Uttar Pradesh real estate authority begins process for buyers to complete own housing projects

In an unprecedented move, Uttar Pradesh (Real Estate Regulatory Authority) RERA has formally initiated a process where buyers can take over and complete their housing projects. The move comes after buyers of Shubhkamna Group's project in Noida's Sector 137 approached UP RERA asking for the project to be handed over to them as one of the partners Diwakar Sharma is behind bars and another partner Piyush Tiwari has been absconding. Shubhkamna Tech Homes Buyers Association submitted a proposal to UP RERA. As the project nears completion, UP RERA has asked the association to take the consent of 60 per cent of the buyers so that the proposal can be considered. Once they give their consent, UP RERA will appoint a financial consultant who will see if the proposal is financially viable. The consultant will be asked to make a proposal which will be heard in the next hearing. If this happens then it could be a landmark decision in Noida where a number of projects are almost complete but buyers have not received possession. Along with this, UP RERA has also issued an order to Earth GraciaBuildcon where the entire construction has not been done and buyers have also not paid the entire amount according to the demand raised. Since all promoters of Earth Group are behind bars, UP RERA has asked Greater Noida Authority to explore options of selling land to some other party and recover its dues as well as refund buyers' money with interest. UP RERA will ask Noida Authority for advice. Apart from having to receive money from Shubhkamna Group, UP RERA has also issued a recovery notice to the company. Some projects can get a headway as far as possession is concerned if the financial advisor finds it suitable in terms of financial viability and give them a green signal. However, in Noida, land is leasehold and Noida Authority' s consent is imperative. In several stuck projects, the main issue is dues due to Noida Authority. Without this payment, it will be difficult for buyers to takeover their project and offer legal possession to the buyers.