TNHB to build township with private sector

The Tamil Nadu Housing Board (TNHB) will join hands with the private sector to develop housing colonies and townships in the state.

P Rama Mohan Rao, chairman and managing director, told Business Standard that since the Tamil Nadu Housing Board Act had been amended, the board could now work with the private sector. He added that this would also give confidence to the private sector to work with TNHB.

Rao said TNHB had huge land banks across the state where townships could be built. To start with, it plans to build townships in Chennai, Madurai, Trichy and Coimbatore along with the private sector.

In Chennai, it plans to a build township over 500 hectares in Poonamalle while in Madurai, the township may come up over 700 hectares.

"Our focus will be on lower middle-class and retired people who will invest Rs 15-20 lakh in housing. There is a felt need in these segments. They neither want nor can afford over 1,000 sft flat," Rao added.

The state offers great opportunities for the private sector in tier II and tier III cities. By the year 2009, most of the towns will be connected through the national highways. This is expected to boost the growth of the economy in these cities and demand for housing will also increase, he added.