A white paper released on Sunday highlights that 35% of India’s stalled residential projects, encompassing 1.65 lakh flats with a total worth of Rs 1.18 lakh crore, are located in Uttar Pradesh’s Noida and Greater Noida. The white paper, presented by citizens’ platform Noida Dialogue and private body Namo Seva Kendra, also reveals that over one lakh individuals are awaiting flat registrations, while nearly 60,000 have not received their flats well beyond the possession date.
During an event in Greater Noida West, BJP national vice president Gopal Krishna Agarwal unveiled the ‘White Paper on Homebuyers Issues in Gautam Buddh Nagar (Uttar Pradesh).’ He emphasized the need for collaborative action from both the Central and Uttar Pradesh governments to address the long-pending concerns of homebuyers.
The Gautam Buddh Nagar district has witnessed the inauguration of more than 850 residential projects since 2011, with around 90% falling under the purview of Noida Authority, Greater Noida Authority, and Yamuna Expressway Development Authority. According to property consultant Anarock, Noida is ranked as the worst city in terms of stalled projects, accounting for 35% of the stalled residential projects in the country.
The white paper analysis indicates that the 1.65 lakh units from stalled projects are valued at Rs 1.18 lakh crore. More than 50% of these projects have been stalled for over three years beyond the proposed completion time, leading to 27,992 complaints registered on the UP RERA portal as of 2020.
The document also highlights the financial burden on homebuyers who continue to pay EMIs for incomplete flats while bearing the rent for their current accommodations. Drawing information from public and private sources, along with homebuyer feedback, the white paper aims to identify the root causes of the issue, present legal case studies, and suggest potential solutions.
The resolution process, it suggests, needs to be safeguarded from potential legal challenges. The legacy issue of land allotment on lease with compound interest and penalties has contributed to the problem, requiring government intervention with political will for effective solutions.
Agarwal emphasized that the BJP-led Central government has already implemented measures like the RERA Act, Insolvency and Bankruptcy Code (IBC), and the SWAMIH fund to address homebuyers’ concerns. The white paper serves as an initiative to present the problem and potential solutions for further discussion with authorities.
He acknowledged that these legacy issues were created during previous governments, and the current administration is committed to finding resolutions.
