A hub of affordable housing with initial project launches back in 2009-10 at Rs. 1,800 to Rs. 2,000 per sq feet (around Rs. 3,500 per sq ft now), Noida Extension or Greater Noida West has always held out hope for first-time homebuyers. The wait for a roof above their heads, however, seems to be getting longer for the beleaguered buyers with only a few units ready to move in.
The land acquisition issue (litigation over the compensation to farmers) and the Allahabad High Court’s order in October 2011 to get the Greater Noida Master Plan 2021 approved before construction work commenced were major setbacks for the Noida Extension property market. Developers, buyers and investors, however, heaved a sigh of relief as the impasse over the area ended with the approval of the Greater Noida Master Plan-2021 by the NCR Planning Board in August 2012, clearing the way for resumption of construction of hundreds of housing projects in the area.
Many buyers paying equated monthly instalments (EMI) and rent and hoping for delivery within the new promised deadlines — after a wait of almost two years — fear further delays. Builders, however, claim that the projects are on schedule and the apartments will be delivered as per the new timelines.
As per a rough estimate, about 2.50 lakh apartments are expected to come up in Noida Extension. Following the new deadlines announced after the NCRPB (NCR Planning Board) cleared the Greater Noida Master Plan 2021 in August 2012, about 10,000 apartments should have been delivered by end of 2014, but just 3000 are expected to be finally ready for delivery. “There are only a few towers, barely one or two in some projects, that will be delivered by the end of this year. This is only possession for the sake of possession,” alleges Abhishek Kumar, president of Noida Extension Flat Owners Welfare Association (NEFOWA).
Most developers have received 90% payment from buyers with which they have readied the housing structures. What is taking time is the finishing work, says Kumar., adding buyers have not been paid penalty for late delivery.
Amol, who bought into Amrapali’s Leisure villas project in January 2013 is hoping to get his unit in January 2015. “I’ve been informed that the sewage work will take some time to be completed,” he says.
Preet booked a 955 sq ft apartment with Gaursons in March 2010 as part of the first phase with around 14 to15 towers. The new possession date given to him following the land acquisition dispute was September 20, 2014, but he is still waiting for it. “Just the structure is ready with no sign of fitouts and only one tower has been delivered till now,” he claims.
Living in Patparganj and paying Rs. 18,000 as rent and an equivalent amount as EMI, Preet says his builder recently sent a demand for additional compensation payable to Greater Noida Industrial Development Authority (GNIDA) as compensation for farmers for land acquisition. The Allahabad High Court in its order of October 21, 2011 had directed 64.70% additional compensation be paid to the farmers by the GNIDA. “The builder has demanded `50 per sq ft from the buyers, to be paid at the time of possession, which adds up to Rs. 50,000 to a few lakhs depending on the size of the unit. We will challenge this,” Preet says.
When questioned about this additional charge, Manoj Gaur, managing director, Gaursons, says that “the amount of additional enhanced compensation has to be paid directly to GNIDA and not to the builder.”
About possession dates, Gaur claims that “120 units in Gaur City 1 have been delivered. We hope to deliver 2500 units by the end of this year and a total of 9,000 by June-July 2015. All units are being delivered as per schedule and there is no delay from our end,” he says.
Satya, who booked an apartment with Earth Towne, lives in Indirapuram and is currently paying a rent of Rs. 20,000 and an EMI of the same amount. He had booked a 1,295 sq ft unit way back in 2010 with Earth Infrastructure at the rate of Rs. 2,200 per sq ft. The first phase of 18 towers was expected to be delivered this year. The towers facing the road are almost ready but the developer seems to be going slow with interior work, he says.
The company spokesperson confirms that most projects in the area have been delayed and that the company will start handing over units by end of next year.
Indrish booked a unit in Panchsheel Hynish in Noida Extension in 2010 for Rs. 22 lakh. “While the developer has not increased the number of floors or charged an additional amount from old buyers, the delay in possession is an issue,” says Indrish.
Anuj Choudhary, director, Panchsheel Buildtech Pvt Ltd, says the company will deliver around 400 apartments by April 2015, and claims there are no delays in possession.
Navneet Kinkar who had booked a unit in Supertech’s Eco Village project in May 2010 at the rate of Rs. 1750 per sq ft, says the developer had initially committed to end of 2013 as the year for possession.
R K Arora, CMD, Supertech Group explains that the company intends starting delivery by end of November and by the end of the financial year it hopes to deliver 5000 apartments as part of Eco Village 1, 2 and 3. “This means that by end of December this year we would have delivered 1000 apartments. This is as per the new delivery schedule after the land acquisition row. Our projects in Noida Extension will be delivered in four phases and we hope to complete possession of all phases by 2016. As far as extra charges are concerned, we have not yet decided on a policy on that front,” he says.