Supertech vows strong focus on stalled projects to regain buyers' trust

Firm aims to deliver 15,000 units to regain buyers' trust, revive brand and ride on growth again

Anxious to get back on a growth track, regain consumer confidence and revive the brand, real estate developer Supertech says it plans to spend Rs 1,500 crore in the current financial year, to expedite project completion. 

It says it aims to deliver 15,000 units across projects in the National Capital Region, northern India and Bengaluru by March 2018. The money would come from customers' final payments, from those willing to pay on assurance of delivery. 

R K Arora, chairman, said it had given delivery of 22,000 apartments in the past three years and hopes to clear the pending ones over the next one year.

"These are projects are on the verge of completion. We have already collected Rs 2,000 crore from our customers and of that, we are investing Rs 1,500 crore," he said.

The company says it will be hastening the progress with modern construction technology such as modular pre-cast slabs, along with increasing the deployment of workers to 13,000, from the current 10,000.

Arora added that he hoped the projects nearing completion were not brought under the new Real Estate (Regulation & Development) Act, termed Rera, where penalties for late delivery are severe. "These projects are almost 85 per cent complete and have got part completion certificate as well. Bringing these projects into Rera would be unfair," he said.

Supertech, he said, was not facing a financial problem. "The company has long-term plans of investment, as there is no financial crunch.  We are quite optimistic that the realty market will revive very soon after Rera coming into force."

Non-delivery of residential properties for years has triggered distrust in the market and a decline in demand. Ensuring manhy developers being unable to complete projects within the stipulated period. Sector observers say Rera and other recent policy changes such as demonetisation and the Benami Transactions (Prohibition) Amendment would restore consumer confidence. The onus is now on developers, by focusing on delivery of ongoing projects to customers, instead of launching new ones.

Supertech says it will be doing this, apart from delivering these 15,000 units. It has projects at more than 50 locations and over 65,000 customers.