1.1 infrastructure, etc. Almost 65.5 million Indians live


2011, 377.10 million (31.16%) out of a total population of 1,210.98 million
people lived in urban areas of India. The growing population in urban areas has
caused; housing shortfalls and land shortages, which in turn impacts on the
shortage of water, power and open spaces in cities (On. Point, 2017). Migration
is the key process of driving urbanization. Migration of people from rural
areas to urban area is because of a better lifestyle, employment, education,
infrastructure, etc. Almost 65.5 million Indians live in urban slums due to
disorder urbanization according to the country’s 2011 census (Singh, 2017).
India contains 17.5% of world’s total population and it’s increasing at the
rate of 1.4% annually. It is one of the fastest growing economic countries in
the world with 7.3% economic growth rate in September 2016.  The Real estate sector is one most important
sources of its economic growth (Jagdale, 2014). 
As such, the Indian Government has proposed that around 20 million
affordable houses need to be constructed by 2022.  In most of the major cities, housing cost is
increasing but on the other hand, Incomes are not at the same rate. Due to the
lack of investment, Government couldn’t fill the gap between demands and supply
(Salama and Alshuwaikhat, 2006). There were many previous attempts by the
governments such as “The Slum Redevelopment Program” to bring a better standard
life to those people are living below poverty line. In the past two decades
there were two national policies to provide housing solutions for all urban
slum residents, Basic service for the poor (BSUP) From 1996-2002 and National
slum development (NDSP) from 2006-2012. 
In the first policy, basic service for the poor (BSUP) concentrated on
tearing down and rebuilding slums to give better lights, hot water and heating
but unfortunately, that would have high social cost by uprooted entire
neighborhood (Patel, 2013). In the second rebuilding model, National slum
development (NDSP) wanted to provide an upgraded model to give adequate sewage disposal,
clean water, and a proper title to land, but this rebuilding model drew
criticism because it needed high upfront cost (Sustainability.umich.edu, 2017).

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newly elected Indian government has set yet another initiative to provide homes
to families in India living in slums or below poverty line (Salama and
Alshuwaikhat, 2006).



investigate the socio-economic impact of sustainable affordable housing
‘Housing for all mission’ on people in slums.



are following important objectives of this dissertation:

•    Analyze the current social and economic
positioning of slums in India.


•    To define a sustainable affordable housing
in the context of “housing for all project 2022”.


•    To investigate the impact of “housing for
all” mission on India’s economy.


•    To evaluate the perceptions of the
residents within the slums on the government’s project “housing for all by


•    To evaluate the perceived impact of this
project on their lives socially and economically.



housing is defined, as the total cost of the house is deemed affordable to the
group of people within a particular income range. Affordable housing considers
for those people who live in slums and deserve better in aspects of facilities,
hygiene, better community and affordability of the occupier (On.Point, 2017).

housing has to be defined on the basis of four criteria:



in major cities architects don’t have that much choice to expand their design,
so they just have to design vertically because of lack of space it can be
commercial or residential but this affordable housing concept have an
additional volume standard, which gives flexibility to architect so that they
can work on vertical planning of dwelling unit as well (Bajracharya et al.,



some builders or contractors, Affordable housing is just to provide minimum
area and with minimum cost considerations by the provision of basic amenities
such as: Water supply, sanitation, and power but the provision of amenities
such as healthcare facilities, parks, and schools in the neighborhood are very
important (On. Point, 2017).


1.3.3    COST OF HOUSE –

considering the affordability of buyer, affordable housing should also consider
the maintenance cost of the dwelling unit along with the purchase cost by using
sustainable features, which would decrease the cost of the dwelling units (Salama
and Alshuwaikhat, 2006).



housing should build reasonable distance from city center, which can easily
connect by public transport like buses, train etc.  If affordable housing were constructed far
from the city than it would cost more because of transportation cost (Nedwick
and Burnett, 2015).


(On. Point, 2017)


Project Managers
have adopted low-cost construction and innovative technologies to deliver
low-cost housing (Nair, 2006). According to Global impact article series, 65
million of Indian peoples all living in Poverty. In Mumbai and Delhi, poor
people live in slums where they live in without proper Sanitary infrastructure
and clean water that’s why Indian government has proposed new program Mission
2022 housing for all. According to the experts, around 18 million households in
need of low-income housing. In India, high construction cost and lack of urban
land are the main reasons of increasing slum population in major cities Such as
Mumbai, Delhi, and Bangalore etc. According to the experts by 2025, 42% of
India’s population will be in urban cities (Key Recommendation Sustainable
Housing for Masses, 2013). Currently, out of 110 000 slums areas, 50% have no
drainage and also 34% don’t have excess to toilets because of lack of
sanitation infrastructure. Affordable housing is the first major step by the
Indian government to give a basic standard of living for every person of the
country (Lu-Hill, 2017).



