The Allahabad High Court has ordered the Greater Noida Authority to fork out a higher compensation to agitating farmers in a majority of the villages that had challenged land acquisition by State Government.
Home buyers say they are relieved that land acquisition in these 60-odd villages, have not been cancelled. They are hopeful that the order will end the impasse over housing projects that were to come up on these land parcels in Gautam Buddh Nagar district.
The Allahabad High Court has quashed acquisition of land in three villages – Asdullapur, Yusufpur Chak Sahberi and Devla. Real estate developers claim that cancelling the land acquisition in the three villages will not have any material impact on flat buyers as there were no projects coming up on that particular land.
As for other villages – where HC has ordered up to 64 per cent higher compensation to farmers – the home buyers are confident that the decision will pave the way for projects to get back on track.
Builders have hastened to assure existing buyers that the there will be no price escalation on flats already booked. In case the Greater Noida Authority decides to pass part of the compensation burden to builders (who were allotted the land), a price hike of 10-15 per cent could be in the offing for new buyers, say developers.
This section of Greater Noida was until a few months ago, a bustling hub of affordable housing projects with 60-70 developers including Amrapali Group, Supertech, Mahagun, and Gaursons lining up housing projects. Builders were planning 2,50,000 housing units in the area over the next few years. The base selling price here was as low as Rs 1,900 per sq.ft, making the location really attractive for residential buyers.
“It is a balanced judgement. We are relieved that land acquisition has not been quashed (except in three villages),” said Mr Rahul Sharma, Treasurer of Noida Extension Flat Buyers Welfare Association.
He said that while the farmers were set to get a higher compensation, buyers' fears that their projects would not materialise have been put to rest.
“There will be administrative procedures now…the higher compensation to farmers…getting the master plan 2021 approved from the National Capital Regional Planning Board…But all those things will be sorted out,” he said.
Mr Anil Sharma, Chairman and Managing Director, Amrapali Group, said that the verdict was “balanced, acceptable and in everyone's interest”. “The projects may get delayed by three months, but buyers are supporting developers on the issue,” he said.
Asked if the builders were ready to shoulder the burden of higher compensation with the authority, Mr Manoj Gaur, Managing Director of Gaursons India, said, “The HC has directed the authority (Greater Noida) to give higher compensation…The authority may pass some of that (the burden) to allottees, but they will have to tell us…We will discuss it with them.”
In July, the Allahabad High Court had quashed acquisition of nearly 600 hectares in Greater Noida, affecting about 20,000 home buyers and 11 projects. After the judgment, farmers of many villages in the area went to the High Court challenging the land acquisition by the State Government.