Address by Governor at the CREDAI – MCHI Golden Pillar Real Estate Awards function in Mumbai

Address by Shri CH. Vidyasagar Rao, Governor of Maharashtra at the CREDAI – MCHI Golden Pillar Real Estate Awards function at The Dome, NSCI, Sardar Vallabhbhai Patel Stadium, Worli, Mumbai at 6.30 PM on Saturday 5th May 2018

Smt Amruta Fadnavis, Shri Prakash Mehta, Minister for Housing, Shri Subhash Desai, Minister of Industries and Mining, Shri Mangal Prabhat Lodha, MLA, Shri Mayur Shah, President, CREDAI – MCHI, Shri Sukhraj Nahar, Honorary Treasurer and Chairman, Awards Committee, Shri Dominique Romell, Honorary Secretary, Shri Nayan Shah, President – Elect, CREDAI – MCHI, Shri S S Hussain, CEO, MCHI, distinguished members of the Awards Jury, members of the Real Estate fraternity, recipients of various awards, members of MCHI, government officials, ladies and gentlemen,

Good evening and greetings to you.

This is a gathering of the ‘Who’s Who’ of Indian Real Estate industry, and I am indeed delighted to be in your midst. I congratulate you for your role in building cities and smart cities, and thereby contributing to the process of nation-building.

At the outset I congratulate CREDAI – MCHI for instituting the Golden Pillar Awards and honouring excellence in various fields associated with the Real Estate development, in and around Mumbai. Recognition from CREDAI – MCHI definitely carries a prestige and pride with it, and I am sure, this event will emerge as the most coveted event in the world of real estate.

I congratulate all the recipients of the Golden Pillar Award for their outstanding achievements and accomplishments. I also congratulate every person who has worked with you.

I also congratulate the distinguished members of the Selection Jury who have nominated and selected the best nominees for various awards.

As the apex body of developers in Mumbai and the Mumbai Metropolitan Region, the Maharashtra Chamber of Housing Industry has always endeavoured to provide housing solutions to the Mumbai region apart from recommending infrastructure development of Mumbai. MCHI deserves kudos and compliments for its services to its members and for striving to make housing affordable to all.

I was going through the letter-head of MCHI and I noticed that there were in all 46 names of office bearers of the Managing Committee of CREDAI – MCHI for the year 2017 – 18. However, out of these 46 members, I did not find a single woman in the Managing Committee. I understand that MCHI has a separate Women’s Wing and also a Youth Wing. However, I would urge and appeal to MCHI to include women members in the Managing Committee.

Ladies and gentlemen,

Gerald Aungier, who was the second Governor of Bombay appointed by the East India Company, was deeply impressed when he saw the beautiful islands of Mumbai for the first time. The year was 1670. Amazed by the beauty of Mumbai, he exclaimed that Mumbai is the city, which by God’s assistance, is intended to be built.

How prophetic he was !! Mumbai has since transformed itself, to become the financial capital of India. The population of Mumbai islands was just about 10,000 when Aungier saw it. Today, the population of Mumbai and adjoining regions has reached 2 crore !! The city has become an international city, making huge contribution to the nation’s economy.

Unlike other major cities of the country, Mumbai Region has constraints of space. According to one statistics, the population density of Mumbai is approximately 73,000 per square mile, which makes Mumbai one of the most densely populated cities in the world. The city cannot grow horizontally. The only way it can grow is vertically. But vertical growth is making the prices of houses touch the sky.

According to the Bloomberg Global Housing Affordability Index, out of the top 20 cities with least affordable housing, relative to income, Mumbai is the fourth least affordable cities in the world.

We need collective thinking to make housing in Mumbai affordable and inclusive.

It is a fact that nearly 40 per cent population of the city lives in slums. The solution lies in promoting affordable housing and smart re-development of existing spaces.

The Real Estate sector has to play a predominant role in addressing the needs of the low income population. I am sure, the state government, bodies like MCHI and real estate industry can together address the challenge effectively.

The Hon’ble Prime Minister of India has accorded high priority to the housing sector and has set an ambitious goal of ‘Housing for All’ by 2022. Under the Pradhan Mantri Awas Yojana, the government of Maharashtra has built 4 lakh houses and wants to build an additional 12 lakh houses by 2019. I am glad to note that the Association has signed an MoU with the government to build 2.5 lakh affordable houses for Mumbaikars.

The Real Estate industry has its own challenges. I endorse the view that availability of land, relaxation in development norms, one-window approvals, ease of doing business, faster approval for affordable housing projects, clear definition of affordable housing etc need to be addressed on priority. Banks can play an enabling role in the housing sector by offering loans to home buyers on low interest rates.

Dear friends,

The Real Estate sector is the second largest employer in India, next only to agriculture. The contribution of this sector to the national GDP is very high. The sector is expected to grow by 30 per cent over the next decade. The Real Estate industry has witnessed positive transformation with MahaRERA. I want MCHI and the Real Estate fraternity at large to make all out efforts to protect the interests of customers at all costs.

When a person buys house, he invests his entire life’s savings. I want each one of you to give confidence to the customer. Timelines must be observed scrupulously. There are black sheeps in all professions. Those who are cheating customers must be blacklisted. I will appeal to MCHI to create customer awareness about housing issues and promote ethical behaviour among members.

Ladies and gentlemen,

FDI is coming in the real estate sector in a big way. It is high time that Indian Real Estate industry increases its competitiveness by laying thrust on quality, excellence and affordability. The Real Estate industry must invest in innovation. I will appeal to MCHI and the industry to work closely with universities in Maharashtra and promote skill development in a big way.

We often appreciate cleanliness and discipline in other countries. Why can’t we make Mumbai beautiful. I want Real Estate Developers and housing societies to adopt localities and maintain those localities clean and green.

With these words, I congratulate CREDAI – MCHI and to each one of you for your services to the nation. I convey my felicitations to all the Golden Pillar Awardees. I wish you the very best in your future endeavours.

Jai Hind ! Jai Maharashtra !!