New Delhi: Realty firm Jaypee Infratech, acquired by Suraksha Group through insolvency, on Monday said it will invest about Rs 3,000 crore over the next two years to complete all stalled housing projects and asserted that all stuck homebuyers would get their apartments by September 2028.
The company also announced plans to develop three new townships on Yamuna Expressway totalling more than 450 acres.
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On June 4, 2024, Suraksha Group took control of Jaypee Infratech Ltd (JIL) following insolvency appellate tribunal NCLAT's decision upholding its bid to acquire the bankrupt real estate company.
In a press conference in Noida, Suraksha Group Promoter Sudhir Valia highlighted that in the last two years, it has completed 84 towers comprising 7,913 units out of the total 159 towers that were stalled when it took over the JIL operations.
Already 5,000 units have been handed over to customers, while the possession of remaining around 3,000 units is pending, he added.
When asked about the deadline to complete all projects, Valia said the company would complete all constructions works and give possession to customers by September 2028.
"We are very confident that we will deliver all units in the scheduled time period," he said.
Asked about total investment done so far and the cost to be incurred, Valia said, "The company has invested around Rs 1,500-2000 crore so far and will invest around 3,000 crore to complete all stalled projects".
He said the investment is more on finishing work of apartments.
On source of funding to meet project cost, Valia said the company has a receivable of Rs 1,800-2,000 crore from existing customers. It also earns Rs 500 crore annually from toll collection of Yamuna Expressway.
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That apart, he said the company has 2,000 unsold units with a potential sales value of Rs 2,500 crore.
Mumbai-based Suraksha Group, in its final resolution plan, promised to complete around 20,000 homes across various stuck residential projects and then offer possession to distressed homebuyers.
On expansion, Jaypee Infratech CEO Abhijit Gohil said the company plans to launch three townships, of which two would be residential and one industrial.
The largest township has a size of 256 acres, while the other two are spread over 124 acres and 85 acres.
Jash Panchamia, Executive Director of Jaypee Infratech, said these townships will be launched during the current and the next financial year.
The Corporate Insolvency Resolution Process (CIRP) against JIL started in August 2017 over an application filed by an IDBI Bank-led consortium.
On March 7, 2023, the National Company Law Tribunal (NCLT) approved the bid of Suraksha Group to buy JIL.
In its final resolution plan, Suraksha Group offered to bankers more than 2,500 acres of land and nearly Rs 1,300 crore by way of issuing non-convertible debentures. It also proposed to complete all stalled projects over the next four years.
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