After Supreme Court order, Noida likely to approve Unitech’s building maps

Six days after the Supreme Court ordered the Noida and Greater Noida authorities to grant approval to the revised building plans of Unitech’s residential projects by May 31, the Noida authority on Thursday said it is studying the order in detail to prepare a road map to deal with Unitech’s realty projects, which are stuck for more than a decade, causing distress to thousands of homebuyers.

The Supreme Court has also directed Unitech’s board to resume construction work in order to hasten delivery of units to homebuyers.

Approximately 15,000 residential units are due to be delivered across 10 real estate projects spread across Noida and Greater Noida. Homebuyers have already invested tens of lakhs for homes that are yet to be delivered by the company, the board of which was taken over by government appointees in 2020 due to widespread financial wrongdoings.

“Our legal department is studying the Supreme Court order in detail and once that is done, we will take appropriate steps as per the law,” said Lokesh M, chief executive officer, Noida authority.

The SC order came after the Unitech board informed the court that they had finalised the contractors to resume construction at the site. But construction at the site can only be started if the Noida authority will approve the revised layouts, building maps and ancillary plans submitted in February 2023.

The Noida authority had earlier informed the court that it cannot approve the revised building maps because Unitech has not paid land cost dues of ₹11,000 crore.

The apex court, however, directed the Noida authority to approve the map so that construction can resume and look into other issues at a later stage.

“At this stage, we are of the view that the industrial development authorities (Noida and the Greater Noida) must proceed to issue all necessary sanctions and approvals in respect of the projects of Unitech over the leased lands,” said a bench headed by Chief Justice of India Dhananjaya Y Chandrachud on April 27.

The SC has given a month’s time to the Noida authority to approve the layouts and maps, and also approve 38 tenders that have been approved by the board.

The Supreme Court in 2020 appointed a board under the chairmanship of retired IAS officer YS Malik, after removing Unitech promoters, and handed over control of the company to the board, after the realty group failed to deliver projects by the promised timelines.

“We have approved the contractors as per the rules as the process was already underway. And we submitted the details before the Supreme Court. As the Supreme Court has approved the contractors, now the ball is in the court of the Noida authority. As and when the Noida authority will give approval to the building maps, we will start the work at the site,” said Malik.

The authority’s refusal to approve revised building maps has delayed these stalled projects and exacerbated the sufferings of thousands of homebuyers, who have been waiting for over a decade to get their flats.

Unitech has housing projects in sectors 96, 97, 98, 113, and 117 in Noida. The civil work on these projects is partially complete and the site has become an eyesore over the years with rusted grilles and dilapidated structures left to rot there.

Unitech assured buyers that it will deliver ready units in these three projects in 2012 and managed to sell 958 of 1,091 flats in its projects in sectors 96, 97 and 98. The projects having premium size apartments -- 4,500-5,500 square feet -- and plotted bungalows was supposed to be delivered in 2012. But for the last more than a decade, the projects have seen no construction at all, said authority officials.

The homebuyers said since 2017, the apex court has been hearing their plea and they hope that the work will start soon at the site after the Noida authority approves the revised building maps.

“We hope now after SC’s current directive the Noida authority will approve the building maps. And the SC’s approval of the contractors is also a positive step as the work can start at the site,” said Saurabh Aggarwal, president of homebuyers association of one of the Unitech projects.