UP-RERA allows promoter to complete remaining construction work of Elegant Ville, ET RealEstate
NEW DELHI: To protect the interests of the allottees of Elegant Ville, a stuck project of Gautam Buddha Nagar, Uttar Pradesh RERA (UP-RERA) has authorized the promoter to complete the remaining construction and development work under provisions of section 8 of the RERA Act with consent of its majority of allottees.
For this, the promoter of the project, Elegant Infracon, has collaborated with Floral Realtech and presented a plan of project rehabilitation according to which the project will be completed in next 12 months to obtain Occupancy Certificate (OC).
Sanjay Bhoosreddy, chairman, UP-RERA said, “We are making all possible efforts to protect the interests of all stakeholders, especially allottees, in stuck projects. Elegant Ville is the 18th project has been approved under provisions of section-8 for rehabilitation after having consent of allottees and collaboration of promoters.”
The promoter had registered the project, situated in Techzone-4, Greater Noida West, in three phases in UP-RERA in year 2017. The construction of the project could not be completed till the valid registration period and registration of Phase-1 lapsed in August 2018, registration of Phase-3 lapsed in February 2019 and registration of Phase-4 lapsed in July 2019.
The Elegant Ville project has six towers including Tower C and D in Phase-1, Tower B and E in Phase-3 and Tower A and F in Phase-4. The remaining construction and development work of total 761 units in the project will be completed under the monitoring of UP-RERA.
Based on the site inspection report of the Elegant Ville project, construction in Phase-1 is 75-78%, Phase-3 is 74-76% and Phase-4 is 60% percent complete. Out of total 761 units in Elegant Ville, 686 units have been sold while 75 units are yet to be sold.
According to an estimate, a sum of Rs. 120.01 crore can be raised while completion of the project that includes Rs. 65.93 crore from the existing allottees and Rs. 47.58 crore by selling the remaining unsold units. Additionally, Floral Realtech will infuse Rs. 6.50 crore in the project in first six months. The estimated cost of completing the project and all other expenses is approximately Rs. 90.5 crore.
According to the RERA Act, the project was grated maximum permissible extension of registration in all phases and extending further extension was not possible. UP-RERA had directed the promoter to submit a plan with the consent of the majority of allottees to complete the construction of the project.
Further, Elegant Infracon informed the Regulatory Authority about the collaboration with Floral Realtech and consent of allottees and tabled its plan to complete the project. The Project Management Division, established in the NCR Regional Office, reviewed the plan thoroughly and found that the project completion plan submitted by the promoter is acceptable.
Hence, in order to protect the interests of the allottees and to fulfill the objectives of the RERA Act, UP-RERA decided to extend full cooperation to ensure completion of the project under the provisions of Section 8 of the RERA Act along with Section 6 and 37.
Allottees of Elegant Ville expressed satisfaction and were happy with the order of project rehabilitation by U.P. RERA. They appreciated the efforts to complete the project and move towards the possibility of getting early possession of their units with all facilities in the coming future.
Last year, Floral Realtech had also taken responsibility to complete remaining construction and development work of Elegant Splendour, another project of the Elegant Infracon and the allottees are satisfied with the progress of the project.
Till now, under rehabilitation process, Japyee Kalypso Court of Jayprakash Associates (JAL) has been given OC from the development authority. Jaypee Knight Court (JAL) and Vasundhara Grand (Nandini Builtech) have applied for OC in the concerned development authorities, Plumeria Homes and Unibera Towers are affected due to NCLT proceedings.