Over 1,400 SDS NRI Township buyers protest against builder’s additional compensation demand, ET RealEstate

February 16, 2025
1 min read
Over 1,400 SDS NRI Township buyers protest against builder's additional compensation demand, ET RealEstate


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NOIDA: More than 1,400 homebuyers of SDS NRI Township in Sector 26A off Yamuna Expressway have initiated a protest against the developer’s demand for 64.7% additional farmers’ compensation at the rate of Rs 8,746 per sqm.

This demand by SDS Infracon will translate into an unexpected financial burden of around Rs 8-10 lakh for each buyer, despite a majority of them still lacking legal possession of their plots in the 125-acre township after more than a decade.

The controversy dates back to 2011, when the compensation for farmers who had parted with their land was initially set at Rs 1,770 per sqm. The amount, however, escalated significantly because of SDS Infracon’s delayed payments, accumulating interest on mounting dues and penalties.

On May 19, 2022, the Supreme Court favoured a demand by Yamuna Expressway Industrial Development Authority (YEIDA) for additional farmers’ compensation. After the court verdict, the developer asked the buyers of plots to bear the additional cost, citing terms of the sub-lease deed.

“The YEIDA since then is pressing for recovery of the said additional farmers’ compensation, however, at an excessive rate and that too with penal interest. Our various letters/representations to YEIDA for corrective actions/reliefs are still being considered by YEIDA,” the letter to buyers read. Of the 1,400 affected buyers, only 500 could register their plots between 2011 and 2015, when YEIDA issued temporary and conditional completion certificates. The remaining 900 are yet to get their land registered. But those with registered plots aren’t any better either. They cannot begin construction because of severe infrastructure deficiencies, including the absence of basic amenities like electricity, water, and sewerage systems.

Tarun Sharma, general secretary of the NRI Township Yamuna Plot Owners Association, expressed outrage at the compensation demand, saying their investment in the project had increased nearly four times. “This unreasonable demand shows the builder’s complete disregard for buyers’ hardships. On the other hand, they remain unaccountable for the project’s incomplete infrastructure,” he added.

The situation has been further complicated by YEIDA’s inconsistent policies regarding construction penalties. While fines were waived from 2017 to Dec 2022 because of lacking infrastructure, the authority unexpectedly enforced penalties for 2023. Though the waiver was reinstated in 2024, uncertainty remains about the 2025 policy.

There are additional challenges regarding the township’s expired layout plan, which has not been renewed since 2018. This has prevented even registered buyers from obtaining approvals of their construction maps.

  • Published On Feb 17, 2025 at 08:38 AM IST

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