In many
countries, sustainable low-cost housing has been an important topic of
government’s policy. Sustainable affordable housing is it about the
environment, ecology, technology, community sustainability, social cohesion,
and citizen participation (Salama and Alshuwaikhat, 2006). In India, pollution
and construction waste are the major problems, people migrate from rural areas
to the urban areas for better employment and a better life. Nowadays, the
government is concern about the environment and suggesting private builders to use
sustainable techniques and methods to help the environment (Chandra, 2015).

pollution is one of the main reasons for climate change; building construction
industry contributes a huge amount of pollution with high levels of greenhouse
gas emissions. In recent years green building technology has become more
popular in developing countries such as in India, Green technology construction
has to be affordable in the developing countries, during the next 20 years
around 70 million new urban housing units will require according to the
estimation (Addressing climate change with low-cost green housing, 2011).

In construction
industry by using the right sustainable techniques and methods, it can reduce
the impact of the construction industry on the natural environment. In India,
over the next 10 years offices, commercials, and hospitality sectors are poised
to grow at 8% annually; on the other hand, the retail sector is growing at 8%
per annum (Gray, 2017).

Nowadays, there
are so many technologies to construct sustainable affordable housing that is
cheaper and affordable by poor people. In the construction industry, there are
different types of important and valuable environmental resources such as
minerals, wood, water, and energy play an important role in construction
project (Gray, 2017).






People are
moving from rural areas to the urban areas in high density because of better
employment and good life. Land shortage is the result of migration and that
increase the price of land in major cities. Population in slums is also
increasing rapidly due to the urbanization (Hindman et al., 2015). Impact of
urbanization is in all over the states of India especially Maharashtra, Uttar
Pradesh, and Gujarat etc. first time in Indian history it is estimated that
more population in larger states such as Maharashtra and Gujarat are living in
cities rather than in villages. According to the estimate, Mumbai and Delhi
will be among top five largest cities in the world by 2030. India will have 6
megacities with more than 10 million people by 2030 (Sankle et al., 2010).


1.5.2      DELAY

To start a
construction project in India, around 50 departments of central and state
government and municipal bodies need to give approval to real estate
developers. Delays increase 25-30 % of project cost. There should be better
co-ordination between multiple authorities to approve project without being
delayed so that real estate developers want to invest in affordable housing
segment (On.Point, 2017)



Cost of
affordable housing is directly depending on the cost of construction whereas;
in premium residential projects cost of the house depends on land cost (Mansur,
Hamid, and Yusof, 2016). In recent past years, 20-25 % of price escalation
depends on raw materials such as sand, steel, cement, and bricks etc. (Hindman
et al., 2015).



In India, there
is a shortage of skilled manpower, which affects cost and delivery of
affordable housing projects. Indian government should take some important
decisions about to give job training for future demand of the construction
sector (Key Recommendation Sustainable Housing for Masses, 2013).



Real estate
developers are also facing funding challenges due to the new bank financing
policies, it’s very difficult for real estate developers to fund the project
and leaving them to high-cost finance options such as private equity (PE) and
non-banking financial companies (NBFCs).





There are many
taxing agencies in India, because of which taxability of real estate
transactions in India has always been a matter of litigation and dispute. State
government, union government and local authorities are authorized to impose
different types of taxes on the developers (Hindman et al., 2015).




BY 2022  –

This program
“housing for all” has started in 2015. Indian project has four major
components: To create sustainable affordable housing by public-private
partnerships, Affordable housing through a credit-linked interest subsidy,
Involvement of private developers in slum rehabilitation, Beneficiary led
individual House construction (Housing for all, 2015). According to experts,
more than 42% of India’s population will be urban by 2015. In India, the
standard of public services offered by the government is not enough in slums
such as 34% have no public toilets, out of 110,000 slum area 58% have no
drainage, in slum areas two power outages occur each day. Due to insufficient
sanitation infrastructure, there are some health concerns in slum areas such as
the spread of infectious diseases and stunted growth in a child. Sustainable
affordable housing is the first step by the Indian government to establishing
and sustaining a basic and good standard for every household in India (Lu-Hill,
2017). Private developers will play an important role in “housing for all
mission by 2022”. In this project, the critical concerns in redevelopment,
water supply, infill development (unauthorized colonies) and power, which is
under severe stress. These are required strategic interventions:

•    Enhancing organizational efficiency.

