Hiyaa Flats developed in Hulhumale' Phase II: HDC orders owners to evict if social housing units have been rented out to expats. (Sun File Photo)
Housing Development Corporation (HDC) has directed owners of social housing flats developed in Hulhumale’ who have rented out their units to expatriates to evict them.
In a statement issued on Wednesday, HDC said it had observed that some government-issued flats were being rented out to expatriates.
The Corporation has instructed owners of these flats to evict the expatriates before January 3rd, warning that failure to do by the date will result in the cancellation of the flat agreements between the owners and the Corporation.
HDC urged to comply with the agreement executed with the Corporation.
Many social housing flats issued by the government are rented out to both locals and expatriates at a high prices – an issue that has garnered huge public backlash. Notably, recent advertisements to sublease flats developed by Fahi Dhiriulhun Corporation (FDC) under the ‘Gedhoruveriya’ housing scheme despite the handover process being in progress has prompted FDC to issue a warning that units that are subleased will be confiscated.
Earlier, Housing Minister Dr. Abdulla Muthalib stated that the government intends to prevent the subleasing of flats issued under social housing schemes, even if doing so requires amendments to the law.
One of the main reasons the issue has sparked significant backlash is that each administration offers substantial concessions for flats under social housing schemes, such as reduced rent, yet these units are still being rented out to third parties at high prices.