NEW DELHI: RG Group has successfully completed the first phase of its previously stalled RG Luxury Homes project in Greater Noida West, following insolvency proceedings. The total construction costs post-NCLT are estimated at around ₹200 crore.
Following the project’s admission to the National Company Law Tribunal (NCLT), the developer has refunded approximately ₹95 crore to homebuyers. Post-insolvency, ₹43 crore was infused by the promoter into the project, while banks provided nearly ₹27 crore in construction financing. After NCLT proceedings, the outstanding authority dues amounted to about ₹200 crore, of which ₹60 crore has already been paid.
To obtain regulatory approvals and settle longstanding authority dues, the company pursued relief through the Amitabh Kant committee’s rehabilitation framework for stalled housing projects in Noida and Greater Noida. Developers must deposit 25% of their due amounts in advance to qualify for a waiver on interest and penalties during the delay period, also known as the “zero period.” Remaining dues can be paid over three years with simple interest, allowing authorities to resume registries and issue occupancy certificates for eligible projects.
Located in Sector 16B, Greater Noida West, the project features 1,918 residential units in Phase 1. It was admitted to insolvency proceedings in September 2019 and was later revitalized under a ‘reverse insolvency’ framework, allowing construction to continue under the supervision of an interim resolution professional (IRP).
RG Group has received the occupancy certificate (OC) for the remaining towers G and H, which consist of 464 flats. With this, all 1,918 units in Phase 1 have obtained occupancy approval. Previously, 854 units in towers A, B, C, and M received their occupancy certificates, followed by 600 units in towers D, E, and F in November 2024.
Construction activity resumed in October 2021 after the approval of a revival plan and was completed in approximately two years under the oversight of lenders, homebuyers, and the IRP. Registry and possession for units in towers G and H are anticipated to commence shortly.
