Depleting NRI Interest Force Developers to Put Projects on Hold
Real estate majors, who had lined up projects in Punjab to woo non-resident Indians, have put on hold their plans indefinitely with most NRIs no longer keen to invest in these properties. These players had planned integrated townships and shopping complexes in towns including Mohali, Jallandhar, Bhatinda, Patiala and Amritsar for the NRI customers. But with dwindling incomes across the globe, NRIs too have tightened their purse strings. Among those who have put their plans on hold include DLF, Emmar MGF, Zoom Developers Private Limited and Omaxe Limited.
Zoom Developers president and chief executive officer Rumneek Bawa said the company was going slow on its investments in Punjab. The company, which announced an investment of Rs 600 cr across Amritsar, Patiala, Jallandhar and Bhatinda for constructing housing complexes, hotels and shopping malls in 2007, has till now invested only 30 crore. “A housing complex with 100 expandable villas on 225 yards each at Patiala was in the pipeline. The villas, which were proposed to be ready in 18 months, may now take longer as the buyers are not as aggressive as were expected to be,†he said.
Similarly, Emmar MGF was to invest Rs 16,000 crore in housing and infrastructure projects in Punjab. It proposed an integrated township project in Mohali on 3,000 acre and also announced that it would launch other integrated township projects in Jalandhar and Ludhiana. Each project was be spread over 400 acre. DLF Limited, on the other hand, had planned to set up two integrated townships each in Mohali and Chandigarh besides commercial projects. A company official said they were going slow on projects where they had not made any commitments. He added that the shopping mall in Jallandhar will be operational on schedule.
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