Odisha Rental Housing Plan Targets EWS and Slum Growth

Bhubaneswar alone has nearly 450 slums, and Odisha wants to stop that number from climbing. The state government plans to build rental housing for economically weaker section households across its cities, betting that affordable rented homes can slow the spread of informal settlements. The Odisha rental housing push will run under the Pradhan Mantri Awas Yojana (Urban) 2.0 scheme, paired with a new rent law.

Why the slums keep growing

The problem starts with movement. People keep migrating to Bhubaneswar and other urban centres for work, and many struggle to find suitable rented accommodation once they arrive. That gap between arrivals and available housing has fed a steady rise in urban slums, leaving the capital with close to 450 slums today. It is a fast-growing strain in a city that is still expanding.

Housing and Urban Development minister Krushna Chandra Mahapatra has framed the answer around rentals. By building rental homes for economically weaker section households inside planned projects, the state hopes to give low-income migrants a formal place to live rather than pushing them toward informal settlements.

A rent law to back it up

Legislation is the other half of the plan. The draft Urban Area Rent Control Act, 2026, is designed to encourage rental housing while protecting both landlords and tenants from exploitation, an attempt to make renting out property less risky and renting one more secure.

The aim is affordable accommodation for people who cannot otherwise secure city housing. Officials expect the rent law and the PMAY-U 2.0 rental initiative, working together, to ease pressure and check the expansion of slums. The state also plans to identify vacant buildings and structures and fold them into the rental housing framework, putting idle stock to use.

Part of a bigger 'Roof for All' goal

The rental push sits inside a larger ambition. Last month, Odisha announced its A Roof for All initiative, which targets housing coverage for 80 per cent of the urban population by 2036. It takes a structured, three-tier approach, covering economically weaker sections, low-income groups, and a dedicated rental model for migrant and floating populations.

The rollout is phased rather than statewide from day one. The programme will begin in Rourkela before expanding to other cities in stages, letting the state test the model before scaling it.

How the Odisha rental housing plan rolls out

Land is the first hurdle, and the government is moving to clear it early. District collectors have been directed to identify and allocate suitable land on priority, so projects can start without delay. Officials will work with urban local bodies to fast-track approvals and slot rental housing into the existing economically weaker section schemes already running.

Taken together, the legal and programme measures are meant to lift the supply of affordable rented homes and take the strain off informal settlements. If delivery actually lands where it is targeted, the state expects better living conditions and a more resilient urban fabric. The harder part, as ever, will be turning land allocations and draft laws into keys in people's hands.

Enjoyed this update? Visit PropTech Pulse for more real estate news and market insights.