Hiyaa flats’ monthly rent slashed to MVR 5,300 for seven years

The government has officially announced their decision to slash the monthly rent of Hiyaa flats, developed in Hulhumale’ Phase II, to MVR 5,300 for a period of seven years.

Speaking at a press conference held at the President’s Office on Thursday, State Minister for Housing Akram Kamaluddin said Hiyaa flats’ rent has been slashed to MVR 5,300 for a period of seven years as part of efforts to provide easements to tenants by extending the payment period by two years.

“The rent has not been decreased, but rather the payment period has been increased,” he stressed.

Urbanco’s Managing Director Ahmed Athif who explained the changes brought to rent payment during the press conference detailed that MVR 2,200 has been decreased from the monthly rent of MVR 7,500 paid over 25 years; a change only applicable for a period of seven years.

Therewith, tenants will have to pay MVR 5,300 as monthly rent for a period of seven years. This was not a change brought by decreasing the rent, but rather increasing 25-year payment period to 27 years.

With a monthly rent of MVR 7,500 and a maintenance fee of MVR 1,000, Hiyaa Flat tenants presently need to pay MVR 8,500 each month.

The rent has been decreased after multiple appeals by tenants to decrease the rent.

The previous administration had decided to set the monthly rent of Hiyaa flats to MVR 5,600. The social housing units were developed during the administration. This prompted tenants to protest to lower the rent when it had initially been announced by the current administration.