Economic Times - Alpha Corp to Invest ₹500 crore in Earth Infras Three Stuck Projects
Alpha Corp to Invest ₹500 crore in Earth Infras Three Stuck Projects. By Economic Times
Alpha Corp to invest Rs 500 crore in three stuck projects of Earth Infrastructure
Editor | June 22, 2021 @ 03:15 PM. Delhi/NCR
Alpha Corp said it will invest Rs 500 crore in three stuck projects
of Earth Infrastructure following the National Company Law Tribunal’s
approval of the real estate developer’s resolution plan.
The NCLT had approved the plan earlier this month, offering a glimmer of
hope to more than 1,000 homebuyers who have been stuck in the projects
since 2015.
“We understand that investment in residential
spaces not just involves hard-earned and lifetime savings of the buyers
but it also encompasses an emotional value attached with the security of
having a home,” Alpha Corp CEO Ashish Sarin told ET. “Protection of a
buyer’s interest has always been our topmost priority and we have always
stepped in to complete and deliver stalled projects to maintain
investors’ trust in the market.”
According to the NCLT order, a copy of which has been seen by ET, the
insolvency process had started in June 2018. Five projects of Earth
Infrastructure were stuck and the NCLT had allowed bidders to submit
separate resolution plans for each project instead of asking them to
submit one plan for the company.
“We will need Rs 150 crore to
start the project and for that we will approach the banks and SWAMIH
fund. The project will be completed in the next three-five years,” said
Santosh Agarwal, Chief Financial Officer, Alpha Corp.
The company has taken over three projects – Earth Copia, Earth Sapphire and Earth Techone.
Earth Copia is a residential project on Dwarka
Expressway in Gurgaon with more than 600 flats while Earth Techone is a
commercial project on Yamuna expressway with a development capacity of 2
million sqft.
Earth Sapphire is a commercial and retail project, spread over 1.5 million sqft, where 60% of the work has been done.
“The residential real estate is now completely a buyer’s market and
customer centricity has taken the centre stage. We are confident of
completing the stalled projects,” said Agarwal.
The resolution
plan along with the scheme submitted by Alpha Corp has been approved by
the committee of creditors with a majority of 99.97%. The NCLT rejected
the objection raised by HDFC Bank against the resolution plan.
Alpha Corp plans to invest nearly Rs 1,000 crore in reviving 10 stuck
projects in Delhi-National Capital Region. With the help of the buyer
associations in these projects, the company had submitted bids in the
Delhi High Court and the NCLT.
According to property consultant
Anarock, NCR has 292 projects comprising about 190,110 units launched
by 2013 that were stuck or delayed at the end of 2020. These projects
are worth more than Rs 1,19,291 crore.
Faizan Haidar, ET Bureau
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Story was also Carried In following Publications
1. Amar Ujala - amarujala.com
2. Magicbricks - content.magicbricks.com
3. Construction World - constructionworld.in
4. Aaj Ka Samachar - aajka-samachar.in
5. Realty Beat - realtybeat.in
6. Fresh Booking - freshbooking.in
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