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Gov't informs Hiyaa flat rent cannot be lowered

The government has informed that the rent of Hiyaa social housing units cannot be lowered, Male' City Mayor Dr. Mohamed Muizzu has said.

The former administration of President Abdulla Yameen Abdul Gayyoom set the monthly rent of the units at MVR 6,600. However, the current administration increased the rent to MVR 11,000 per month and later lowered it to MVR 7,500 after public criticism. An additional MVR 1,000 will be charged as maintenance fees.

The City Council has requested the government to lower the rent multiple times, verbally and in writing.

Speaking to AVAS, Mayor Muizzu said the President's Office has informed that the rent cannot be lowered further. The government had said that the grace period for the units could not be extended either. Muizzu described the decision as an injustice for the country's citizens and said the government would suffer no loss if the rent were lowered.

The former government constructed 7,000 flats in 16 towers in Hulhumale' Phase II for the Hiyaa social housing project. Out of these, 6,720 apartments have been leased for occupancy. The grace period extended by the government would end in January, and flat recipients would have to pay MVR 8,500 per month from then on.

The Planning Ministry and the Housing Development Corporation (HDC) have been discussing extending the grace period. HDC had said no decisions had been made as of Saturday.