over 200 owners of Excelsior today demanded that the wing be carved out as a separate society and handed over to the owners
Online PR News – 03-April-2015 – Hyderabad – Caught in a crossfire between the Builder and the Government causing and facing hardships and immeasurable agony, over 200 owners of Excelsior today demanded that the wing be carved out as a separate society and handed over to the owners.
Excelsior, is a joint project between the then AP Government and Emaar MGF. It was promised to be a world-class community of 350 apartments overlooking a championship golf course.
Billed as the most reliable, modern and happening project that would add value to Brand Hyderabad and attract investments, Excelsior predominantly attracted professionals and NRIs (and many of them secured bank loans) to invest in this ‘safe’ project. Many have paid 100% of the apartment cost, but now, four years past the due date they are left with decaying skeletal structures.
The bookings for apartments started in 2008 and the promised delivery was slated for June 2011.
The Current State
Now, seven years from the initial bookings and four years past the planned completion date, the project continues to be mired in controversy owing to conflict between the developers and the state government leaving the owners of apartments high and dry. There doesn't seem to be any clarity on the completion or delivery schedule.
The project seems to have slipped into a state of limbo with the owners having been left in the lurch notwithstanding the fact that the AP High Court and the CBI inquiry has given a largely clean chit to the Excelsior part of the project. It, therefore, defies the logic as to why Excelsior owners are being made to suffer.
NRI investors saw this project as a great "return-to-India" opportunity. But now they are left in disbelief as both the government and the builder seem to be apathetic to their situation. Today, NRI's are asking "why should we invest Hyderabad"? As a result, Brand Hyderabad too is taking a big hit.
What the owners demand
The Excelsior owners demand that the 14 acres that represent the Excelsior Apartments be given to the rightful owners. The 14 acres are situated on the edge of the 535 acre Boulder Hills project and therefore, can be easily carved out. Even a separate entrance is available from a street adjacent to the Brahma Kumaris Institute in Gachibowli.
“We are asking the responsible parties (the government and the builder) to step forward and work with the apartment owners to complete and deliver this 14 acres property as promised” said Raghu Bathina, President, Excelsior Owners Welfare Association.
“The Excelsior project represents only 2.6% of the total Boulder Hills project. 200 innocent buyers have been suffering for five years for no fault of theirs! The CBI has also reported that the 2.6% represented by the Excelsior apartments, were purchased transparently and with no wrong doing. So we demand that those responsible relieve us of this suffering and unjust agony” added Bathina.
The Core Issue: Sandwiching of rightful owners
The apartments block, known as Excelsior, sits on 14 acres within the 532 acre Boulder Hills project. There are about 206 apartments sold out of a total of 350 apartments that Emaar MGF was planning to build in phase 1. The apartment owners have largely paid up but the building complex, which was supposed to have been completed and handed over in 2011, has not been fully constructed except the basic building edifice which is now lying in a state of neglect.
Since April 2010, the project has been a subject of legal tussle between APIIC and Emaar MGF. The issue is around the villas that were supposedly sold below-par value on paper and the introduction of Emaar MGF into the project. The government claims lost revenue due to underhand dealings between the builder and the villa owners and due to a restructuring of ownership with the introduction of Emaar MGF. There was a CBI inquiry instituted at the Honorable HC’s instance into the whole matter. The Enquiry finally concluded in October 2012. With respect to the Excelsior part, the CBI gave a clear chit having observed nothing wrong in 206 apartments’ deals except one - which belongs to the builder’s MD.
Meantime, the government has put a ban on the registration of all properties in Boulder Hills including the apartments through its GO. As a result, even though the apartments are in no way connected with the villas in question, the Excelsior apartment owners are jammed in terms of registration. On top of this, the builder refuses to continue building the apartments claiming force majeure (until the registration ban is lifted).
The fact, on the contrary, is that nothing restricts the builder from completing the construction. But considering uncertainty and issues with their partnership with the Government , Excelsior owners suspect, the Builder probably does not want to risk any more capital deployment, no matter how grave the suffering of the apartments owners!