Allottees to complete Jaypee’s Kalypso Court project in Greater Noida

The Uttar Pradesh Real Estate Regulatory Authority (UP-Rera) has formed a committee to monitor Kalypso Court, a high-rise in Noida sector 128 that was formally handed

The Uttar Pradesh Real Estate Regulatory Authority (UP-Rera) has formed a committee to monitor Kalypso Court, a high-rise in Noida sector 128 that was formally handed over to its residents’ association for completion on Wednesday

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HT had reported on Monday that the association was offered the task last week by the UP-Rera in exercise of its powers under the UP-Rera Act. Jaiprakash Associate Limited (JAL) had launched the project in 2007 and was to deliver 1,140 residential unit by 2018, which it failed to do, forcing the homebuyers to approach the authority last year.

Although the UP-Rera had made such an offer to associations of other projects too, this was the first time that an association had accepted.

“Other developers refrained from investing in the project. The apartment owners’ association (AOA) too faced difficulty in hiring suitable developers. Now, we have involved the promoter and allottees to complete the project. If this experiment succeeds, the formula will be replicated in other such projects too,” said Balvinder Kumar, a member of the UP-Rera and now also the chairperson of the committee monitoring the Kalypso Court project.

UP-Rera chairperson Rajive Kumar said, “Our aim is for completion of projects. Conciliation consultant RD Paliwal got the final proposal acceptable to allottees and promoter.”

Kalypso Court is a multi-tower group housing project and comprises 15 towers, out of which 11 were handed over to allottees. The remaining towers are incomplete and have 304 units. Progressive Welfare Society, the association, has 152 members with units in the incomplete towers.

The association said it had agreed to take up the project with JAL as contractor. Jayesh Patel, its president, had said they hoped to complete it within 12 months.

The monitoring committee under Kumar will have the authority’s finance controller, technical advisor and a consultant from the project management division as members. The Noida Authority CEO, an auditor appointed by UP-Rera, the financial institution concerned and AOA members will also be part of the committee.

The UP-Rera will review the progress of the project on a quarterly basis.

The Authority will shift the project to the special category of projects, as per the provisions of section 8 of Rera Act. JAL will continue to update the details of the project, including the quarterly progress report.

Funding

UP-Rera secretary Abrar Ahmed said, “As per the promoter (JAL), the sum of remaining receivables from the sold units to the allottees of these towers is ₹90.09 crore and expected receivables from 19 unsold units is about ₹25.06 crore. The cost of completing the remaining development work is ₹103.03 crore. This includes ₹96.06 crore towards completing the remaining towers, ₹5.71 crore towards cluster development and ₹1.01 crore towards the infrastructure development cost of the master plan. Additional expenditure is estimated to be ₹31.12 crore.”

“The promoter agreed to contribute ₹45 crore for the development of the project, out of which ₹12 crore will be deposited upfront into a separate account to be opened in compliance of the orders of the Authority. The project has a positive cash flow of about ₹26 crore . As per the promoter, the project can be completed within 18 months, including 3 months for resource mobilization,” Ahmed said.

The promoter could not be reached for a comment.