Mumbai: SRA allows deferred payment facility to builders at 12% interest

In a major relief to the real estate sector, the slum rehabilitation authority (SRA) has allowed deferred payment facility on all types of charges to the builder while undertaking slum redevelopment projects.

According to SRA officials, the deferred payment facility was earlier applicable only for fungible FSI charges. However, with the new modification in the notification issued on June 18, the facility is applicable on all types of charges at 12% interest rate.

The official said that developers who wish to take this facility need to pay 25% of the total amount that they want deferred in 30 days. While the remaining amount can be paid in three installments at 12% per annum interest rate. For example, if a developer has to pay Rs 80 lakh to SRA and wants a deferred payment facility on it, then he will have to pay Rs 20 lakh of Rs 80 lakh. And the remaining 75%, which is Rs 60 lakh, can be paid in three installments with 12% interest.

Vyomesh Shah, president of the slum re-developers association and managing director of Hubtown (Akruti) said that this will help the slum rehabilitation project to get faster.