Buyers to oversee Jaiprakash Associates’ Kalypso Court completion, Real Estate News, ET RealEstate

Like Tweet Pin it Share Share Email

Noida: Buyers to oversee Jaiprakash Associates' Kalypso Court completionNOIDA: Kalypso Court — a housing project launched in 2007-08 — lost its UP-Rera registration in June 2019, leaving 240 homebuyers in four incomplete towers in the lurch. Now, the regulator has allowed the buyers’ association of the project located in Jaypee Wish Town to take charge of completion.

Jaiprakash Associates Limited (JAL), the owner of the project, will help buyers with the completion. According to the conciliator of UP-Rera, the remaining work at Kalypso Court should be completed by the end of 2020. “We got the builder and buyer together on our conciliatory platform to agree on the completion method. Today, we have officially asked the buyers’ association to take charge of the completion. By the next meeting, the details will be firmed up. Jaypee has agreed to come on board for completion of the remaining flats. The buyers will get their flats by the end of 2020,” RD Paliwal, conciliator, UP Rera, said.

Paliwal added, “JAL will infuse Rs 10 crore in the beginning to gain the confidence of buyers and Rs 40 crore in total to finish the project. The receivable from buyers is Rs 50 crore. The estimated fund requirement for completion of the four towers is Rs 104 crore.”

Kalypso Court is among the five projects at Wish Town that are promoted, sold, and developed by JAL, not Jaypee Infratech Ltd, which is in insolvency resolution. Wish Town projects under JAL include Kalypso, Knights Court, Imperial Court, Pavilion Court and Pavilion Heights.

Seven towers of Kalypso Court were registered under UP-Rera in 2018 when the regulator was formed. The project has a total of 15 towers and eight of them were completed by 2018 and did not come under the UP-Rera net. The entire project was supposed to be completed by 2012.

Of the remaining towers, the builder completed three and had four left when the registration expired following which the regulator invoked Section 8 of the Rera Act.

Venkat Rao, legal advisor to UP-Rera, said: “Section 8 of Rera Act comes into play in cases where Rera registration has lapsed. The authority initiates the process for getting balance work completed. Though in the process, first right of refusal is with association of allottees, the Authority in consultation with the state government has to direct the completion through the best possible mechanism.”

“We had a videoconference with the builder and they agreed to complete the project. We will fine-tune the execution by next meeting,” said Balvinder Kumar, UP-Rera member.

“Now that Section 8 of the Rera Act has been invoked, construction should begin. We are in some financial negotiations with JAL on deliverables. Once that is fixed, completion should start,” said Jaish Patel, president of the Kalypso Buyers association, said.

Source link