Housing Development Corporation (HDC) has begun issuing notices to tenants in Hulhumalé-managed flats over the non-payment of rent, the company has confirmed.

An HDC official confirmed to MMTV that the corporation is sending "Payment Advice" notices (routine reminders issued every three months) to tenants who have defaulted on their rent.

Out of the 8,511 flats under HDC’s management in Hulhumalé, only 3,219 are making regular rent payments, while 5,099 flats remain in arrears. According to figures published online by HDC, outstanding rent owed exceeds MVR 700 million.

Some flats have never paid rent since handover, while others make partial or irregular payments, in violation of the terms set by the corporation. Although housing agreements under HDC’s social welfare schemes allow for the repossession of flats in cases of non-payment, the company has not reclaimed any units to date.

However, under the Social Housing Law, HDC would be granted the legal authority to reclaim properties where rent remains unpaid. The law would also enable repossession if such flats were sublet instead of being used for residential purposes.

Despite widespread defaults, the Government has provided rent discounts for all social housing units in Hulhumalé, including waivers on fines accrued due to non-payment.