Curation Team
NOIDA: Noida Authority has decided to appeal against an Allahabad high court order that struck down the state’s move to withdraw lease rent waivers earlier granted to several real estate firms under “zero period” relief, citing the need to protect revenue and uphold policy consistency. Zero period is a policy tool used to grant relief for delays beyond the developer’s control.
At a meeting held on June 14, the Authority’s board resolved to challenge the HC’s April 23 judgment delivered in a petition filed by Greatvalue Projects India. The Authority points out the lease rent waivers contradicted its standing policy, which explicitly prohibits any waiver of lease rent.
Based on this, the board decided to file an appeal or revision before a higher court against the HC order “to maintain policy uniformity and safeguard its financial interests”. Noida Authority had earlier expressed concern about the financial impact of the court ruling, saying “waiving lease rent could significantly affect its revenue base”.
The case revolved around lease rent relief granted through orders passed by the state’s revisional authority to Greatvalue Projects, besides Pan Realtors and Express Builders and Promoters through separate orders in July-Sept 2023.
Initially, these orders allowed the developers to benefit from a “zero period” and waived lease rent for the specific periods based on a govt order for the rehabilitation of stalled projects issued in Dec 2023.
However, on Jan 9, 2024, the same revisional authority, citing contradictions with Noida Authority policy — which states that lease rent cannot be waived under any circumstances — issued an order withdrawing these waivers.
Greatvalue developers challenged this withdrawal in the HC earlier this year
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