Max Estate to take over 3C’s luxury project Delhi One
The National Company Law Tribunal has approved the resolution plan of Max Estate Limited, the real estate arm of Max Group, for restarting the stuck ‘Delhi One’ residential project of Boulevard Projects Private Limited, a 3C Group company, paving the way for the takeover of the luxurious project on the Delhi-Noida border, alongside the Delhi-Noida-Direct Flyway
The National Company Law Tribunal (NCLT) has approved the resolution plan of Max Estate Limited, the real estate arm of Max Group, for restarting the stuck ‘Delhi One’ residential project of Boulevard Projects Private Limited, a 3C Group company, paving the way for the takeover of the luxurious project on the Delhi-Noida border, alongside the Delhi-Noida-Direct (DND) Flyway.
Max Estate Limited had already taken over a commercial tower in Delhi One project, measuring 670,000 square feet, and completed it as ”Max Square”.
The NCLT approved the resolution plan submitted by Max Estate Limited on February 27, 2023, and the order was made public by Max on Friday.
On February 8, 2019, NCLT appointed Amit Agarwal as the interim resolution professional for realty firm 3C Boulevard following a petition filed by SGM Webtech Private Limited and initiated corporate insolvency proceedings.
On November 11, 2019, the committee of creditors (CoC) comprising homebuyers, banks and other stakeholders approved the resolution plan submitted by Max with 86% votes.
“Subject to the observations made in this Order, the Resolution Plan of ₹1,118,38,93,145/- (Rupees One Thousand One Hundred Eighteen Crores Thirty Eight Lakhs And Ninety Three Thousand One Hundred And Forty Five Only) is hereby approved. The Resolution Plan shall form part of this Order. The Resolution Plan is binding on the Corporate Debtor and other stakeholders involved so that revival of the Debtor Company shall come into force with immediate effect,” said the order delivered by NCLT president Ramalingam Sudhakar and technical member Avinash K Srivastava.
The NCLT has asked Max Estates to approach the Noida authority to discuss the financial dues. Max has proposed that it can pay the principal amount of ₹400 crore, out of the outstanding land dues of ₹900 crore against this project.
“Now that the NCLT has approved our resolution plan, we need to follow the same and approach the Noida authority for further execution of the order. In the resolution plan, we have proposed that we can pay the principal amount to the Noida authority and sought waivers on the interest component. We have requested the formation of a policy so that financial dues can be settled because our plan will revive the stuck project and deliver justice to homebuyers,” said Sahil Vachani chief executive officer and managing director of Max Estates.
3C group had in January 2014 launched the Delhi One project, spread across 34,697 square metres in Noida’s Sector 16B, next to DND Flyway toll plaza. It tied up with Four Seasons to make a five-star hotel, serviced apartments and a commercial tower in this project but it got delayed amid the financial crisis.
As per the resolution plan, Max will deliver Tower B in 22 months; it will take 40 months to build 576 apartments, and 42 months to build the commercial tower, in place of the five-star hotel.
The NCLT has approved ₹1,118 crore resolution plan to revive the project. The NCLT has also approved the changes in the design of this project and agreed to do away with the five star hotel tower that was part of this project.
“Instead of a five star hotel, we will build a commercial tower as that is more economically feasible,” said Vachani.
Noida authority chief executive officer Ritu Maheshwari did not respond to calls seeking her comment on the issue.