakh to Rs 15 lakh.

Real estate developers also seemed to be upbeat about the proposal. "This model of developing the houses in the public-private partnership mode has already been in practice in states such as Gujarat and Maharashtra. Odisha has done a good thing by taking this approach," said real estate developer Sangram Nayak.

Nayak, however, said the administration should consider awarding the tender to a local developer instead of inviting bigwigs from out of the state. "We know the demand and the need of the people here. We can develop the houses keeping in mind the local needs. The authorities should give us a chance in such projects," he said.

The real estate developers also find the new way of executing the project quite beneficial. "The initiative will not only provide affordable houses to the urban poor, but also allow people to get good infrastructure when they seek to construct their own houses," said Nayak earlier.