1 AIT Asian Institute of Technology

Closing the housing affordability gap in Dhaka : a proposal for making private sites and services projects affordable to lower middle income households

AuthorYamin, Syed Muhiuddin
Call NumberAIT Thesis no.HS-85-19
Subject(s)Housing--Bangladesh--Dhaka
NoteA thesis submitted in partial fulfillment of the requirements for the degree of Master of Science, School of Engineering and Technology
PublisherAsian Institute of Technology
AbstractDhaka is facing a desperate housing situation because of its rapid population growth with many low-income households. More than 35 percent of the population is living in squatter type housing settlements. There is need to provide these people with adequate, legal and affordable housing as an alternative to their present slum and shanty dwellings. It would be impossible for the government to cope such a massive housing requirement with its limited manpower and financial resources. The private sector has to provide more affordable land and housing. Most households can build their own dwellings if they can get building plots. There is need to close the affordability gap of the private sector sites and services projects in Dhaka. This study focusses on the formulation of a private sector sites and services project to provide adequate, acceptable, legal and affordable building plots for the lower middle income households in Dhaka. That is, for households whose monthly income falls within the range of Taka 1500 to 3000. Two lower priced private sector sites and services projects in Dhaka were examined to ascertain the current standards, cost items and other features of such projects. The areas of possible economies in formulating and designing such projects were identified. In order to ascertain the ability and willingness of the target group to pay for adequate, acceptable and legal serviced plots and also to assess their present housing situation, samples of lower middle income households living in three squatter type settlements were surveyed. The current housing affordability gap was established by comparing these households' ability to purchase with the prices of the cheaper serviced plots currently offered by the private sector developers. The location of the proposed model sites and services project was selected by comparing the merits and demerits of three areas considered suitable, and Mirpur Township was finally selected. To achieve cost economy, plot sizes were reduced according to the varying affordability level of the target group on the basis of simple affordability calculations and their sizes ranged from 500 sq.ft to 850 sq.ft. The site layout was optimized and the appropriate level of services was determined. The selling prices of such serviced plots were estimated and ranged from Taka 20265.00 to 34455.00 each, to give full cost recovery and a 15 percent profit on each plot. The financial arrangements to implement the project and the feasibility of the scheme from the buyers' point of view were shown.
Year1985
TypeThesis
SchoolSchool of Engineering and Technology (SET)
DepartmentOther Field of Studies (No Department)
Academic Program/FoSHuman Settlement (HS)
Chairperson(s)Archer, Raymon W.
Examination Committee(s)Weber, Karl E. ;Kammeier, Hans Detlef
Scholarship Donor(s) Canadian International Development Agency-Broad Based Development Program(CIDA/BBDP)
DegreeThesis (M.Sc.) - Asian Institute of Technology, 1985


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