Project delays, not only cause inconvenience to home buyers but also hurt the credibility of developers. Consequently, developers are increasingly turning to smart and extensive use of technology, to overcome project delays and deliver homes within the stipulated time period.
Technologies that help to overcome project delays
Experts point out that in the past, labour cost used to be low and project sizes smaller. However, this scenario has now reversed. Present rules and regulations also strive to ensure that projects are delivered on time and technology usage is increasingly making it possible.
For example, Sobha Limited recently launched a campaign titled ‘Ahead of Time’, to publicise the completion of the first 200 apartments at the Sobha Dream Acres project, 20 months prior to its completion date, which was achieved by using precast technology. “New technology enables concrete to be poured continuously, without interruption. Technical advancement has given rise to ready mix concrete (RMC), which reduces cement consumption by producing concrete under controlled conditions. An improved cement mix, also helps in containing the CO2 emission, in addition to substantial savings on operating costs,” points out JC Sharma, VC and MD of Sobha Limited, explaining the advanced technologies that are now used for timely completion of projects.
See also: Can technology combat high costs and extended delivery timelines?
“Hollow blocks are being used in high-rise building, as these possess higher concrete strength, consume lesser raw material and are structurally efficient. Techniques such as dry-wall construction, are also being used to construct fire-resistant ceilings, interior walls and floors. There is increased use of shuttering technologies, as well. Usage of cut and bend steel results in lower production cost due to low level of inventories, reduced wastage and labour cost savings,” he adds.
Guaranteed delivery to home buyers
Such advancements have helped some realty companies to offer guarantees on time-bound delivery to their customers. Undoubtedly, such schemes would help to allay home buyers’ fear of delayed possession. Developers are now offering several schemes to customers, where their risks are totally hedged, points out Kaizad Hateria, brand custodian and chief customer delight officer, Rustomjee Group.
“In one of such scheme called the ‘Rent back offer’, if the project is not delivered to the buyers on time, then, the developer promises to bear their rent. There is also an ‘EMI payment offer’, in which the developer bears the EMI for customers, till the possession is given to the buyer and the home buyer only needs to pay the margin money to the bank. The real benefit of such offers, is that the buyer is safe. If there is a delay, then, it is the developer who bears the loss. Therefore, he will always try to deliver the project before the stipulated time,” Hateria elaborates.
Advantages of delivery assurance to home buyers
Transparency and assurance of timely delivery, helps in bridging the trust deficit between the home buyers and the builders and creates a positive overall perception about the industry. This could also help developers to get project funding on conducive terms and conditions. “There is an urgent need to focus on fair play, quality of construction and timely delivery. The reputation of developers hinges on these factors. Timely delivery of projects, will help the developers to retain customers’ trust and confidence, in the present market conditions,” concludes Sharma.
Ensuring timely delivery
- “Project delays results in a loss of momentum. It impacts the trust factor and the optimism changes to pessimism for the home buyers” – Kaizad Hateria.
- “The evolving requirements of customers, increase in construction costs and competition, have paved the way for the emergence of various cutting-edge technologies in the real estate sector” – JC Sharma.
Amit Sethi is an accomplished professional with a distinguished background, holding an MBA in Finance. As an Independent Journalist and Data Provider with 20 years of invaluable experience, his expertise lies in meticulously covering stories on Real Estate, Personal Finance, Business and Banking. He writes journalistic content for leading media publications in India and also provides analytical data to real estate and fintech companies. Amit is driven by a purpose to disseminate insightful narratives, using verified information to empower individuals with financial literacy. Through his work, he aims to assist people in staying aware and making informed decisions that positively impact their financial well-being. Amit is a fitness freak, a marathoner and likes trekking.
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