Affordable Rental Housing Complexes (ARHC) Scheme

The Affordable Rental Housing Complexes (ARHC) Scheme addresses the housing needs of urban migrants and economically weaker sections (EWS) by providing affordable rental accommodations. This initiative, launched under the Pradhan Mantri Awas Yojana-Urban (PMAY-U), helps workers like labourers, factory staff, and street vendors find safe and affordable homes near their job locations.

 

The scheme involves converting unused government housing into affordable rental units. It also includes building new housing complexes managed by private and public entities to meet the growing need for rental housing in cities. This initiative offers a dignified living environment while easing the housing costs for low-income groups.

The Affordable Rental Housing Complexes (ARHC) scheme is a sub-scheme under the Pradhan Mantri Awas Yojana (PMAY). While PMAY primarily focuses on home ownership, ARHC specifically aims to provide affordable rental housing.

 

The sub-scheme was necessary to be added under PMAY scheme for the below reasons:

High Migration Rates

Urbanisation has led to increased migration of workers from rural to urban areas, creating a demand for affordable housing near workplaces.

Limited Affordable Housing Options

Many urban migrants struggle to find safe and budget-friendly housing, often turning to overcrowded and substandard accommodations.

COVID-19 Impact

The pandemic highlighted the vulnerability of urban workers, particularly their lack of access to stable housing during crises.

Economic Growth and Urbanisation

With cities serving as economic hubs, the scheme supports inclusive urban growth by accommodating the workforce's housing needs.

Utilisation of Vacant Properties

Converting unused government housing into rental units ensures better resource utilisation while addressing the housing shortage.

Here are some key objectives of the ARHC scheme:

• Provide affordable rental housing for urban migrants and low-income groups

• Promote inclusive urban growth by ensuring access to housing near workplaces

• Convert vacant government housing into affordable rental units

• Encourage private sector participation in building and managing rental housing

• Support urban employment by offering housing close to industrial hubs

• Reduce housing shortages and overcrowding in cities

• Improve living standards for economically vulnerable groups

• Affordable Rental Housing

The ARHC Scheme aims to provide affordable rental housing specifically for urban migrants and low-income groups

• Conversion of Government Housing

The scheme facilitates the conversion of existing vacant government-funded houses into rental complexes

• Concession Agreements

States and Union Territories (UTs) will appoint concessionaires to repair and renovate houses, ensuring essential services such as water, sanitation, roads, and electricity are addressed

• Special Incentives for Entities

  • Concessional project finance under the Affordable Housing Fund (AHF) and Priority Sector Lending (PSL)

  • Tax and GST relief on profits generated from ARHCs

  • A streamlined single-window approval process within 30 days

  • Provision of trunk infrastructure up to the project site

  • Municipal charges aligned with residential property rates

  • Adjustments in 'Use Permission' as necessary

  • Up to 50% free additional Floor Area Ratio (FAR) and Floor Space Index (FSI)

• Provides a dignified living environment for urban poor and migrant workers, improving their quality of life

• Supports a sustained workforce by ensuring housing is available close to industrial hubs, thereby increasing productivity in urban areas

• Enables effective use of vacant government-funded houses, contributing to economic productivity

• Strengthens municipal finances through rental income generated from these complexes

• Promotes the effective utilisation of vacant lands through collaboration between private and public entities

To qualify for the Affordable Rental Housing Complexes (ARHC) Scheme, the following conditions must be met:

• Your household’s annual income should range between ₹3 and ₹6 Lakhs

• You should belong to the Economically Weaker Section (EWS) or Low-income Group (LIG) category

• You must be an Indian resident and at least 18 years old

• PMAY-U beneficiaries without a house in the same city and those working as migrant labourers are also eligible

To apply for the ARHC Scheme, you will need the following documents:

• Aadhar card or any government-issued photo ID proof

• Proof of income, such as salary slips or income certificates

• Address proof, like a voter ID, utility bill, or rental agreement

• Proof of employment or occupation, if applicable

• A self-declaration form confirming eligibility under the scheme

• Bank account details for verification

• Passport-sized photographs

Follow these steps to log in to the Affordable Rental Housing Complexes (ARHC) portal:

 

1.Visit the official ARHC website https://arhc.mohua.gov.in/Launch-of-ARHCs.html 

 

2.On the homepage, click on the ‘LOGIN’ option in the Main Navigation Menu

 

 

3.Enter your username and password in the respective fields

 

4.Complete the captcha verification to confirm your identity

 

5.Click on the Login button

 

If the information you provided is correct, you will be able to access the ARHC portal.

You can easily register for the scheme by visiting the official ARHC website. Follow these steps:

 

1.Open the official ARHC website http://arhc.mohua.gov.in/

 

2.On the homepage, select the ‘REGISTRATION’ option from the Main Navigation Menu

 

 

3.Once the new page appears, click on ‘Register’ again

 

4.Fill out the application form with your personal details as required

 

5.Complete captcha verification to validate your identity

 

6.Click on the Submit button

 

Once the form is submitted successfully, your registration for the scheme will be complete.

To view the progress report for the Affordable Rental Housing Complexes (ARHC) Scheme, follow these steps:

 

1.Visit the official ARHC website at http://arhc.mohua.gov.in/

 

2.Click on the ‘DASHBOARD’ option in the Main Navigation Menu on the homepage

 

 

3.From the drop-down menu, select ‘Progress Report’ and then click on ‘MoA Signed’

 

4.The subsequent page will display a list of states and union territories that have signed the Memorandum of Agreement (MoA) for the scheme's implementation 

The ARHC Scheme is designed to benefit the following groups:

• Urban migrants working in the informal sector, including factory workers, labourers, and street vendors

• Individuals belonging to either EWS or LIGs

• PMAY-U beneficiaries who do not own a house in the same city

• Workers in construction, industrial, and service sectors who require housing near their workplaces

The Affordable Rental Housing Complexes (ARHC) Scheme is implemented through two distinct models:

Process Flow Model 1: Conversion of Existing Government-funded Vacant Houses

Under this model, government-funded vacant houses will be converted into ARHCs through Public-Private Partnerships (PPP) or by public agencies.

 

Here is the follow process:

1. Inventory of vacant houses is identified

2. Affordable rent is fixed on a city-wise basis

3. Request for Proposal (RFP) is issued

4. Proposals are submitted by interested entities

5. Financial evaluation of proposals is conducted

6. Concessionaire is selected

7. Approval is obtained from the State-Level Appraisal Committee (SLAC) or State-Level Sanctioning and Monitoring Committee (SLSMC)

8. The site is handed over to the selected concessionaire

9. Work commences on renovating and operationalising the houses

Process Flow Model 2: Construction, Operation, and Maintenance of ARHCs on Vacant Land

In this model, public or private entities construct, operate, and maintain ARHCs on their own vacant land.

 

Here is the process:

1. Expression of Interest (EoI) is issued

2. Applications are submitted by interested parties

3. Technical evaluation of applications is carried out

4. Detailed Project Report (DPR) is submitted

5. Approval is obtained from SLSMC or the Central Sanctioning and Monitoring Committee (CSMC)

6. Statutory approvals are acquired

7. Work begins on constructing and operationalising the complexes