Jaypee Infratech will invest around Rs 3,000 crore over the next two years to complete stalled housing projects and give possession to remaining homebuyers by September 2028.
Realty firm Jaypee Infratech plans to invest around Rs 3,000 crore over the next two years to complete its stalled housing projects.
The company, acquired by Suraksha Group through the insolvency process, has also set a target to hand over all pending apartments to homebuyers by September 2028.
Jaypee Infratech to Complete Stalled Housing Projects
Jaypee Infratech has already completed 84 towers comprising 7,913 units out of 159 stalled towers that were pending when Suraksha Group took control of the company.
The company has handed over around 5,000 units to customers so far. Possession of around 3,000 units remains pending.
Suraksha Group Promoter Sudhir Valia said the company is confident of completing the remaining construction work and handing over all units by September 2028.
“We are very confident that we will deliver all units in the scheduled time period,” he said.
Jaypee Infratech Investment to Support Project Completion
The company has invested around Rs 1,500-2,000 crore so far, according to Valia.
It plans to invest another Rs 3,000 crore to complete the stalled projects. A major part of the proposed investment will go towards finishing apartment construction.
The company has identified multiple funding sources to meet the project costs.
Jaypee Infratech Has Multiple Funding Sources
The company has receivables of around Rs 1,800-2,000 crore from existing customers.
It also earns around Rs 500 crore annually from toll collection on the Yamuna Expressway.
In addition, the company has around 2,000 unsold units. These units have a potential sales value of approximately Rs 2,500 crore.
These resources are expected to support the company’s ongoing construction and project completion plans.
Jaypee Infratech Plans Three New Townships
Alongside completing stalled housing projects, Jaypee Infratech plans to develop three new townships along the Yamuna Expressway.
Two townships will be residential, while one will be industrial. Together, the projects will cover more than 450 acres.
The largest township will span 256 acres. The other two projects will cover 124 acres and 85 acres, respectively.
Jaypee Infratech CEO Abhijit Gohil said the company plans to launch the townships during the current and next financial year.
Jaypee Infratech Acquisition by Suraksha Group
Suraksha Group took control of Jaypee Infratech Ltd (JIL) on June 4, 2024, following the insolvency resolution process.
The insolvency process against JIL began in August 2017 following an application by an IDBI Bank-led consortium.
The National Company Law Tribunal (NCLT) approved Suraksha Group’s bid to acquire JIL on March 7, 2023. The National Company Law Appellate Tribunal (NCLAT) later upheld the acquisition.
Under its final resolution plan, Suraksha Group committed to completing around 20,000 homes across various stalled residential projects.
The group also offered more than 2,500 acres of land to bankers and proposed nearly Rs 1,300 crore through the issuance of non-convertible debentures.
The latest investment plan reinforces the company’s focus on completing stalled projects while expanding its real estate development pipeline along the Yamuna Expressway.
Source: PSU Watch
