Context: Ministry of Housing and Urban Affairs (MoHUA) released operational guidelines for the implementation the Affordable Rental Housing Complexes (ARHCs) scheme.


  • Ministry of Housing and Urban Affairs (MoHUA) has launched the Affordable Rental Housing Complexes (ARHCs) scheme under the Pradhan Mantri Awas Yojana – Urban (PMAY-U) as a part of Atma Nirbhar Bharat Abhiyan. 
  • This initiative has been taken up to provide dignified and affordable living spaces for urban migrants/ poor in need.
  • ARHCs will be implemented through two Models:
  • Model-1: Utilizing existing Government funded vacant houses to convert into ARHCs through Public Private Partnership or by public agencies for a period of 25 years.
  • Model-2: Construction, Operation and Maintenance of ARHCs by Public/ Private Entities on their own available vacant land for a period of 25 years. 

Incentives/Benefits proposed for Private/Public Entities

  • To make this a lucrative and viable business opportunity for Entities, Central Govt. will provide:
  • Concessional Project finance under Affordable Housing Fund (AHF) & Priority Sector Lending (PSL), 
  • Exemption in Income Tax and GST and 
  • Technology Innovation Grant for promotion of innovative technologies in ARHCs. 
  • Further, State/UT Govt. will provide, among others, Municipal charges at par with residential property.