MHFC Customer ProfilesBhairav Township, Jaipur

Feb 2013

The Government of Rajasthan has initiated several affordable housing projects under the the guidelines of the 2009 Affordable Housing Policy, following the PPP model for construction of homes for economically weaker and lower income sections of society.

One of the big challenges we face is making housing finance available to individual customers purchasing homes in these projects. I greatly appreciate Micro Housing Finance Corporation Limited’s initiative in providing housing loans to EWS and LIG customers.

I look forward to their continued support in financing customers in several of our affordable housing projects, and wish them success in their mission to provide housing finance to the needy and financially excluded.

“Shri G S SandhuAdditional Chief SecretaryUrban Development & HousingGovernment of Rajasthan

bhairav township

affordable housing In December 2009, the Government of Rajasthan introduced an Affordable Housing Policy to encourage the construction of low cost housing, and reduce the housing deficit for low income families (defined as LIG or EWS families) living in urban areas in Rajasthan.

The Policy outlined five different models through which different actors within the affordable housing space, including private developers, the State Housing Board, the Jaipur Development Authority, and a nodal agency (Avas Vikas), could work together to fulfil the Policy’s objectives.

Bhairav Township is a successful example of the 2009 Affordable Housing Policy in practice. Following the scheme highlighted in Model No. 2* of the Policy (private developers constructing affordable housing on land owned by them), the developers (Bhairav Township Pvt. Ltd.) constructed 1 BHK homes for EWS and LIG families in Ramla ka Bas, Jaipur, under the supervision of the Jaipur Development Authority. Project marketing, invitations for applications and booking of flats was undertaken by the nodal agency, Avas Vikas, while provision of peripheral project infrastructure and financing was undertaken by the Jaipur Development Authority.

Consequently, over 4,000 families among Jaipur’s urban poor have been able to purchase newly constructed homes for themselves at extremely affordable prices. MHFC is one of the housing finance companies identified by the Jaipur Development Authority to finance lower income families, particularly from the informal sector, that have been allotted homes in this project, and require home loans to fully finance their purchase.

The following photo essay tells the stories of some of the families that have been able to buy homes in Bhairav Township, with the help of a mortgage from MHFC.

* further details regarding the schemes outlined in the Government of Rajasthan’s Affordable Housing Policy can be found in the 2009 Affordable Housing Policy Report, published by the Department of Urban Development, Housing and Local Self Government, Government of Rajasthan.

As per the Government of Rajasthan’s 2009 Affordable Housing Policy, Bhairav Township offers 1 BHK flats of 325 sq ft and 500 sq ft for EWS and MIG customers respectively.

The flats are priced at `2,40,000 for EWS customers and `3,75,000 for LIG customers.

The project is located in Ramla ka Bas, Jaipur, approximately 25 km outside of the city and well connected by road.

Construction of buildings in Phase 1 of the project is nearly complete; flats are expected to be delivered to customers by the middle of 2013.

bhairav townshipramla ka bas

jaipur

babulal mulchandaniBabulal Mulchandani’s scrap vending business occupies three consecutive garage spaces along a dusty lane in Vidyadhadhar Nagar, Jaipur. A red, hand painted sign on top of the middle garage door reads: “Deepak Old Scrap ke Kreta Vikreta” – Babulal’s dealership, named after his older son, Deepak.

Babulal started off as a scrap collector - going from door to door with a pull cart and collecting scrap that he would finally sell to dealers. He soon realised that dealing in scrap was far more lucrative than collecting it, and decided to open his own scrap dealing enterprise, instead.

It has been 15 years since he started this business, which he now runs with Deepak’s help. They purchase approx `2,500 worth of scrap every day, mainly from local feriwalas, but occasionally from customers who come directly to the garage to sell their junk. The scrap is then sorted based on type, and sold on a weekly basis to the appropriate purchaser (e.g., paper scrap to pulp mills, metal scrap to foundries, etc.). On average, the business brings in approx `15,000 a month - enough to cover their expenses, including the rent they pay for the garages as well as for their home, a single room apartment located a few streets away.

