Supreme Court’s decision to revoke the license of real estate major Amrapali Group will not only help hundreds of stranded homebuyers but also have a positive impact on the domestic housing sector, experts said.
Supreme Court’s decision to revoke the license of real estate major Amrapali Group will not only help hundreds of stranded homebuyers but also have a positive impact on the domestic housing sector, experts said. The verdict would now clear the road ahead for the financially sound and ethical real estate developers to come up, Anuj Puri, chairman of Anarock Property Consultants told Financial Express Online. “Several homebuyers will now get significant relief as they now have an assurance that their homes will be delivered, and also will not have to bear the extra burden of the pending statutory dues. With NBCC given the charge to complete all the projects in question, buyers are being shown real light at the end of a long, dark tunnel,” he added.
What next for homebuyers
On Tuesday, the Supreme Court provided a big relief to thousands of stranded homebuyers as it cancelled the registration of Amrapali Group under the Real Estate Regulatory Authority (RERA and lease of its properties granted by Noida and Greater Noida authorities. The apex court has also asked the authorities to handover a completion certificate to the people residing in different projects of the group. The National Buildings Construction Corporation (NBCC) has also been directed by the court to complete all the pending projects of the group.
“The Supreme Court order on Amrapali Group raises a new ray of hope for thousands of homebuyers. It’s still to be seen what kind of framework gets laid down in the coming days. However, it’s a win win situation for all the homebuyers as they can now hope to get delivery of their flats,” said Shweta Bharti Shweta Bharti, General Secretary of the Noida Extension Flat Owners Welfare Association (NEFOWA) told Financial Express Online.
The Amrapali Group has been found guilty of raising funds from investors for housing projects, but failing to complete and deliver the same. The real estate major was accused of leveraging at least Rs 2,765 crore of investors’ funds with the promise of delivering 46,000 flats at 28 properties in the national capital region (NCR) and other cities.