Here are solutions for stuck real estate projects to take off
21 Jun 2017
Kickstart loans for developers and ‘soft loans’ at 6 per cent for buyers are solutions for take off of stuck up real estate projects.
Rajeev Talwar, Vice President, PHD Chamber of Commerce and Industry, recently appealed to the government to come out with a concept of ‘kickstart loans’ for real estate developers, especially for those whose projects are stuck up as also make a provisioning of a loan at the rate of 6 per cent for buyers that have invested their hard earned money in such projects so that their re-launch becomes conclusive.
Speaking at a RERA Reality Conference for Making New India under aegis of PHD Chamber of Commerce and Industry, Talwar held that two reforms namely GST and RERA that have happened in post independence history of India are critical for India’s higher GDP which will also ensure prosperity and employment for large chunk of its people.
Talwar appreciated and welcomed efforts that led to creation of RERA as it would induct transparency in the real estate and construction sector, especially the beneficiary would be the consumer and builders that indulge in malpractices be punished severely.
The Vice President of the Chamber, who is also the CEO & Whole-Time Director of DLF, said that with ‘kickstart loans’, the stuck up projects in the real estate sector could be re-launched with additional liquidity as many of them are held up for want of money for which the suggested loans could be of great use.
He also mooted the idea that buyers who have poured in their money in such projects should be given loans at the rate of 6 per cent as a vast number of them have already spent their money on stuck up projects and paying off large EMIs on them. The soft loan for them would come as a great relief and the builders would be able to generate liquidity to finish off construction in such projects.
Speaking on the occasion Dilbag Singh Sihag, ED, RERA, Haryana, and Vivin Ahuja, Director, RERA, NCT of Delhi, praised the RERA legislation driving home the point that its violation would attract harsher penalties and would lead to a win-win situation for both developers and buyers.