With Deepak turning 20 this year, Babulal jokes about the difficulty of finding a girl willing to marry the son of a scrap dealer – but is proud of the business he has set up. His 15 years of hard work has paid off; Babulal has finally been able to purchase a home for his family in Bhairav Township, with the help of an MHFC loan.

Left: Babulal standing outside his garages.

Facing: Babulal and his family outside Deepak Scrap Vikrete.

scrap dealer

Not everyone understands that even waste can be valuable. “

bamboo straightener

Laxminarayan lives with his wife and 2 sons in a rented single room apartment on the terrace of a two storeyed house off Sikar Road. They share a bathroom with the other 3 families living on the same floor.

laxminarayan sharmaTall stacks of bamboo line a small dirt track just off Sikar Road, which leads to Jai Shree Enterprise’s bamboo processing unit, where Lakshminarayan Sharma is employed. The unit is a large outdoor shed with no flooring, its roof and walls constructed with a mix of kaccha materials like straw, thatch and bamboo.

A big, earthen chulha stands in the middle of the shed, where bamboos brought in by agriculturalists from surrounding regions are reshaped, straightened out from their naturally curved forms into linear rods that can be used for industrial purposes. The bamboos are first subjected to high heat, until they become pliable enough to be straightened out manually. Once straightened, they are finally polished and ready for sale.

As a supervisor of the unit, Laxminarayan earns a salary of `8,000 per month, just enough to pay the rent on the 200 sq ft room he shares with his family, and the tuition bills for his two young sons. Previously, Laxminarayan tried his hand at setting up his own stone trading business, but it never took off, forcing him to sell his stock and shut down the enterprise entirely. At the processing unit, his salary is modest, but is a steady source of income that he can safely rely on to pay the bills, including his children’s education.

Hailing from a small village in Rajasthan’s Bhiwara district, Laxminarayan never had the opportunity complete his schooling, and consequently had limited options to choose from in order to earn a living. He is determined to ensure a better future for his children, one that includes both a proper education, as well as a real home with decent living conditions. He looks forward to finding the latter in his newly purchased flat in Bhairav Township, bought with the help of an MHFC loan.

Right: A stack of bamboos that have been processed

and are ready for sale.

Facing: Laxminarayan at work, standing next to

the chulha and bamboo straightening apparatus.

kishan chand gurnaniLehar Electronics is a small extension of Kishan Gurnani’s family’s home in a quiet residential neighbourhood in Shastri Nagar, Jaipur. Filled with a mix of various home appliances, from radio sets to computers, the shop offers both servicing and repairs, as well as sale of various domestic electric supplies like light bulbs, plugs, etc.

Kishan, however, spends most of his time away from the shop and on the field, providing his services on demand. He has a few regular clients - mainly offices in the Shastri Nagar area that require their coolers to be serviced every now and then - but much of his business comes from local home visits to repair appliances such as mixers, ovens and television sets.

Although it is convenient that his work is currently quite literally, behind his home, Kishan and his wife, Rashmi, are two of the seventeen family members that share the space that they live in. Allotted to his father under a Refugee Quota by the state housing board, the house is shared by both his father and his uncle’s family - and so Kishan decided that when he found both the resources and the right opportunity, he would buy his family a home of their own.

When he heard about the flats on offer at Bhairav Township, Kishan realized that this was his chance to buy a home for him and Rashmi. With decent savings and a steady monthly income of approximately `20,000 in hand, Kishan could afford to buy the flat with a help of a loan from MHFC. The couple have recently registered the flat under Rashmi’s name, and are now looking forward to moving in to their new home.

Left: Lehar Electronics in Shastri Nagar.

