Why refund can’t ensure a house close to Noida twin towers for the home buyers

The Supertech twin towers in Noida were brought to the ground in seconds literally like a house of cards on August 28. The twin towers comprising Apex (32 floors) and Ceyane (29 floors) were 100 meters tall, and were destroyed with more than 3,800 kg explosives in the meticulously executed demolition.

What happens to the home buyers now who had invested in Noida Supertech Twin Towers

On Friday, the Supreme Court assured that all home buyers of the 40-storey twin towers in Noida will get back the full amount deposited to real estate firm Supertech. A bench of Justices DY Chandrachud, AS Bopanna, and JB Pardiwala said that the home buyers of the twin towers will get their total refund but for the time being, they will be paid from ₹ 1 crore, which will be deposited by the IRP by September 30.

Sanjay Kumar, Business Head, Berkshire Hathaway HomeServices Orenda India said that for home buyers buying a home in the same vicinity will be a distant possibility.

“Price appreciation has been exceptionally well in the Noida market somewhere around 4X from the time of the twin towers, even if Supertech refunds with the interest as directed by the apex court, buying a home in the same vicinity will be a distant possibility, at the same time the home buyers have more luxurious and practical options available now to choose from,” said Sanjay Kumar.

Indian real estate is one of the largest sectors in the Indian economy and contributes close to 8% of the GDP. Ankit Kansal- Founder and MD, 360 Realtors said  the developer has been directed to compensate the buyers including a 12% interest rate annually. 

He added that this seems to be a near-perfect proposition If not the best. 

The Delhi-NCR property market is one of the biggest in India. As per Anarock, the current average residential real estate prices for Noida and Greater Noida are ₹5,120 per square feet and ₹3,750 per square feet, respectively, while the price appreciation during the past five years has been 8 per cent and 15 per cent, respectively.

The Supreme Court had ordered the demolition of the twin towers on August 31, 2021, upholding a verdict by the Allahabad High Court. It held that illegal construction has to be dealt with strictly to ensure compliance with the rule of law.