Mumbai: Realty sector players on Saturday held a webinar with the Real Estate Regulatory Authority (RERA) chiefs from across the country to discuss issues spanning during the coronavirus crisis and measures to grapple the disruption.
Issues such as extension of force majeure clause, provision of long term cheap credit as working capital to restart projects and quick partial lifting of lockdown to permeate construction workers on site to refunction in completing premonsoon work dominated the discussion. The webinar was organised by the National Real Estate Development Council (NAREDCO).
The participants observed that for real estate sector revival the collective efforts at government and RBI level are required in terms of reduction in stamp duty, GST and home loan interest rates, liquidity boost, relaxation in interest payments. However, they argued that it should not be seen as incentive to developer but as a stimulus demand. Participants demanded that there was a need to revise ready recknor rates especially after COVID 19 scenario and should reflect the current market scenario.
There should not be any resilience to reduce the same if required. NAREDCO President Niranjan Hiranandani said, "These are the kick start measures imperative to start the ball rolling for the next big employment generator industry whose revival dominance is inevitable for the economic GDP growth of the country. The pain staking issues of industry need to be addressed for contingency and backup business continuity plan for sustainability, survival which will lead to the gradual revival.”
Further, the participants suggested that construction operations should be started except at COVID 19 hotspots and evidence based study is required in order to conclude how much delay in projects is to be allowed considering the COVID 19 situation. They opined that it thereby goes in auto mode and uniformity in decisions that can be maintained across India.