Why 2.5l registries are stuck, Real Estate News, ET Real Estate

Noida: The impasse between development authorities and builders for dues of over Rs 39,500 crore has kept nearly 2.5 lakh homebuyers in the district waiting for the registry of their flats for years, and are no closer to a solution.

For long, homebuyers had pinned hopes on the apex court’s verdict related to the rate of land dues, anticipating that builders would clear their dues as per the court order and the registry of flats would finally begin. They say that despite paying 90-95% for their units, they still do not have legal rights over the flats and cannot sell them without a registry.

Meanwhile, the builders’ lobby says the authorities have imposed exorbitant penalties on them after the Supreme Court in November last year overturned its June 2020 order, which in actual fact capped the interest rate for delayed payment of land dues. was capped at 8%. property firms. Only a few-six have shown interest and two have applied Noida Authority– For rescheduling policy, approved by NOIDA and Greater Noida officials in January

The builders owe a total of about Rs 35,000 crore to the Noida, Greater Noida and Yamuna authorities. Out of this, a major portion of Rs 26,000 crore is owed to the Noida Authority. Of the 116 projects in Noida, 90 have not been paid. Around 135 of the 195 projects in Greater Noida have not cleared the dues.

Ashok Vardhan, who bought a flat in Mahagun Mirabella in Noida’s Sector 79 in 2018 and took possession in 2020, said the flat registry is a distant dream. “I am not alone. Over 3,000 homebuyers are awaiting registry in five multi-storey apartments in the sector’s Sports City project. There are no dues on any individual project, but the builders failed to develop sports facilities as per the layout. Hence The registries are stuck,” said Vardhan.

Without the registry, home buyers cannot resell flats or form any resident association. “In case of any mishap, the police will blame the home buyers for living in a society without a registry. They treat us like infiltrators.

Fed up with the delay, the residents of Sports City wrote a letter to PM Narendra Modi last year.

Rohit Mishra, a resident of Apex Golf Avenue in Sector 1 of Greater Noida, is also waiting for the registry of his flat for the last three years. “I paid the full amount and bought the flat on the promise of the builder that an occupation certificate (OC) would be received shortly. But that did not happen. That’s the problem with Sports City projects, and different agencies have different versions,” Mishra said.
In January 2023, the residents met the CEO at a public hearing. “We have received a letter last week stating that our case is pending with the Planning Department. Till he approves the file, not much can be done for the registry of our flats. While we are stuck between the builder and the authority, the banks are sending us notices to submit the registry against the loan taken by us. Banks say that if we do not submit the registry papers, they will charge 2% additional interest on the loan.

Many homebuyers claimed to have paid stamp duty but are still unable to get their flats registered. Residents said that builders were not ready to pay financial dues per flat and execute registries for each unit.

Karunakar Biswal, a homebuyer at Casa Greens 1 in Greater Noida’s Sector 16, said he bought the apartment in November 2014 and took possession in July 2020. “I have bought stamp papers for registry but the builder has not even applied for the OC. , OC has been received for 6 out of 9 towers of the project. So, out of 850 flats in the society, only 350 flats have been approved for registry. Whenever we write to the builders, there is no response,” said Biswal.

Homebuyers in Noida Extension have been protesting for months, but builders are unmoved. Recently a delegation of homebuyers along with Jewar MLA Dhirendra Singh met CM Yogi Adityanath, who assured relief. However, nothing has happened yet.

Officials say that the registry cannot be done without the builders paying their dues. Noida Authority’s Additional CEO Prabhash Kumar said, “If we separate the registry and land dues, the builders will never be able to clear the dues.”

Uttar Pradesh Industrial Development Minister Nand Gopal Gupta, however, told TOI that the issue of home buyers would be resolved soon. “The government is actively working in this direction in association with the authorities. Homebuyers are our first priority,” he said.