National Green Tribunal, in a recent judgment, has prohibited Noida Authority from giving completion certificates to projects within 10km radius of the Okhla Bird Sanctuary located in the Delhi-Noida border near Kalindi Kunj Barrage, apprehending a danger to the ground-water table. This decision has put in lurch around 20,000 home buyers who are waiting for the delivery of their projects, but are falling in this circle. Not only this, about 30,000 more residential apartments are about to be added in the list, as they are nearing completion in about a year. However, after NGT judgment, builders are supposed to go slow in completing those projects and this delay in securing the completion certificate from Noida authority will no doubt, cause hardship to buyers.
Keeping this in mind the tribunal directed the Noida authority to conduct a fresh survey and find out the projects falling within this zone. The Noida authority identified more than 105 realty projects as falling within the 10km radius of the bird sanctuary, and now, all these projects are in trouble.
The major concern of real estate developers having projects in this circle is that, they will have to manage and maintain each and every apartment without charging any money from buyers, as the projects have been completed but delivery has not been made.
Huge stock of ready-to-possess flats in group-housing projects is lying vacant in the Noida region due to this judgment of NGT. Even worse for the home buyers, as due to this judgment, homebuyers cannot occupy their houses, and they will have to pay rents as tenants and shell out the EMIs at the same time.
After the complete ban on extraction of ground water, that has already affected 3,000 housing units in various sectors of Noida, with developers having to stall work on them; the NGT’s directive on the NOC has been next very hard decision for Noida Real Estate. During the hearing of the case, CREDAI had requested the NGT to allow the construction on projects, which are beyond 100 metres of the bird sanctuary, as proposed by the Uttar Pradesh government, subject to the builders getting environmental clearance. It also pleaded that if builders have not obtained environmental clearance, the tribunal could take an undertaking from them that such construction would not create any equity in their favour and that they are doing the construction at their own cost, risk and peril, and would not claim any right. Also, now, allottees are threatening to take legal action. But, the NGT refused to give any relief.
Now, in the current scenario, Noida Authority is not in position to issue NOC for possession due to the NGT Judgment. The request has already been filed by developers and builders.
The Market :
The mid-sized residential real estate market of Noida has always been a choice for investors as well as buyers due to its smaller ticket size along with good infrastructure and location advantage. In prime locations like Sectors 44, 74, 75, 76, 77, 78, 94, 119, 137, 143, 142, etc., the premium properties has been in demand.
A wide range of properties have always been the best part of Noida Real Estate Market. Say it, properties under construction or ready-to-move-in projects; one can find various options, from affordable to mid-segment and luxury residential projects with high technology and world-class facilities. Ample of social and physical infrastructures like educational institutes, 5-star hotels, shopping malls, hospitals, and commercial hubs have turned the area into a premium location. Metro connectivity, Underpasses, DND Flyway, proposed flyovers and wide city and sector roads provide a good connectivity facility to residents.
Many of the high-end luxury and affordable properties are almost complete and are ready for possession. In spite of all these, developers, realtors, and property professionals are all upbeat about the future prospects of real estate in this emerging location. Due to issues arising one after another, the rates are still in the range of Rs 4,500-5,000 per sq ft, depending on the size of the property and its location.
Single-window clearance system has always been in demand to avoid the issues like miss-outs on approvals or a Ready Checklist of all the necessary approvals for Real Estate Project can also be introduced to bring complete awareness.
Alok Kumar Upadhayay