pnb: AIPL signs asset management contract with IREO group to develop project in Ludhiana

AIPL Housing and Urban Infrastructure Limited, a subsidiary of Advance India Projects Limited (AIPL) has signed an asset management contract to develop a stuck project of IREO group in Punjab’s Ludhiana, giving relief to about 1200 homebuyers.

Ireo waterfront is a 500-acre plotted development project, which was about 50% sold and completed by IREO while the remaining 50% will developed by AIPL, once the deal is signed.

AIPL will make an investment of Rs 600 crore in the project. In addition it has cleared dues of lenders and local authorities.

“AIPL stepped in and paid approximately Rs 57 crore till date to GLADA, PNB loan was fully paid, and payments were streamlined to LICHFL, within the scheduled timelines. As a result, project approvals were restored, conveyance deeds in favour of home buyers commenced, with many conveyance deeds are already registered with the Sub- registrar, Ludhiana and 80 possessions being completed,” said Hemant Gupta, President Punjab, AIPL.

PNB had initiated SARFAESI proceedings to recover their pending loan dues of above Rs 30 crore. LICHFL had initiated proceedings in NCLT to recover their pending loan dues of Rs 80 crore.

PNB loan was fully paid by AIPL, and payments were streamlined to LICHFL, within the scheduled timelines.

An IREO spokesperson said that discussions are currently going on with the AIPL and there are some pending issues which needs to be finalized.The project was launched in 2010 and 50% of the project was sold while it get stuck midway.

Greater Ludhiana Area Development Authority (GLADA) had put a stop to sale deeds due to pending dues of more than Rs 80 crores.

“There were expired project-wise approvals, legal cases from buyers who hadn’t received possession of their units or registries, incomplete infrastructure, lack of new construction, and poor upkeep of basic facilities. All these factors contributed to a bleak situation, and the township struggled to attract buyers for unsold inventory,” said a company executive.

Payment to the authority and lenders helped restoring the faith of customer.

“This further lead to increase in sales, with over 120 families currently residing in the township, and construction underway for over 40 houses and about 20 floors,” said Daljeet Singh, Executive Director, AIPL.

AIPL has projects across Delhi-NCR, Punjab and Rajasthan. The company has delivered over 7 million sq ft of office spaces, 3.7 million sq ft of retail spaces and 320 acres of residential township development across Delhi-NCR, Punjab and Rajasthan.