Birla Estates partners Sikka Group to co-develop ₹1,600 cr Noida project

Birla Estates has tied up with Sikka Group to co-develop a ₹1,600-crore Greater Noida housing project, leveraging new revival policies that allow creditworthy developers to take over stalled projects

Birla Estates, a wholly owned subsidiary of Aditya Birla Real Estate Limited, on Wednesday said it has tied up with NCR-based developer Sikka Group to develop a housing project worth Rs 1,600 crore in Greater Noida.

 

What are the key terms of the Birla Estates–Sikka Group partnership?

 

The project will come up on a 5-acre land parcel owned by the Sikka Group, with Birla Estates joining as co-developer and investing Rs 500 crore.

 

What is planned for the project and what stage is it currently in?

 

The project will be developed as group housing, and the firm is finalising the configuration, pricing and launch timelines.

 

How does the co-development policy support stalled real estate projects?

 

Under the co-development policy, the new developer can take over stalled legacy projects and raise debt for financial closure of delayed projects based on its own net worth and credit rating.

 

The collaboration follows recent policy measures by the Greater Noida Authority to unlock long-delayed housing projects.

 

What did Sikka Group say about partnering with Birla Estates?

 

“Greater Noida remains a market with long-term residential potential. Birla Estates brings credibility, financial depth and execution capability. With them on board, we are confident of moving this project forward in line with the timelines and standards expected by both homebuyers and the Authority,” said Harvinder Singh Sikka, managing director of Sikka Group.

 

What policy backdrop is driving such collaborations?

 

In the legacy real estate revival policy instituted recently, interest waivers and staggered payments are on offer for developers, on condition that financially sound partners step in to complete construction and clear dues.

 

Last month, Sikka Group had received an in-principle approval from the Noida Authority for restoration of benefits under the stalled project policy for its project in Sector 143B, Sikka Karnam Greens.

 

The Authority had earlier revoked all benefits granted to Sikka Group under the stalled project policy and issued a recovery certificate to recover dues worth around Rs 252 crore.