An estimated 7-8 lakh flats were to be built in Noida and Greater Noida, but a majority of those projects are currently stalled. These include unfinished projects from major construction giants like Jaypee Infratech, Amarpali, and Unitech. Builders have defaulted in delivering promised projects, distressing thousands of homebuyers in the NCR region and across the globe.
The Uttar Pradesh government is taking steps to revive these projects and fulfill the promised units to homebuyers. Let’s discuss the efforts taken by the UP government and how the future looks for these projects.
Steps Taken to Revive Stalled Projects
Sanjiv Kumar Mittal, the Infrastructure and Industrial Development (IID) Minister of the state, held a high-level meeting to protect buyer’s interest and resolve the stalled projects in Noida and Greater Noida.
The UP govt. has announced several steps to overcome the issue. These include:
- The government is considering proposals for pledging the units.
- The Greater Noida Authority has reduced its transfer charges by 50%. The Yamuna Authority has also implemented reductions. The idea is to make charges reasonable, so it does not affect the buyers.
- Suraksha Group, a Mumbai-based developer, has taken over the project of the debt-laden developer Jaypee Infratech. The group has received approval from homebuyers and financial creditors to resume the defaulted project that has distressed over 20,000 buyers. Suraksha Group has promised to deliver the unfinished flats in 42 months after acquiring Jaypee Infratech.
- The government has appointed the bluechip government enterprise NBCC to take over the 20 unfinished projects of the Amarpali group.
Additional Efforts to Revive Real Estate in UP
Additionally, electronics manufacturer Samsung has completed the construction of its display manufacturing unit in Noida. The unit was shifted from China. Infrastructure and Industrial Development has decided to give a subsidy of Rs. 250 crores to Samsung.
Furthermore, the government has directed all industrial development authorities to provide the above category and mega industries within 15 of the date of application. Three companies – Microsoft, Adani Group, and Hiranandani Group – have benefited from this system thus far.
The state government is offering fast-track incentives to industrial units for creating growth centers in the Bundelkhand, Madhyanchal, and Poorvanchal regions. Investment applications worth 1,400 crores with an employment potential of around 1,000 have been received.
Coming to expressways, a 340-km Purvanchal Expressway is likely expected to start from August 15. The expressway will connect Lucknow (Chand Saray) with Azamgarh, Amethi, Sultanpur, and Ghazipur. More than 60% of the work is on the Bundelkhand Expressway connecting Etawah (Kudrail) with Chitrakoot (Gonda) and will pass through Jalaun, Aurayia, Jalaun, Kuthond, Atarra, Banda, Mahoba, and Hamirpur.
Wrap Up
The stuck projects in Noida and Greater Noida have put immense pressure on the government. However, the state government has taken numerous steps to revive the stalled projects and fulfill the promise of delivering finished flats to homebuyers. The majority of unfinished and defaulted projects are expected to be completed by 2025.