UP CM meets homebuyers, real estate developers; discusses delayed housing projects

Uttar Pradesh Chief Minister Yogi Adityanath on June 14 visited Gautam Buddh Nagar to review various development works. He also met real estate developers and homebuyers to discuss issues relating to delays in the delivery of housing units, sources said.

As per estimates, over 3 lakh homebuyers in UP are yet to receive their houses.

The chief minister met real estate developers and homebuyers at the Greater Noida Authority’s administrative building located in Sector Knowledge Park IV, sources said.

Homebuyers demanded an assurance from Adityanath that his government would implement the recommendations made by a high-level committee created by state and central government. The committee had recommended the creation of a stressed fund to ensure that the incomplete houses are completed.

In June 2018, an 11-member high level committee headed by DS Mishra, secretary, Ministry of Housing and Urban Affairs, was formed to resolve issues faced by homebuyers, some of who have not received houses for the last decade.

“We have requested the Chief Minister to ensure that incomplete homes are delivered and  suggestions of the high-level committee are implemented to solve our issues. We have demanded that RERA be given judicial powers. We have suggested that incomplete projects be handed over to RERA,” said Abhishek Kumar, president, Noida Extension flat owners welfare association.

As many as 30 homebuyers representing associations from Jaypee, Unitech Nefowa and Shubkamna attended the meeting that went over 45 minutes.

Homebuyers of Jaypee Infratech demanded that Yamuna Expressway Industrial Development Authority (YEIDA) should grant in-principle approval to the NBCC bid for the transfer of business and that YEIDA, Noida Authority, lenders and other authorities should facilitate a viable resolution plan, which should be presented on the next date of hearing on July 2, buyers said.

Thousands of buyers have voted on the NBCC resolution plan voting for which took place from May 31 until June 10. IDBI, the chief lender to Jaypee Infratech, in its application submitted on May 31 to the National Company Law Appellate Tribunal (NCLAT), had said that the secured financial creditors be allowed to vote against the resolution plan, sources said.

The appellate bankruptcy court on June 10 declined to pass an order on IDBI’s petition which opposed NBCC’s bid to take over the embattled firm and said that its lenders are free to vote for or against the bid. NCLAT also directed the committee of creditors not to finalise the rejection of the bid by the government’s construction arm without the court’s consent, they said.

NCLAT also directed the resolution professional to report about the outcome of the order directly to it, instead of Allahabad bench of NCLT, which is supervising insolvency resolution process of Jaypee Infratech.

Manoj Gaur, MD, Gaurs Group and chairman of affordable housing committee, Credai (National) said that the focus of Friday’s meeting was on how incomplete houses could be delivered to homebuyers. “Credai has proposed that if issues of penalties, wrong calculation of interest, NoCs not being handed over on time are ironed out, at least 1 lakh housing units can be delivered within a short time.”

“We have also proposed incentives in the form of penalty waivers for developers who complete and hand over the projects within a short period,” he told Moneycontrol.

Over 25 developers attended the hour-long meeting.

“We asked for  implementation of DS Mishra committee ( ahigh-level committee) report; treating NGT ban period as zero period for interest and period of completion and being rational in the imposition of time extension charges,” said Pankaj Bajaj, MD, Eldeco.

Adityanath also outlined his vision of development during a joint review meeting of the workings of New Okhla Industrial Development Authority (NOIDA), Greater Noida Industrial Development Authority (GNIDA) and YEIDA.

Adityanath also impressed upon the district administration the need to improve the road traffic situation, waste disposal and general safety of people, saying that people visiting Noida, Greater Noida and Yamuna Expressway areas must feel a positive change in the region.

He said authorities should plan development that can work on a long term.With the Jewar airport to be ready in next couple of years, the development around the airport should be done considering the long term requirements of the area, he said.