Noida to cancel plot allotment over non-compliance of rules

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NOIDA: The Noida authority board has decided to soon cancel allotment of the plots, whose owners have failed to obtain completion certificates within the stipulated time frame, officials said on Sunday.

This decision follows a June 3, 2022 government notification and a December 20, 2023 order which had extended the timeline for declaring these plots functional until December 31, 2024. (Sunil Ghosh/HT Photo)

The board on January 2 allowed last warning notices before cancelling the allotment of these plots, which are failing to comply with the laid down rules, they added.

โ€œThe authority board has given the last opportunity to these plot owners failing which action will be taken as per the law,โ€ said Lokesh M, chief executive officer (CEO), Noida authority.

As per rules, the plot owners have to build buildings and then obtain the completion certificate within the allowed time frame failing which the authority can cancel the allotment, said officials.

โ€œThe Noida authority has decided to refer cases of industrial plots and IT/IT enabled service (ITES) plots, allotted under both industrial and institutional categories, to the state government for resolution,โ€ said a Noida authority official aware of the development.

โ€œThe referral is intended to provide such plot owners a final opportunity to clear overdue payments or address non-compliance in construction,โ€ he added.

This decision follows a June 3, 2022 government notification and a December 20, 2023 order which had extended the timeline for declaring these plots functional until December 31, 2024,

The authorityโ€™s board recently reviewed the updated status of industrial and institutional plots covered under the notification.

In the industrial sector, 206 plots required completion and functionality declarations by December 31, 2024. However, 80 plots are still non-functional, including 30 with overdue payments.

In the IT/ITES sector under the institutional category, 107 plots were reviewed. Of these, 16 have obtained functionality certificates, while 91 remain non-functional.

Industrial sector plots

Of the 206 plots, 114 plots were declared functional, and four were cancelled due to liabilities or other issues, and eight remain embroiled in litigation. However, 80 plots are still non-functional, including 30 with overdue payments.

Discussions with 21 of these allottees revealed that financial constraints were a major issue, prompting many to request instalment-based payment plans.

Among the non-functional plots, 82 have completed construction, three are under construction, and three remain vacant due to ongoing litigation.

Also, 23 plots in the industrial category were cancelled under Section 41(3) of the Uttar Pradesh Industrial Area Development Act for failing to meet functionality requirements. Of these, 12 cases were resolved through court orders, while 11 remain pending, with no applications filed in eight of them.

IT/ITES sector plots

Of the 107 plots reviewed in this sector under the institutional category, 16 have obtained functionality certificates, while 91 remain non-functional. Among these, 29 plots were initially cancelled due to non-construction, but 18 were later restored by the state government following revision applications.

For 11 plots, no restoration applications have been filed, leaving their status unresolved. Furthermore, 78 plots have constructed more than 50% of their permissible Floor Area Ratio (FAR) but are not yet functional.

Of these, 38 were granted an extension until December 2024, while 24 neither received extensions nor achieved functionality.

The Noida authority, meanwhile, has emphasised the need to comprehensively address these issues and has sought guidance from the state government on resolving challenges related to overdue payments and functionality compliance.

The authority is particularly focused on facilitating payment options, such as instalment plans, for allottees facing financial difficulties, and ensuring adherence to the extended deadline of December 31, 2024. Resolving these cases is considered essential for achieving functionality across industrial and institutional plots in Noida.



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