In a significant development for aggrieved homebuyers and the Delhi-NCR real estate market, Suraksha Group-controlled Jaypee Infratech Ltd (JIL) has secured re-validation of RERA registration for seven stalled projects. Covering more than 10,000 residential units, this milestone is expected to expedite construction work and streamline access to home loans from banks and financial institutions.
Key Milestones in the Revival of Stalled Projects
The re-validation applies to the following seven projects:
- Jaypee Greens Klassic - D
- Jaypee Greens Kosmos - A (Phase II)
- Jaypee Greens Kosmos - C
- Jaypee Greens Kensington Boulevard Apartments
- Jaypee Greens Kasa Isles
- Jaypee Greens Krescent Homes
- Pebble Court
Combined, these projects account for a total of 10,082 units of varying configurations and sizes. According to sources, the delivery of these units is scheduled in a phased manner starting from December 2025, providing renewed hope for thousands of homebuyers.
Strategic Takeover and Regulatory Approval
The current turnaround began in June last year when Mumbai-based Suraksha Group took control of JIL by constituting a three-member board. As part of the restructuring process, Sudhir V Valia, the promoter of Suraksha Group, was appointed as a non-executive director on the JIL board. This takeover was confirmed following the National Company Law Appellate Tribunal (NCLAT) decision on May 24 last year, which upheld Suraksha Group's bid to acquire JIL. However, as part of the resolution, the group was directed to pay an additional Rs 1,334 crore to the Yamuna Expressway Industrial Development Authority (YEIDA) for farmers' compensation.
Impact on Construction and Homebuyer Confidence
The re-validation of RERA registration is a critical step in addressing the long-standing construction delays that have left approximately 20,000 homebuyers in limbo. With the regulatory green light, Suraksha Group aims to infuse funds and restart construction on these stalled housing projects. The renewed RERA registrations will not only accelerate project completion but also enhance the credibility of these developments, making it easier for homebuyers to secure financing.
The process of re-validating RERA registrations for other JIL projects is also underway, promising a comprehensive revival of the company’s real estate portfolio.
Financial Strategy and Future Outlook
Reviving these projects is part of a broader strategy under the Corporate Insolvency Resolution Process (CIRP) that began in August 2017, initiated by an IDBI Bank-led consortium. Suraksha Group’s final resolution plan, approved by the National Company Law Tribunal (NCLT) in March 2023 and later by the NCLAT in May 2024, outlines significant measures:
- Investment Requirement: An estimated Rs 6,500-7,000 crore is needed to complete nearly 160 residential towers across various projects.
- Asset Offerings: The group has offered bankers more than 2,500 acres of land.
- Debt Instruments: Nearly Rs 1,300 crore is proposed to be raised through non-convertible debentures.
- Timeline: All stalled projects are targeted for completion within the next four years.
Lenders have submitted claims amounting to Rs 9,783 crore against Jaypee Infratech, underscoring the scale of the financial challenges ahead. Nonetheless, the re-validation of RERA registrations marks a turning point in restoring trust among homebuyers and revitalizing the company’s stalled developments.
Conclusion
The re-validation of RERA registration for these seven projects is set to be a catalyst for change, potentially transforming the fortunes of countless homebuyers who have waited for over a decade. As Suraksha Group embarks on the complex task of reviving these stalled projects, industry stakeholders and financial institutions will be watching closely, hopeful that this move will restore confidence in the market and pave the way for a robust recovery in the real estate sector.