•    Preparation of services plan for slum
rehabilitation, redevelopment, social housing     and regularization projects.

•    15% to 20% of water and power supply can be
saved by checking for leakages, thefts and transmission losses.

•    Mandatory adoption of renewable energy,
wastewater recycling, water conservation. According to ECBC green building
code, 10% to 15% of water and energy can be saved (Sharma and Sen, 2016).


Housing for all
scheme will implement to entire urban area, which consists 4021 statutory towns
with main focus on class I cities that will implement in three phases such as:
Phase 1 (April 2015 – March 2017) to cover 100 cities from states, Phase 2
(April 2017- March 2019) to cover additional 200 cities and phase 3 (April
2017-March 2022) to cover all the remaining cities (Pib.nic.in, 2015).


1.7 Case studies –

U.S. Housing Act
of 1949:  In late 19th and early 20th
centuries, some housing act has been passed but their scope in terms of
construction was very small. At the end of World War II, America’s housing
condition was not good (Freeman, 1996). 70 years ago in major cities such as
New York City and London were interspersed with squatter settlements. In the
United States, New York’s Chinatown was one of the first slums, before 70 years
United States goal has a parallel with the goal of India’s housing for all
mission 2022. Developing countries like India can adopt good ideas for the
policymakers from developed countries such as the United States. Their aim was
to construct 810,000 units of public housing by 1955 and provide low rent
public housing with a decent home to every American family. It also provided
loans to build public housing with low construction cost caps (Hindman et al.,
2015). In September 1945, President Truman introduced a housing bill but the
housing bill 19545 defeated but eventually with the new modifications become
1949 act. According to 1948 Act, American had to build 135,000 units per year
for the next 6 years starting in 1950. In 1961, John Kennedy’s housing act 1961
had two main aims: It expanded housing for low and moderate-income families
while decreasing the cost of housing credit. In 1990, there were around 1.40
million housing later on in 1995 it reduced to 1.25 million units (Freeman,
1996). 1949 Act was delayed for 20 years to construct all housing units. To
create public amenities and commercial places around 57,000 acres of the pure
residential area was redeveloped, in which 15% of the area was used for
industrial purpose, 35% was used for residential, 11% was used for public
spaces, 27% used for streets and 13% used for commercial spaces. Efficient land
use was the main achievement of their redevelopment program (Hindman et al.,


ACT OF 1949 –


•    Construction of quality housing units by
effective agencies – Local government hired private sector developers to
construct social housing but the quality was not good as compare to the
government agencies which faced more public scrutiny tend to deliver good
quality results.

•    Provide an area for livelihood – many
organizations were against high-rise public housing buildings and for turning
horizontal slums into vertical slums were criticized by many organizations.

•    In-situ redevelopment will minimize
relocation – government tried to minimize relocation so that the people didn’t
have to suffer, it also focused on using cleared up land to construct more
housing units in that area to minimize the relocation. (Hindman et al., 2015).


1.8 Structure of the
research –

There are five
chapters in this research, which comprises the following:


Chapter 1: Introduction


In chapter 1
there is an Introduction in which it is discussed about the overall summary of
this research. The background of the study is mentioned as relating to the
urbanization of India and the living conditions of the people those are living
in the slums in India. Aim and objectives of this research is also mentioned in
this chapter. Challenges of affordable housing, Housing for all project have
addressed in this chapter.





Chapter 2: Literature Review


Chapter 2
contains a review of the relevant literature review. In this chapter, various
studies from the extant literature are discussed. These studies will be
addressing in aspects of aim and objective of this research.  Definition of slum, principles of sustainable
affordable housing project and socio-economic impact of this project on the
country and the people in slums will be the main focus of the literature


Chapter 3: Research Methodology


Chapter 3 is the
research methodology chapter, and presents the research Design, research
philosophy, data collection, sampling method, data analysis process,
reliability and validity and ethical consideration.


Chapter 4: Discussion and Analysis


Chapter 4 is the
discussion and analysis, Both the questionnaire survey and interview results
will be discuss in this chapter by comparing with the literature review. Data
will be analyzed by using a specific data analysis method and findings will be
used to address the aims and objectives of this research.


Chapter 5: Conclusion and Recommendations


Chapter 5 is the
conclusion and recommendation section, which presents the conclusion of this
research by determining the gab between findings of primary and secondary research
and how the finding support the aims and objectives of the research. In this
chapter, recommendations for future will also be provided.