AWHO: Now and Future

I have the March 2009, newsletter from Army Welfare Housing Organization (AWHO) in front of me. The newsletter has three main features, that is
(a) Maj Gen Mohan Singh retires after serving for eight long years as the Managing Director.
(b) During last 10 years (read outgoing MD’s tenure) the AWHO has constructed as many houses as it did during preceding 10 years.
(c) The newsletter also effectively admonishes the members for being too demanding.
Now for a little reality check.
(a) During last ten years the AWHO failed to buy even an inch of land in sought after places like Panchkula, Gurgaon, Banglore, Mumbai and Pune. The projects now underway at these places are on the land purchased long-long back.
(b) During the same period many group housing societies of central/state employees have purchased land at market price and built quality houses. For example a Group Housing Society made up of certain categories of Haryana Government Employees bought two acre site from Haryana Urban Development Authority at market rates in the year 2003 and despite delay in starting the construction because of some legal hassles, it is delivering 2250 sq ft flats with two covered parking at a cost of Rs. 4200000/-. Compare that with any AWHO project of similar specifications and you would know the reality.
(c) Present state of AWHO is amply clear from it’s own admission that it has doubled in 10 years. Compare that to other builders who have expanded manifold during lesser period.
Way Forward
Friends, the fact is that AWHO of today is nothing but a construction agent with an attitude! There is no vision, no desire to deliver! So what to do? We have two options.
(a) Option-I. Drop the misnomer called `Welfare’ and rechristen it as Army Housing Organisation. Pressurize the Board of Governors/Adjutant General to reconstitute the management in keeping with the principles of corporate governance, wherein:-
(i) All of us (including OR) have the option of becoming share holders from the day we join the Army.
(ii) The management is responsible for the demonstrated performance of the company based on set targets.
(iii) It functions in a transparent manner.
(b) Option –II. Create Group Housing Societies in the cities of choice. Take land from government agencies at market rates and construct houses for ourselves. Believe you me. It is possible and cost-effective. My preliminary survey shows that a Group Housing Society can buy land at a price of Rs. Five Crore per acre and still give highest possible quality construction and A1 facilities at Rs. 50 lacs for a 2250 sq ft super built up area flat. As you all know Five Crores will get you one acre of land in high-end suburb of metros.
While Option-II is quite workable for officers, I still feel that revival of AWHO as AHO is preferable to ensure quality housing for our OR as well.