Builders Call for Rehabilitation Framework to Resolve Noida Sports City Crisis


In a renewed push to resolve the long-standing deadlock over the Sports City projects, builders in Noida are seeking a rehabilitation policy similar to the one announced for stalled group housing projects. This policy appeal is centered around recalculating pending dues and providing developers with a phased payment window, aiming to bring relief to both developers and homebuyers.

Policy Appeal: Drawing Parallels with Amitabh Kant Committee Recommendations

The proposal, presented by CREDAI (Western UP), urges the Uttar Pradesh government to introduce a tailored rehabilitation framework specifically for Sports City projects. This model, they suggest, should mirror the provisions of the policy enacted for stalled group housing projects, as recommended by the Amitabh Kant committee.

According to the proposal, developers are willing to clear their revised dues by paying 25% within 60 days, with the remaining amount spread across three years. This phased approach, they argue, would enable smoother fund flows, encourage completion of pending works, and mitigate buyer hardships.

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What’s at Stake in the Sports City Projects

The stakes are high. More than 8,000 families have already moved into homes across Sports City sectors 78, 79, and 150, while another 20,000 await possession. Despite being on par with group housing projects, Sports City developments were excluded from the current state rehabilitation scheme.

Tensions rose earlier this year when the Allahabad High Court ordered CBI and ED probes into Sports City dealings and directed Noida Authority to issue recovery notices. Although builders obtained interim relief from the Supreme Court against coercive actions, the Noida Authority resumed recovery proceedings, prompting further protests from developers.

Developers Demand Due Process and Fair Dues Calculation

In an official letter dated August 1 to Chief Secretary SP Goyal, CREDAI contended that issuing fresh recovery notices without addressing anomalies was premature and unjust. The letter highlighted multiple irregularities in the dues calculation methodology:

  • Interest rates should reflect the MCLR as per government directives.
  • Time extension fees, developers argue, are being charged at commercial rates despite only 0.5% of land use being commercial.
  • Farmer compensation has reportedly been imposed twice in some cases.
  • Zero period benefits have been inconsistently applied. Some projects received relief until 2017, while others were excluded.

Delays in revalidating building maps and issuing occupancy certificates have compounded the problem. These procedural hurdles have obstructed property registrations and stalled housing loan disbursements, developers say.

Financial Viability and Broader Impact

Developers warn that many projects in Sports City are on the brink of financial collapse due to the cumulative effect of delayed approvals, land dues, and the development ban. “These delays are not only hurting builders but also thousands of homebuyers who are unable to take possession or register their homes,” said a CREDAI spokesperson.

The letter also stressed the adverse impact on government revenues from stamp duties and other charges.

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A Call for Equitable Resolution

As builders in Noida seek rehabilitation policy tailored for the Sports City cluster, the call is clear: a transparent, fair, and uniform approach is required. Developers are willing to cooperate and clear dues if recalculated justly and provided a feasible payment timeline. Until then, the stalemate continues, impacting livelihoods, homeownership dreams, and economic contributions to the state.

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Frequently Asked Questions

Ans 1. The crisis revolves around stalled Sports City projects in Noida, where thousands of homebuyers are awaiting possession and developers are struggling due to unresolved land dues, delayed approvals, and exclusion from state rehabilitation policies.

Ans 2. Builders, represented by CREDAI (Western UP), are demanding a rehabilitation framework similar to that offered to stalled group housing projects. They want recalculated dues and a phased payment plan to enable project completion and buyer relief.

Ans 3. Over 8,000 families have moved in, while approximately 20,000 homebuyers are still awaiting possession in sectors 78, 79, and 150 of Noida.

Ans 4. Builders are proposing to pay 25% of recalculated dues within 60 days and the rest over three years. This model is designed to ensure smoother cash flow and speed up project completion.

Ans 5. The Allahabad High Court had earlier directed CBI and ED investigations into Sports City dealings. Although the Supreme Court granted interim relief to developers, the Noida Authority resumed recovery actions, leading to renewed protests.

Ans 6. Delays in approvals, occupancy certificates, and registrations have made it difficult for homebuyers to secure home loans or move into completed units, severely impacting their financial planning and homeownership dreams.

Ans 7. Stalled projects mean the state is losing potential income from stamp duties, registration fees, and property taxes, which could otherwise contribute significantly to Noida Authority and state revenues.

Ans 8. So far, Sports City developments have not been included in the UP government’s existing rehabilitation policy for stalled housing projects. Builders are pressing for urgent inclusion and a dedicated policy.