The company will launch the flats in the range of Rs 4-10 lakh. "We will launch 10,000 affordable houses in February at a 200-acre township in Indore," Omaxe chairman and managing director Rohtas Goel said.
Asked about the investment, he said the project cost would be about Rs 1,000 crore and the size of the flats would be 350 square feet upwards. Construction would be completed in 18 months.
Goel noted that the company would sell these units at a margin of 10-15 per cent.
In May 2007, Omaxe had announced that it would develop 10 lakh affordable homes for low-income consumers in five years at Rs 80,000 crore (Rs 800 billion). To take its plan forward, it would launch similar projects in Raipur, Rohtak, Sonepat, Chandigarh, Bhiwadi and Ludhiana.
Global meltdown: Complete coverageWhile Omaxe would develop affordable housing in North India, in the south, Mumbai and Ahmedabad, such projects would be launched by a group company 'National Affordable Housing and Infrastructure Ltd', Goel said.
Omaxe would soon launch housing projects at Rs 12-19 lakh at Faridabad, Greater Noida and Ludhiana, he added.
On correction in property prices, Goel said the rates have declined by 10-40 per cent across the country and there is no further scope for reduction.
Stating that sentiment in the market has improved after the stimulus package, he said states should also pitch in to boost housing by reducing stamp duty to 2-3 per cent for the next two years, raising the density norm and offering interest subsidy to buyers.