Hindustan Times (Delhi)

To help faster delivery of flats, Noida eases payment rules for developers

- Vinod Rajput vinod.rajput@hindustant­imes.com

FRESH NORMS Obtaining occupancy certificat­es becomes easier for builders; new rules only for projects where realtor has developed common facilities such as fire systems, lifts, water supply, community centre, sewage treatment plant; move to benefit 20,000 homebuyers

The Noida Authority on Thursday relaxed the terms for issuing occupancy certificat­es to select stuck housing projects that fulfil certain conditions, a move that could benefit around 20,000 homebuyers.

The new policy is for only those housing projects, where the builder has developed common facilities such as fire systems, lifts, water supply, community centre, sewage treatment plant, etc.

Now, a builder can deposit 10 per cent of the total land dues and get registry of flats executed by paying the remaining dues flat wise.

The authority has made the changes because many builders were not able to clear land dues. The authority hopes the relaxation would enable builders to deliver flats early as payment would be staggered.

For example, if a builder owes Rs 100 crore to Noida Authority against a housing project that has 1,000 flats, he would have to pay Rs 10 crore to offer possession and execute registry.

Against this payment, the authority will issue a temporary occupancy certificat­e for half of the project, i.e. for 500 flats. (The total land dues of Rs 100 crore will be distribute­d among 1,000 flats -Rs 10 lakh per housing unit.)

“But the builder will also have to pay 65 per cent of the share per unit. For example, if he wants to offer possession to one buyer in 500 ready flats and also execute the registry, the builder will have to pay R16.5 lakh for each flat. The new policy allows the builder to clear dues in small installmen­ts as and when he delivers a flat,” said Amit Mohan Prasad, chief executive officer of the Noida authority.

According to the earlier rules, the builders had to pay tower wise dues.

For example, if a builder owed Rs 100 crore land dues for a building with 1,000 flats in 10 towers, he was supposed to deposit R10 crore per tower.

It means for five towers, the builder was supposed to deposit R50 crore to deliver flats to buyers.

“Now the builder will have to deposit Rs 10 crore for 10 towers along with per flat dues. It will help them manage with small amount of funds. Our aim is to deliver flats to aggrieved buyers,” said Prasad.

According to the authority, there are 76 ongoing housing projects in Noida, out of which 39 are in the process of getting occupancy certificat­es.

“We have rejected occupancy certificat­e applicatio­ns of 16 projects because these did not have common facilities. Our new policy will be effective from September 1 to November 30. The rejected project owners can develop facilities and apply afresh to obtain the certificat­es,” he said.

“We are processing OC applicatio­ns of 23 housing projects. If common facilities are developed then we will start getting registry executed and give relief to around 20,000 buyers,” said Prasad.

Builders welcomed the changes.

“This scheme will enable buyers to get possession of houses that are complete but could not be given to customers due to heavy land dues. We thank the officers for providing a solution to break the deadlock between customers and developers. We also request the Greater Noida authority to come up with a similar scheme,” said Getambar Anand, CMD, ATS Builders and president of confederat­ion of real estate developers associatio­n of India (CREDAI), a realtors’ body.

Lieutenant Governor Anil Baijal has put on hold the recruitmen­t of teachers to Delhi government schools after the AAP government requested for the same till the education department forms a policy to give weightage to guest teachers.

Sources said the L-G has directed that the advertisem­ent be put on hold till the time the law department gives its opinion on the resolution adopted by the Delhi assembly on the issue.

The decision comes a day before candidates could start applying online for posts advertised by Delhi Subordinat­e Services Selection Board on August 7.

The assembly during the monsoon session had adopted a resolution seeking a stay on the recruitmen­t until the decision on policy of giving weightage to the guest teachers was settled.

“The advertisem­ent defeated the purpose on the stalemate related to weightage to guest teachers. ,” an AAP functionar­y said. HTC

 ?? BURHAAN KINU/HT PHOTO ?? The Noida authority has made the changes because many builders were not able to clear land dues
BURHAAN KINU/HT PHOTO The Noida authority has made the changes because many builders were not able to clear land dues

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