Permitting banks to restructure loans on the basis of the “project” will be a breather for many developers
The RBI’s permission to banks to restructure the loans of real estate companies at the project level rather than at the entity level is expected to help buyers and developers, consultants and developers have said.
The moratorium on loan repayments for developers ended on August 31, 2020.
"It is indeed a good move. It will help restart projects stuck due to the impact of the Covid-19 pandemic. Both buyers and developers will stand to gain when these projects eventually see the light of day. From a buyers' standpoint, they will no longer have to wait indefinitely for their homes. As for developers, they will get the requisite liquidity to eventually complete their projects," said Anuj Puri, chairman of Anarock Property Consultants.
First Published: Oct 15 2020 | 6:50 PM IST