MUDA scraps affordable Group Housing Scheme
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MUDA scraps affordable Group Housing Scheme

April 27, 2025

MUDA backs out of ambitious middle-class housing scheme despite 26,000 applications in demand survey

By S.T. Ravikumar

Mysuru: The dreams of countless citizens hoping to secure a site or house in Mysuru have once again been shattered as the Mysuru Urban Development Authority (MUDA) has decided to call off the Group Housing Scheme. Despite farmers parting with their lands for urban expansion and despite the creation of planned residential layouts, MUDA has failed to fulfil its primary mission: Allocating sites fairly.

Applicants, who have dutifully waited for years and applied multiple times, were promised site distribution based on seniority (number of attempts) and eligibility. However, the dream of building a home remains elusive for thousands.

Instead of conducting spot inspections of applicants’ residences to verify whether they truly lack a home — and whether they or their parents or spouses already own property elsewhere in the State — MUDA has allowed loopholes to prevail, leaving eligible citizens disillusioned.

Earlier, acquiring land for forming layouts was relatively simple and cost-effective. However, following the 2013 amendment to the Land Acquisition Act, the process has become increasingly complicated.

Hefty compensation mandated for landowners — combined with the soaring costs of developing layouts — has made it impossible to allot sites to the public at affordable rates.

Why Group Housing Scheme?

With skyrocketing land prices making it impossible for MUDA to purchase even an inch of land around Mysuru, the Authority came up with a bold solution: Construct multi-storeyed apartment complexes on lands of 5, 10 and 12 acres.

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The plan was to build between 300 and 400 one, two and three-bedroom Group Housing units in each complex, offering them to the middle class at cost-effective, no-profit-no-loss prices.

MUDA had prepared a Detailed Project Report (DPR) for this scheme by spending crores of rupees — taxpayers’ money. The plan was approved by MUDA’s Board and received administrative sanction from the Government as well.

Overwhelming public response

During a Group Housing demand survey conducted by MUDA, as many as 26,000 applications poured in from people, firmly establishing that there is intense public demand.

Encouraged by the overwhelming public response, MUDA drew up grand plans to build a 12-storey residential complex in Vijayanagar Fourth Stage, Second Phase.

Using shear wall technology, the Rs. 250-crore project aimed to construct and allot 560 housing units. MUDA had even earmarked Rs. 40 crore for the project in 2024-25 budget.

While 26,000 applications were received just for housing units, a staggering 80,000 applications have been pending for MUDA sites for the past 30 years and many applicants have passed away.

Recognising the impossibility of acquiring new land from farmers at today’s sky-high rates — and the unaffordable costs involved in developing layouts under the 50:50 formula — MUDA had shifted focus to building Group Housing on the land it already owned.

However, even this ambitious plan has now been quietly buried. This year’s MUDA budget makes no mention of the Group Housing Project.

Only for publicity

Ironically, MUDA had proudly showcased a model of the proposed high-rise apartments during the grand Dasara Vijayadashami procession and continues to display it at its JLB Road premises — a silent reminder of what could have been.

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Before planning this project, MUDA officials had even visited similar multi-storeyed housing complexes built by the Bangalore Development Authority (BDA) in Bengaluru, gathering detailed information with the intent of replicating that success in Mysuru. Despite the groundwork, the Group Housing dream now stands as a neglected relic.

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