Facing: Kishan sitting at the foyer of his electronics shop.

electrician

Kishan’s electronics shop brings in an average income of `20,000 per month; generated in part by servicing and repairs and in part by sale of electronic supplies. `

cycle rickshaw driver

Vasudev earns approx `10,000 per month during peak season, when Jaipur is most visited by tourists. In the summer, when tourist traffic slows down, he sells berries. `

vasudev sindhiJaipur’s Walled City is as much a labyrinth of chaos as it is a maze of delightfully curious Rajasthani antiquity, or so Vasudev Sindhi likes to have tourists believe. He convinces them to let him take them on a cycle rickshaw tour through the city, instead of braving the commotion inside by themselves. His sales pitch usually works - and ends up being a decent source of income for Vasudev, averaging approximately `8,000 to `10,000 per month.

Vasudev’s rickshaw seats only 2 people, but he usually tours in a group of 2 or 3 other rickshaws, frequently at the behest of a local guide. Given that Jaipur is a big tourist destination, Vasudev’s rickshaw business flourishes through most of the year, except in the summer months when temperatures in Rajasthan begin to rise. During the off season period, Vasudev sells an assortment of berries locally, in order to make up for the drop in income from his cycle rickshaw business.

Currently living on rent with his family, Vasudev purchased a flat in Bhairav Township to fulfil a longstanding dream of owning his own home. With the help of an MHFC loan, he has been able to do just that, and is presently awaiting possession of his new 1 BHK flat. In the mean while, Vasudev is in the process of figuring out how to accomplish his next, more recent goal - purchasing a “motor” rickshaw. He claims, however, that even if it does does come through, he will never completely give up his faithful old cycle rickshaw, or the pleasure of showing off the marvels of the walled city to any willing, trusting tourist.

Right & Facing: Vasudev Sindhi and his cycle

rickshaw inside the Walled City, Jaipur

rashid akhtar hussainHussain Medical and Provision Store is a small medical shop located on a mainly residential street in the Bhatta Basti slum in Shastri Nagar, Jaipur. Named after its owner, Rashid Akhtar Hussain, the shop sells medicines and medical supplies locally in both retail as well as wholesale. A small room behind the shop serves as Rashid’s go-down, stocked with supplies purchased directly from the distributors of various pharmaceutical companies, and sold to small scale retailers whose orders are too small to be considered by the distributors themselves.

It has been 5 years since Rashid set up his own business, after the pharmaceutical company he previously worked for wound up their operations in Rajasthan. He works hard from - 9 in the morning until 11 at night - but his long hours have paid off; Rashid’s income has increased substantially over the years. He now earns approximately `5,000 per month from retail sales and `20,000 per month from wholesale transactions.

Rashid lives with his wife, Tuba Khatun, and their two young children, Kashif and Sharin, in a small house in the same slum. He decided to purchase a flat in Bhairav Township so that he would be able to move out of the slum and raise his children in a proper home with improved living conditions. However, depsite earning steady income, Rashid was worried that he would have trouble acquiring a mortgage to help him finance the purchase, primarily because he both lived and worked in Bhatta Basti - a recognized Jaipur slum. Fortunately, he was referred to MHFC for financing, and is now a proud new owner of a 1 BHK flat in Bhairav Township, Jaipur.

Left: Hussain Medical & Provision Store, selling “angrezi” medicines at the right prices.

Facing: Rashid outside his medical store.

medical shop owner

Rashid and his wife, Tuba Khatun, presently live with their 2 children in a small home in Bhatta Basti slum. They hope to improve their living conditions by moving to their new home in Bhairav Township.

general store owner

Abdul currently lives with his wife and family in a joint family system - sharing their living space with 12 other family members.

abdul aziz khanIt is easy to miss Abdul Aziz Khan in his tiny grocery shop in Meerji Ka Bagh, hidden behind the rows of colourful chips, chewing gum and shampoo packets hanging in the front. The 150 sq ft shop is packed with a wide variety of grocery stock - ranging from chips and buscuits, to cosmetic sachets, to packets of milk. Its customers are mainly local, living in or around the Meerji Ka Bagh neighbourhood.

The grocery shop fetches Abdul an income of between `15,000 to `20,000 per month. Apart from the purchase bills issued by his dairy supplier (Saras Dairy), Abdul has no paper records of any of his transactions, particularly his sales, which are entirely cash based. His cash box, emptied every night, is the only record of his sales every day.

