Noida: With the fear of bankruptcy increasingly gripping developers who have been stressed-for-liquidity, two builder bodies in Gautam Budh Nagar have pressed the alarm button for the government bailout immediately to help them excit the Covid-induced economic crisis.
They said about 100 developing realty projects in Noida, Greater Noida and the Yamuna Expressway area require Rs 5,000 Crore for rapid track construction.
While Naredco on Friday urged Finance Minister Union Nirmala Sitharaman to postpone the receipt of the NCLT case per year and was pressed for a bailout too, the credai demanded that all contributions with the development authority in the three regions were given the ‘Benefit Zero-Period’ so that funds can be transferred to the project solution , “About 100 projects in Gautam Budh Nagar are trapped due to cash flow problems and requires infusion of RS 5,000 Crore cash.
All real estate projects are on the verge of collapse and unless the government supports this sector, the implementation of the project will be jammed,” said RK Arora, President Naredco -Up.
“We urge the government to implement a one-time rollover and project loan restructuring channeled by banks and financial institutions.
The builder is in desperate need of LASTSE funds to complete a jammed project.
There are more than 4,000 projects throughout the country who need last-miles funds.
The only one Hope for builders now is the government, “he added.
Credai, on the other hand, demands that all creditors must currently take haircuts to help reduce the burden of the builder.
“Whether lenders or authorities, everyone must take a haircut to help builders who face liquidity problems for several years now.
Small consideration by all stakeholders can help ease the crisis,” said Amit Modi, Vice President of Credai (West Up) , The builder has marked a problem with the supply of raw materials during the pandemic and lack of labor as a reason for stagnation.
The problem of cash flow has worsened their progress.
“We have submitted a request that the developer is given the benefits of zero-period.
The builder does not have a margin because the cash flow problem in the market is proven,” said Credi-NCR Pankaj Bajaj President.