Latest projects in Noida delayed
Mr. Ramesh Saxena who is 29 year old IT professional has booked a flat in Noida Extension in 2009. He was promised he would get the possession in 3 years but his house is nowhere to be completed, therefore he is paying Rs 20,000 a month as rent in Vaishali.
Mr. Saxena says that he is spending Rs 50,000 on rent and EMI. His father is retired government employee who is dependent upon his pension money for other expenses. He plans to get married after shifting in new house. His marriage plans are delayed.
So many middle class families who booked homes in Noida region have facing same problem. Industry estimates that half of the four lakh residential units planned in Ghaziabad, Noida and Greater Noida are delayed.
Mr. Santhosh Kumar, CEO (operations) of Jones Lang LaSalle (JLL), says that the issue is really serious. Most of the projects launched in last 4 to 5 years have not delivered to the buyers. Because of this users are losing faith in builders’ ability to deliver on time and the latter’s credentials have gone down drastically.
He further says that at present a total of 2.3 lakh residential units are under development with 1.1 lakh in Noida; 94,500 in Noida Extension and 24,600 in Greater Noida. Out of these, 231,956 residential units are under development and 95,859 residential units are running behind schedule with the delay of 4 years.
A Noida-based property dealer says that the developers launched the project and get so many buyers but instead of using the money for development process they are using the money to increase the business.
Mr. Samir Jasuja, Prop Equity CEO, says that in case of development delays, the required time for three years and a grace period of three months or some developers pay penalty either adjusted against the bill or as cash back to the customers. The range of penalty is from Rs 5 to Rs 10 per sq ft of the unit area.
A lawyer says that buyers may get reasonable compensation for the delayed possession of houses.
Mr. Pankaj Pokhriyal, flat owner says that they have been fooled by the builders. They are supposed to get their home 2 years back but there is no sign of development on the ground. The compensation for the delayed delivery should be related market rates. They buy flats and get treated as the beggars.
Mr. Jasuja says that the real estate sector is not governed by any blanket law because of which absence of transparency and permits developers to flout monopolistic policies. With the birth of Real Estate Regulator Bill which is passed in assembly in 2013, they are expecting harsh rules for safeguarding the interests of the customers.
Source: The Times of India
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