Abdul set up his kirana store over 15 years ago, after working for many years as a delivery truck driver in and around Jaipur. The shop is located on the ground floor of the three storeyed building in which he presently lives, with his parents, three brothers and each of their families. The constant struggle for space resulting from twelve family members sharing a single apartment, and the gradually deteriorating living conditions in the Khan family home, are what pushed Abdul into looking for a new place for just himself and his immediate kin.

Bhairav Township’s 1 BHK apartments afforded Abdul the opportunity to buy a flat for his family, improve their living conditions, and most importantly, own their own home. Financed in part by his own savings and in part by a loan from MHFC, Abdul is due to move in to the new flat by the end of this year.

Right: The ground floor area outside the Khan

family residence.

Facing: Abdul inside his grocery shop.

dilipkumar lalwaniWhen Dilipkumar Lalwani was 10 years old, his father took apart a watch in front of him, showed him its various pieces, and explained to him the mechanics behind the art of watch repairing. It is no wonder, then, that nearly 40 years later, Dilipkumar runs a watch shop of his own, selling various time pieces (including watches and clocks), as well as repairing and servicing them.

However, it has only been a few months since Dilipkumar was able to open up his own shop. Until very recently, he worked on a salaried basis for a well established watch shop, Mayur Watch Company, primarily as their watch mechanic. With adequate savings in hand, Dilipkumar thought it was time he started his own business; he decided to take over the watch shop by renting it from its previous owners, and has now started afresh with a new name, a new look for the shop and fresh stock.

Dilipkumar and his family - his wife, Gayatri, and their two children, a son (age 21) and a daughter (age 15) - lived on rent for a few years in an apartment in Vidyadhar Nagar before moving in to his father in law’s home, where they presently live. Dilipkumar has long wanted to buy a home of his own for his family - so when he heard about the affordably priced 1 BHK flats on offer at Bhairav Township, he leapt at the opportunity. With the help of an MHFC loan, some savings, and the earnings from his new business in hand, Dilipkumar hopes to fulfil his home-ownership dreams, and move his family into their own flat by the end of this year.

Left & Facing: Dilipkumar in his newly opened watch shop.

watch shop owner

My father was also a watch mechanic. I started learning how to repair watches when I was 10 years old.

“

marble statue maker

Ramprasad Sharma has run his own marble statue making business for over 30 years in Kartarpura, Jaipur. Receiving orders from across the country, he earns approx `15,000 a month.

`

ramprasad sharmaThe lanes in and around the Kartarpura neighbourhood in Jaipur are coated with a thick layer of white dust, generated by the many marble statue making workshops located in the area. Among these is Ramprasad Sharma’s family owned marble statue making business, a 120 sq ft space with pale blue walls, opening out directly on to a side street. Dozens of marble statues of different shapes, sizes and types, and at various stages of completion, fill up most of the room, leaving just enough space for Ramprasad and his tools to work with.

Ramprasad arrived in Jaipur from his home town in Bhilwara district 32 years ago, and decided to set up a marble statue making workshop on the ground floor of his new Kartarpura home. He started off creating smaller statues for locally sourced orders; now his orders come in bulk, primarily from big retail shops in Jaipur and frequently from other cities in India, as well. After passing on the craft of statue making to two of his older sons (Ramprasad is a father of five), he now jointly runs the workshop with them.

As his business grew over the years, Ramprasad was able to gradually build his savings. With enough money in his account through a steady income from his marble business, Ramprasad decided to purchase a flat in Bhairav Township when the opportunity arose. Although he has a home of his own (shared by 8 family members in a joint family system, with more on the way), Ramprasad feels that the new flat will soon be put to good use - either as a home for him and his wife to retire in, or a new place for one of his many children.

Right: Some examples of Ramprasad’s marble statue

work.

Facing: Ramprasad busy at work in his Kartarpura

workshop.

Micro Housing Finance Corporation Limited# 3 Victoria Building, S. A. Brelvi Road, Fort, Mumbai 400 001

Phone: +91 22 2266 0130 / 0427

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