Jaypee gets Rs 1,800 crore to restart Noida work

Jaypee gets Rs 1,800 crore to restart Noida work:

NOIDA: Jaypee on Monday claimed it will restart construction at its mammoth Jaypee Greens Wish Town project in Noida by next week as it has received Rs 1,800 crore in working capital from banks. Work on the project with some 32,000 flats and 3,000 plots across 800 acres along the Noida-Greater Noida Expressway had come to a standstill with Jaypee having handed over only 5,500 flats.
But on Monday, Manoj Gaur, executive chairman of Jaiprakash Associates Ltd, assured agitating homebuyers that construction on 50 towers will begin by April 24, and on another 70 by April 29. There are 305 towers in Wish Town, 250 of which are incomplete. Jaypee said it will release the construction schedule of all the towers by April 29. Gaur said as the company received the approval to complete the sale of its cement plants for Rs 16,500 crore to Kumar Mangalam Birla group company, UltraTech Cement, banks have agreed to extend working capital of Rs 1,800 crore to the company.
The working capital will help meet the immediate funding requirements to start construction, Gaur said. And once work starts, money from homebuyers will pour in as they are tied to a construction-linked building plan. The homebuyers’ contribution still due is Rs 7,000 crore. At the same time, the amount required to complete the construction of all the projects is Rs 9,000 crore. The difference could be met from selling 1,500 unsold apartments and unsold commercial space.
Around 27,000 buyers are agitating against the developers for the delay in giving possession of their promised flats. On Sunday, they even lodged an FIR against the builder. On Monday, they first met Gaur at a police station, a meeting facilitated by SP City, Noida, Dinesh Yadav. The meeting then shifted to the Jaypee Greens  office at Sector 128. Buyers are still sceptical about the promises made by the developers. A number them said the developers had made similar promises earlier too but did not keep them.
However, Gaur said the company could not keep its promises in the past because of unforeseen circumstances.
“Now as working capital has already been released by banks, we can say with confidence that we will be able to meet the new time-line of completing the project,” Gaur said.
He also asked buyers to form groups of 7-10 persons in each project to monitor the progress of construction. He said the company will soon update its websites and from June a mechanism will be in place that will regularly update the site with all the latest information on construction. The company will also inform all the buyers of the construction schedule of his apartment and respective project through email.
The company has already delivered 5,500 apartments and 3,000 plots. By March 2018, the company claims it will deliver another 6,000 apartments. Gaur claimed in 2018-19, the company will deliver 8,000 apartments and the remaining ones by 2020.

Source : TOI Dated 18th April 2017

Jaypee Greens

Jaypee Greens Wish Town Noida