Housing Development Cooperation’s (HDC’s) Managing Director Suhail Ahmed has said that they cannot reduce the rent of Hiyaa flats any further.
The HDC managing director said this in response to a call to slash the rent to MVR 5,600, from the current MVR 7,500 in addition to a flat management fee of MVR 1,000.
At a press conference held on Saturday to share the latest updates, Suhail said that any further reduction in rent will lead to issues in repaying loan; the loan taken to construct the flats is to be settled within 25 years. He added that the current MVR 7,500 is after providing all possible eases such as establishing the new Home Improvement Loan.
While Suhail said this, Hiyaa Union held a peaceful demonstration on Friday to share their concerns over the current arrangements. The Union made three calls; reduce rent to MVR 5,600, extend grace period to 12 months and deduct MVR 100,000 from the total expense; the latter as the flat owners are required to complete the interior works.
The Union has also submitted a petition to the President's Office, back in June, which is yet to receive a response.
Also as Saturday's press conference, Suhail noted that the period for finishing and furnishing work has been extended until December as per the request of many recipients.
The HDC managing director also stressed that the remainder of the amount taken as a management fee will be reimbursed.
He then highlighted than over 1,000 persons required to present the form to sign the flat agreements have done so and over 300 persons did not show up to the signing although they were invited.
The agreement will be handed over to the flat recipients after it is signed and it is to be noted that a form is to be submitted in order to bring additional changes to the flat.