Noida: Builders get more time to clear dues, authority cuts rates of unallotted flats, to buy more land

Noida (UP), Jan 31 (PTI) The Noida Authority on Friday said it has extended till April 30, 2020 the date for builders here to clear dues they owe to it, hoping the move would benefit more home buyers get possession of their flats.

The earlier due date was November 30, 2019, it said after the 198th board meeting that took place in the presence of Noida Authority Chairman Alok Tandon, CEO Ritu Maheshwari and CEOs of Greater Noida Authority Narendra Bhooshan and Yamuna Expressway Authority Arun Vir Singh.

The board also approved purchase of land for various commercial and industrial development in Sectors 145, 161, 162, 163, 164, 165 and 166 and cleared a budget of Rs 1,130 crore for about 218 hectares, it said in a statement.

'Some builders have not paid dues despite getting part completion certificate, which hinders the process of tripartite agreement with the buyers and registry of flats. So, the authority has introduced a monthly payment scheme where the builders will be allowed to pay for the area for which phase-wise completion has been granted in four equal monthly installments,' it said.

'Additionally, registry of 20 per cent units each will be allowed after the first and second installment is paid, 25 per cent units will be able to be registered after the third installment is paid and the rest 35 per cent can be registered after the fourth installment is paid,' it added.  The authority also said that it has reduced the rates of its flats under the residential housing scheme which have remained unallotted at their current price 'which appear higher amid present economic slowdown'.

The rates of LIG flats have been lowered by about Rs 8.5 lakh, MIG flats by about Rs 17 lakh, HIG flats by about Rs 28 lakh all in Sector 99, while the prices of duplex flats in sector 135 will be reduced by Rs 40 lakh, it added.

There are about 114 such flats including 84 LIG, 9 MIG, 18 HIG and 3 duplexes, the authority said.

The authority said the 'Zero period policy' introduced by the Uttar Pradesh state government has been adopted in the board meeting, though no builder has been given approval under the policy yet.

'The authority will now establish escrow accounts with builders of group housing and commercial properties for the payment of dues they owe to the Noida Authority,' it said.  The board also decided that all water and sewer bill dues will be collected in two parts, in a bid to resolve disputes between builders and the Apartment Owners Association (AOA) of various societies.

'The builders will pay for all dues and interest accumulated before the formation of AOA, while the association will pay all the dues after it was formed. Earlier the payment issues were expected to be paid by the AOA based on mutual agreement, but this had been leading to surmounting dues and conflict,' it said.

The authority said it has given 84 such connections and has dues worth Rs 56.76 crore. PTI KIS IJT