New Delhi: The state-run National Buildings Construction Corporation (NBCC) is coming up with 13,000 brand new apartments, including luxury ones, in the unused land belonging to bankrupt private developer Amrapali, after the Greater Noida Authority approved its proposal to allow a higher Floor Area Ratio (FAR).
FAR is the ratio between a building’s total constructed floor area and the land area.
NBCC was appointed project management consultant (PMC) in 2019 to complete the 26 stalled Amrapali projects, comprising 38,500 flats. The private developer had declared itself bankrupt and abandoned the projects, leaving thousands of homebuyers who had invested in them in a lurch.
Interacting with reporters Thursday, NBCC CMD K.P. Mahadevaswamy said that the Greater Noida Authority Wednesday approved their proposal allowing a higher FAR of 3.5 in five of the projects of Amrapali. The FAR was earlier 2.75.
This additional FAR would allow NBCC to construct new dwelling units on the unused land in the five projects, sell them and utilise the proceeds to pay off the embattled firm’s pending dues to banks and Noida and Greater Noida Authorities, he said.
Amrapali owes Noida and Greater Noida authorities over Rs 5,500 crore towards payment of lease money along with penal interest. While construction of the 13,000 apartments is estimated to cost Rs 10,000 crore, NBCC is hoping to raise Rs 15,000 crore from the sale of the apartments.
“Construction will start in June. The 13,000 apartments will come up on 75.24 acres of vacant plot in the five projects and will have a variety of unit types, including 4-, 3- and 2-bedrooms. The number of units per floor will vary, ranging from 4 to 8, with a total of 80 towers planned,” Mahadevaswamy said.
The apartments will come up in five of Amrapali’s projects — Centurian Park, Golf Homes, Leisure Park, Leisure Valley, and Dream Valley — all located in the Tech Zone-IV sector of Greater Noida,” the NBCC CMD said.
Of the 26 projects that Amrapali left midway, 11 are in Noida, 14 in Greater Noida and one in Manesar. Currently, 14 projects are under execution.
Around 16,000 flats across various projects have been completed while work is underway to complete 22,000 units before March 2025. So far, close to 6,000 units have been sold with a sale value of close to Rs 3,500 crore.
Once the 26 projects are completed, it could show the way for other similar stalled projects in the region. Several real estate developers, including groups like Jaypee, Unitech and Supertech, reportedly have stalled projects and are facing insolvency proceedings in either the National Company Law Tribunal or the Supreme Court.
(Edited by Tony Rai)
Also Read: Bank loans to higher floor-area ratio, how state-run NBCC plans to complete stuck Amrapali projects