December 20, 2023: The Uttar Pradesh Cabinet, led by chief minister Yogi Adityanath, on December 19, 2023, approved the implementation of the recommendations by the Amitabh Kant committee report on real estate projects. This move by the UP government comes as a major relief for homebuyers in Noida, Greater Noida and the National Capital Region (NCR).
Relief for realtors
One of the recommendations of the expert committee, constituted under the chairmanship of Amitabh Kant, former CEO Niti Ayog on Legacy Stalled Real Estate Projects, was including a zero-period to waive interest and penalties imposed for financial default. This comes as a big relief for realtors as it will clear 46 months of interest and penalty from dues they owe to the government for land allotted to them.
The committee has also recommended waiving off the interests during the zero period – one for the Covid-19 pandemic from March 2020-March 2022 and another from August 2013-June 2015 when the National Green Tribunal (NGT) had stopped construction work near the Okhla Bird Sanctuary till its eco-sensitive zone was notified. However, the waiver of interest shall not apply to commercial, sports and entertainment projects.
According to a report of the Indian Bank Association, cited by the panel, 4.12 lakh houses in the country have not been completed due to the poor financial condition of developers. As many as 2.4 lakh houses are in the NCR region. With the implementation of the Kant committee’s recommendation, the interest of homebuyers will be protected. The builders will be able to complete the housing projects on schedule and this will give momentum to the economic activities in the state.
Relief for homebuyers
Further, to protect the interest of homebuyers, the committee has recommended immediate possession and registration of property. The approval of the committee’s recommendations will benefit homebuyers as registries, which were stuck due to the deadlock between the realtors and the authorities of Noida and Greater Noida over dues, can begin.
The Kant committee has recommended that the registry and sub-lease deed of homebuyers should be executed immediately. A proposal in this connection was prepared by the Industrial Development Department of the UP government, which has been approved by the Cabinet, Suresh Kumar Khanna, state finance minister said as mentioned in media reports.
| Got any questions or point of view on our article? We would love to hear from you. Write to our Editor-in-Chief Jhumur Ghosh at jhumur.ghosh1@housing.com |
Harini is a content management professional with over 12 years of experience. She has contributed articles for various domains, including real estate, finance, health and travel insurance and e-governance. She has in-depth experience in writing well-researched articles on property trends, infrastructure, taxation, real estate projects and related topics. A Bachelor of Science with Honours in Physics, Harini prefers reading motivational books and keeping abreast of the latest developments in the real estate sector.
Related Posts
Launch schemes after complete land acquisition: UP to development bodies.
UP to expedite Jewar airport, roll out metro in Agra, Kanpur.
Ready to undertake projects of embattled Amrapali Group: NBCC to SC.
Delhi’s air quality turns ‘severe’, EPCA directs construction only during daytime.
Noida Authority to draft scheme to address issues in real estate sector.
UP govt launches new scheme to sell vacant plots under data centre project.
