Builders apparently in deep financial mess
Builders in Noida and Greater Noida are clearly reeling under financial pressure.
We have seen news of Amrapali asking for financial assistance on pretext of mission completion. We have also seen how builders like Supertech are trying to get their flats booked with offers that don’t sound reasonable.
Some of the builders that appear to be going through an unprecedented lean phase are:
Amrapali
As if selling vacant units in their ready to move projects at dirt cheap prices was not enough, the builder asked its buyer to offer financial assistance to help them complete projects on time. Builder has been the most forthcoming accepting financial constraints leading to delay. However, having invested heavily in advertisements, this was certainly not expected of a group of its size. The fact that none of its delivered projects in Noida have registered lease or sub lease is only adding to the fear.
Supertech
After selling their assets with unbelievable offers like 1-pe-1 free and book at 2%, Supertech is clearly not having a good time. It is expected that the builder owes crores of rupees to authority and like Amrapali, has regularly defaulted on the payments. With the high exposure list, the suspense about the group’s future has only grown leaps and bounds.
Gardenia
Its flagship project in sector 75 was always a disappointment. Neither its sector 75’s project nor sector 46’s project have done well. Though reasonably sold out, the builder has not managed to put enough funds to either of the project. While some funds pushed to Glory (sector 46) helped push construction in few towers a bit, other towers and sector 75 project are still far from possession dream.
Logix
Logix’s foray into residential sector came in form of its Blossom country project in sector 137. That it has fooled its buyers by delaying the project by over more than 3 years already is no brainer. Even after getting OC for the project, builder allegedly doesn’t have funds to pay one time lease rent to enter into lease with authority.
Sikka
Its K* projects except for one in sector 78 are all going at a pace where even a tortoise will appear swifter. Not enough funds are apparently devoted to construction activities.
Jaypee
Being consistently degraded by various rating agencies, Jaypee seems to be missing its association with previous governments in UP. With lack of financial support, dis-engagement with high profile contractors has been quite common leading to unbearable delay in possession of projects that shall have been delivered long back.
Shubhkamna
Its project in Greater Noida and sector 137 are perhaps the slowest of all in vicinity. No doubt the financial crunch has gotten better of the usual construction activities.
Other than these, there are more builders like 3C, Unitech, Today Homes, IITL Nimbus who seem to be under deep financial stress to meet their commitments.
Do you feel your builder is going through a tough phase as well? Please do share details if you feel so.
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Last Updated on July 28, 2015 by Go4Reviews
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IITL Nimbus goldenplams in sec 168.. Seems to be going at good pace.. What are your views about this group n project.
One of our blogger has an investment in group’s YEW project. The quality is nothing to take note of and is just like any other project from average builders. As for sec 168, the location is excellent and expected to reap benefits in 3 to 4 years time.
Are you recommending mahagun, gulshan bellina and Stellar group over both Panchsheel and Ajnara ?
Also Plz suggest trustworthy projects in Sector 1, Noida extension because i dont want to stuck in dense gaur chowk and sector 16 traffic in future.
Are you recommending mahagun, gulshan and Stellar group over both Panchsheel and Ajnara ?
Also Plz suggest trustworthy projects in Sector 1, Noida extension because i dont want to stuck in dense gaur chowk and sector 16 traffic in future.
All these are equally placed and have one advantage or the other. Will get back to you on the latter.
You seems to be in very touch of area!
any insight on YEW Sector 22D affordable housing scheme prospects in next 5-10 Years?
its next sector to F1
Cost wise its only 7L to alloties , its worth to keep for 5-10 years?
yes, you would need to keep the YEW plots for around 10 years time. Not a good time to sell now.
any idea about investment in Chi-V sector near zero point Greater Noida? any inside news of sampada Livia project. They broke away from Shubhkamna last year
Not that we have a idea right now. Still suggest to keep away from projects that are expected not to sell well.
thanks,I already have a unit there!
Do you think Chi-V sector will do better than rest of Greater Noida giving its very first sector (even closer to Noida than Pari Chowk) in next 5 years and bang on YEW Zero point?
Yes, CHI-V has potential and purvanchal royal city will add to the glitter. Its acceptable if you are ready to wait for 5 odd years.
Are you recommending mahagun, gulshan bellina and Stellar group over both Panchsheel and Ajnara ?
Also Plz suggest trustworthy projects in Sector 1, Noida extension because i dont want to stuck in dense gaur chowk and sector 16 traffic in future.
Hey I have an apartment in logix blossom county…is it worth the wait or should I succumb out at loss??
Logix county – your purpose is investment or end use? which phase? Its going to a be a good project eventually.
What about Assotech? Assotech also looks in deep financial crisis as it is offering possession only on payment of last installment and also, it is now installing local make/unbranded accessories in flats…
Yes, Assotech is having a hard time too. But, there progress in ABC project of late is an indicator that not all is unwell with the group. It still has finance, it is just that its not putting enough into residential at this point.
What about Paras in sector 137..
Paras appears safe as of now.
Do you see any ray of hope …will the buyers get their flats…& when expected from the above builders..
They will but provided buyers stand up. Its not that they are bankrupt. Its just that putting money in a sold project is least priority for them.
Unless buyers put consistent relentless pressure, things would keep getting worse.
Is it mean its not good time to buy a home in Noida extension as they may delay it for long time ?
Not necessarily but definitely avoid those who are showing signs of crumbling.
There are builders like ATS, Stellar, Gaur who have not had any major impact of late.
How about Ajnara, Panchsheel and Nirala ?
Or suggest me any other good project where our money is safe and less chance of delay ?
Ajnara and Panchsheel are relatively safer. If you are looking for 2bhk, you may look at Stellar one.
I m looking for 2 BHK with subvension plan in noida extension. Also which is near to Noida so that i can commute for my job. Better if possession within 2 yrs to save my rent.
I would suggest not to go with subvention plan as it binds you to that bank.
Also, it doesnt imply a safe project. Unitech project in sector 117 for example has subvention plan but the builder is facing a financial crunch.
Since I understand you are looking for something directly from builder, You may try mahagun mantra, gulshan bellina or stellar one. Please do a thorough check on latest developments as I have not been around since last 2-3 months.
What did you mean by Bind to bank. I am a salaried person. So I have no other option but to take loan from bank. What subvension plan will make difference other than bit expensive ?
Also, are you recommending mahagun, gulshan bellina and Stellar group over both Panchsheel and Ajnara ?
For the builders – as you sow , so shall you reap
Absolutely, bang on.