NOIDA: Noida Authority has decided to keep the UP government’s rehabilitation policy for stalled real estate projects in force, even extending its benefits to developers who have not yet deposited the mandatory 25% of their recalculated dues – a move that offers new hope to thousands of homebuyers awaiting completion and registration of apartments.The Authority had previously planned to withdraw policy benefits from non-compliant developers, but changed its stance at the January 3 board meeting and opted to continue with the government’s order to revive stalled projects from December 2023.
Authority CEO Lokesh M said while the policy would continue, there would be no blanket relief. “Requests from builders who have not deposited the 25% amount within the stipulated deadlines will be examined on a case-by-case basis and submitted to the board for approval,” he said, adding that there would be no automatic restoration of benefits and any further concession would require explicit approval of the board.
According to the agenda submitted to the board, 57 projects were covered under the policy, excluding Amrapali, Unitech and projects pending before NCLT. Of these, 36 projects paid the full 25% of the dues, 11 paid only a partial amount, four developers gave permission but did not pay, and six did not give permission and did not deposit any amount.Builders have so far deposited Rs 561 crore towards the 25% dues and partial payments, while the total collection, including installments, stands at Rs 872 crore.
The back and forth follows an earlier decision taken at the Authority’s 219th board meeting on October 3, when it decided to withdraw benefits in 19 cases where developers failed to deposit even the initial 25% by the October 24 cut-off date. In those cases, the accounting department started recalculating contributions and issuing new reminders.
But now the board has decided to give these developers extra time and will decide the future course of action if any of them come forward to deposit the 25% advance. The Authority has also indicated that several projects are still undergoing litigation or review proceedings in courts, NCLT or the state government. Such cases stated that benefits could only be taken into account if pending cases were withdrawn or disposed of, and after dues were recalculated in accordance with government orders granting zero period compensation for Covid disruptions or NGT-related construction bans.
Even with the policy, registrations remain slow.
Of the 21,034 unregistered apartments in the 57 projects, permission for registration was granted for 6,855 apartments against a 25% deposit, but only 4,134 registrations – about 60% of the eligible stock – have been completed so far. Authority officials said regular registration camps and meetings were held with developers, but builders had cited poor response from flat buyers as a major hurdle.
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