UP-RERA Colour Codes to Mark Developer Reliability
To give homebuyers an idea about the safety of their investment in property, UP Real Estate Regulatory Authority (UPRERA) has carried out colour coding of all 781 housing projects being executed in the city.
The regulatory body’s assessment has revealed that only 35.6% housing projects are completely safe for investment. The real estate watchdog has categorized properties in green, orange and red codes after verification of four parametres – due approval of layout map by the Lucknow Development Authority (LDA), complaints registered againt the promoters in ongoing projects, financial status of the builder and efficiency record of a developer’s previous projects.
Projects which fulfil all four parameters are kept in ‘green’ category which are safe for investment, those qualifying 2-3 standards are marked ‘orange’ (a little risky) and those clearing one or none of the paramaters have been placed in ‘red’ category (unsafe).
Of the total, 278 (35.6%) projects have been coded green, as they fulfill all norms, while 319 (40.8%) fall in orange zone. At least 184 (23.6%) projects are in red zone which, according to the regulatory authority, are not safe at all.