A day after getting approval for utilisation of unused and purchasable FAR for five Amrapali projects in Greater Noida, the state-owned National Building Construction Corporation (NBCC) announced to construct 13,250 flats with a revenue potential of Rs 15,000 crore.
The five projects where future FAR (floor area ratio) will be utilised include Centurian Park, GH-05, Sector Tech Zone-IV, Greater Noida; Golf Homes, GH-02, Sector-4, Greater Noida; Leisure Park, GH-01, Tech Zone-IV, Greater Noida; Leisure Valley, GH-02, Tech Zone-IV, Greater Noida; and Dream Valley, GH-09, Tech Zone-IV, Greater Noida.
FAR is the ratio between a building’s total constructed floor area and the land area. As per the direction of the Supreme Court, Amrapali Stalled Projects Investments Reconstruction Establishment (ASPIRE) was formed to complete the stuck projects of Amrapali through NBCC (India) Ltd in 2019.
R Venkataramani, Attorney General of India and Court Receiver in Amrapali projects' matter, said, “Initially, the Greater Noida Authority was not willing to approve the utilisation of unused FAR but after lots of internal pursuance the Authority has given permission for utilisation of unused and purchasable FAR.”
NBCC CMD K P Mahadevaswamy said that the expenditure on the construction of these flats will be around Rs 10,000 crore while the expected revenue from the utilisation of additional FAR will be around Rs 15,000 crore.
“We have got the permission from the Greater Noida Industrial Development Authority (GNIDA) to utilise the future FAR of 3.5 while the existing FAR is 2.75. We expect to start the work for the construction of new 13,250 apartments from June 2024 and it will take around 30 months to finish the project,” he said in a press conference.
Mahadevaswamy added that the surplus revenue will be utilised to pay bank loans and dues of the Greater Noida Authority. NBCC will have to pay Rs 590 crore to the Greater Noida Authority for the additional FAR.
According to estimates, the state-owned PSU has to repay a loan of Rs 1,500 crore to banks and dues of Rs 3,000 crore to the GNIDA.
Also read: NBCC gets nod from Greater Noida Authority to develop 5 Amrapali projects worth Rs 10,000 cr
He said that new flats will be sold separately at the market price, which is likely to remain above Rs 6,000 per square feet.
The collective vacant plot area available after the permission to utilise unused FAR will be 75.24 acres, he addded.
According to NBCC estimates, the FAR development is set to encompass close to 16 million sqft and it will offer a variety of unit types including 4BHK, 3BHK, and 2BHK units. The number of units per floor will vary, ranging from 4 to 8, with a total of 80 towers planned in these five projects. The built-up area is projected to reach around 22.3 million sqft excluding basement area.
In March 2023, the Supreme Court had asked NBCC to submit a proposal on the unused FAR. This additional FAR would allow NBCC to construct new dwellings on the unused land in the five projects, sell them and utilise the proceeds to pay off the embattled firm’s pending dues.
NBCC has completed and started to hand over units to homebuyers as around 16,000 flats across various projects are completed. Close to 6,000 units have been sold in erstwhile Amrapali Group with a sale value of close to Rs 3,500 crore.
According to NBCC, there were 46,575 apartments across 25 housing projects and out of that 8,416 units were already occupied by home buyers prior to the Supreme Court judgment in July 2019.
As a project management consultant (PMC), NBCC got the mandate of completing the remaining 38,159 units and also the pending common facilities in those projects where 8,416 units were already delivered with an estimated cost of Rs 8,266 crore.
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