New Delhi: With the construction of the Amrapali projects nearing completion, the National Buildings Construction Corporation (NBCC) has started work to revive real estate developer Supertech’s 16 stalled projects in four states and plans to start delivery of the first set of flats by Diwali.
The state-owned construction company has initiated the process to appoint 12 consultants to prepare detailed plans for the 16 stalled projects, comprising nearly 50,000 flats in Uttar Pradesh (Noida, Greater Noida, Yamuna Expressway, and Meerut), Uttarakhand (Rudraur), Haryana (Gurugram), and Karnataka (Bengaluru).
The estimated construction cost of these stalled projects is Rs 9,445 crore, which the NBCC plans to recover from the sale of unsold inventory of around 10,000 flats, including a mega sport city project in Sector 10 of Greater Noida.
After Amrapali, Supertech is the second real estate developer whose incomplete housing projects have been handed over to NBCC after the insolvency resolution process was initiated by the National Company Law Tribunal in 2022 due to non-payment of dues to the banks.
In December, the National Company Law Appellate Tribunal (NCLAT) appointed the NBCC as the project management consultant for completion of Supertech’s stalled projects.
The NBCC was appointed the project management consultant (PMC) in 2019 by the Supreme Court to complete 24 stalled Amrapali projects, comprising 38,500 flats. Amrapali had declared itself bankrupt and abandoned the projects, leaving thousands of homebuyers in the lurch. The deadline for completion of these projects is March 2025.
As it gears up to start construction by May, the housing project in Bengaluru with 200 flats is the first to be delivered, as it is almost complete. The plan is to deliver it by Diwali, a senior NBCC official said.
NBCC chairman and managing director K.P.Mahadevaswamy told ThePrint, “This is our second large scale legacy real estate revival project. The incomplete Amrapali housing projects (which were awarded to the NBCC in 2019 following a Supreme Court committee order) are in advanced stages of construction.”
Similarly, thousands of homebuyers have been waiting for years to get possession of their flats in 16 Supertech projects. According to senior officials, several projects are in advanced stages of construction.
“We are in the process of appointing consultants to assess the balance of work and prepare estimates. In some projects, the construction work is in the advanced stages. We are planning to get a structural stability assessment done of all the under-construction buildings,” Mahadevaswamy said, keeping in view the large scope of work in Supertech’s projects.
To meet the construction cost of around Rs 9,445 crore and pay nearly Rs 4,000 crore to banks and land-owning agencies, the NBCC aims to realise Rs 16,000 crore from the sale of nearly 50,000 units. But with a majority of flats (nearly 40,000 units) already sold by the private developer, the NBCC will get only Rs 1,890 crore as balance payment from the homebuyers.
A senior NBCC official said that the balance Rs 14,000 crore has to be recovered from the sale of 10,000-odd flats. For this, the state-run construction company is banking on the sports village project, which was conceived around 2016.
“The sports city project is crucial for the success of remaining projects, as more than one-third of the total amount (Rs 16,000 crore) will be realised from the sale of housing units in this project alone. This will help mitigate fund crunch of other projects,” Mahadevaswamy said.
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Sports village plan to be reworked
Spread over 72 acres of prime land in Greater Noida, the Supertech’s Sports Village project holds the key to the revival of all 16 stalled projects. It is the only project out of the 16 which has the highest number of unsold flats (3,322) out of the unsold inventory of around 10,000 flats.
“It has the maximum number of unsold flats, and it is the only project where construction work has not yet started. We hope to get nearly Rs 5800 crore (over one-third of the total revenue target) from the sale of flats in the Sports Village project,” the NBCC official said.
Conceived around 2016, the project didn’t take-off. “The plan is to prepare new layout plans as required in terms of sports city requirement to seek approval from the Greater Noida Authority,” the official added.
The total built up area will be around 53 lakh sq.m for housing and state-of-the-art sports infrastructure.
(Edited by Tony Rai)