Kotak Investment Advisor Ltd (KIAL) has agreed to invest Rs 450 crore to help restart the Supertech construction project in Sector 94, Noida. This money will help continue the development of the project and also cover Rs 310 crore in payments to existing creditors.

The project, which is halfway finished, is planned to be the tallest residential tower in the National Capital Region (NCR). When fully completed, it’s expected to make more than Rs 7,000 crore in revenue.

To move forward, the Noida Authority, which is owed Rs 3,319 crore by Supertech, has asked KIAL to deposit Rs 50 crore. This deposit will help set up an escrow account, which is a special account to manage money related to the project. This arrangement will allow Supertech, KIAL, and the Noida Authority to agree on how to handle the project’s finances and land dues.

Supertech’s Chairman, R K Arora, mentioned that they chose KIAL to manage the repayments to existing lenders and provide the needed money to complete the construction.

The Noida Authority has approved KIAL’s plan, and with the Rs 310 crore payment, existing lenders will be paid off. KIAL has also asked the Noida Authority to start issuing No Objection Certificates (NOCs) so that project maps and property registrations can move forward, allowing buyers to pay any remaining amounts.

According to the Noida Authority, Supertech was given the 70,000 square meter land in March 2011 and still owes Rs 3,319 crore as of May 2024. KIAL will also audit the project to review the financial status of both sold and unsold units.

The money from sales and registrations will go into the escrow account. After KIAL deposits Rs 50 crore, the registry process will start, and the updated project plan will be approved.

The Supernova project includes four towers: Spira, the Iconic Tower (the tallest mixed-use building in India at 80 floors and 300 meters high), Nova East, Nova West, and Astralis Tower. Although most residential units have been delivered, the project still needs to build a mall and serviced apartments.

Reviving this project will help Supertech get back on track with other stalled projects. Supertech is responsible for delivering over 15,000 homes. The company’s total debts, including bank loans and dues to the development authority, are around Rs 8,000 crore. However, the money expected from current and future projects is projected to be over Rs 14,000 crore, which means the projects are expected to have a positive value.

Supertech has also presented a plan to the Uttar Pradesh government to revive their projects. They are working on selling some land to pay off lenders and use the remaining money to speed up the completion of other delayed projects.