Undergraduates opting for the newly-created affiliated housing could end up saving money by purchasing cut-rate meal plans, the Committee on House Life (COHL) announced yesterday.

Although the housing itself will cost up to $1000 more than on-campus room fees, students will be offered partial meal plans at reduced prices in compensation, committee members said.

In order to alleviate overcrowding and provide subsidized housing to transfer students, the College has decided to rent 42 apartments in three buildings from Harvard Real Estate (HRE) and lease them out to 100 undergraduates at subsidized rates, said Housing Officer Lisa M. Colvin.

Students will play from $2400 for a one-bedroom apartment in Peabody Terrace to $3200 for a one-bedroom apartment with a porch and a study in 8-10 Mt. Auburn St., committee members said. All apartments have living rooms and kitchens, and each apartment will be assigned one more student than there are bedrooms.

On-campus housing currently costs $2100 for the room alone.

Under the new plan, students in affiliated housing will be able to purchase variable meal plans at a 5 percent discount off normal Food Service prices. These programs vary from 5 lunches a week for $641 to 14 lunches and dinners at $1691. Undergraduates living in the residential houses must purchase a 21 meal plan for $2145.

So a College student living in a one-bedroom apartment at Peabody Terrace with a 14 meal plan would pay $4091, while a student living in a residential house would pay $4210.

"This new plan will improve the overall situation of transfers, who have been a little overlooked, at least financially," said Dean of the College L. Fred Jewett '57, who is the chairman of the COHL.

"[The rent subsidy] is going to make a big difference to a lot of people, especially since we won't have to buy Harvard meal plans," said Lee Cranmer '89, Dudley house committee chairman.

As an additional part of the new program, students moving into the new housing will have the option of joining Dudley House or retaining their current house affiliation. Transfer students may enter a lottery for affiliation with a residential house after being affiliated with Dudley for at least one term.

Cranmer applauded this change, saying, "At least it gives transfer students a choice about what their affiliation is going to be."

Since undergraduates will only lease the apartments for the school year, the College hopes to recover up to $40,000 of the projected $200,000 cost by subletting the apartments during the summer, Colvin said.

Thirty of the 100 places--which include one, two and three-bedroom apartments--will be reserved for students who want to move out of the 12 residential houses. The remaining 70 spots have been set aside for transfer students, who are currently not guaranteed on-campus housing.

The apartments are in blocks in Peabody Terrace, 8-10 Mt. Auburn St. and the Botanical Gardens, and a Harvard tutor will live in each cluster.