Navi Mumbai: CIDCO gives plot buyers 9-month time to make payment

In another relief to the real estate sector in Navi Mumbai, the City and Industrial Development Corporation (CIDCO) has given a 9-month extension for plot buyers whose payment fell during the COVID pandemic. Plot buyers normally have to make payment within two months after allotment of tender plots.

Builders Association of Navi Mumbai (BANM) welcomed the move and said the decision has come as a big relief for developers as they hardly had any business during the lockdown period and they were facing liquidity issues.

Dr Sanjay Mukherjee, vice-chairman and managing director of CIDCO shared the decision through his tweet. He tweeted, “In a move to give relief to plot buyers during the COVID 19, CIDCO has decided to give an extension of 9 months for those payments fell between March 25 and December 24, the pandemic period.”

Haresh Chheda, president of BANM said that plot's buyer has to pay the first installment in 30 days and the next within 60 days. “The decision will give them another 270 days to make the payment,” said Chheda. He added that the decision will give a huge respite as developers will have the liquidity to continue the ongoing project and make the payment for plots over a period of 9 months.

Developers from Navi Mumbai, while welcoming the initiative, have expressed that CIDCO must fast-track much-delayed infrastructure development work. "The extension given by Dr Mukherjee is certainly welcome. Our request to CIDCO is to implement basic infrastructure works in existing as well as emerging areas under its administration", said Sijo Sunny, Director, National Builders.

FPJ had reported about how developers from the city were facing a liquidity problem in executing their ongoing projects. The lockdown forced a complete closure of constructions and sales. Even after the ease in the lockdown, they faced manpower issues as most of the labourers had returned to their native cities.