Himachal Pradesh Housing & Urban Development Authority was established under the HP Housing & Urban Development Authority Act, 2004 (Act No.9 of 2004).  with the objectives of providing houses to the needy people of the Pradesh within the affordable limits.  To achieve this goal and to mitigate the housing problem in the State, HIMUDA is making strenuous efforts to provide well planned houses in the Pradesh.

Since the inception of HIMUDA, the Authority has constructed Housing Colonies at various places in Himachal Pradesh.

Prior to enactment of Housing & Urban Development Authority Act, there was no regular Govt. or Semi Government agency to look after a planned Housing Programme in Himachal Pradesh.

Strengthening the organization further the Government of Himachal Pradesh merged  HP Nagar Vikas Pradhikaran  with HP Housing and Urban Development Authority vide HP Govt. Notification No. TCP-2(B)1-1/2000 dated 9.11.2000.

HIMUDA has also entered upon to render different services like Design, Consultancy and Supervisory services to various departments at the lowest possible charges.

The physical and financial targets has also been proposed for the year 2003-04 by the Board.  The physical target for the year 2001-02 has been kept to construct/develop 627 units in different parts of the State whereas on the financial targets, Rs.3352.10 lacs will be spent on continued schemes and Rs.1147.90 lacs is proposed to be spent on really new schemes.