Twin towers demolition: Supertech says it lost Rs 500 cr

Realty firm Supertech Ltd has incurred a loss of about Rs 500 crore including construction and interest costs because of the demolition of its twin towers in Noida the companys Chairman R K Arora said on SundayThe nearly 100metretall twin towers Apex and Ceyane were demolished at 230 pm on Sunday as per a Supreme Court order that found their construction within Emerald Court premises in violation of norms More than 3700 kgs of explosives were used in this operation The cost of the demolition itself is estimated at about Rs 20 croreOur overall loss is around Rs 500 crore taking into account the amount we have spent on land and construction cost the charges paid to authorities for various approvals interest paid to banks over the years and the 12 per cent interest paid back to buyers of these two towers among other costs Arora told PTIThese twin towers were part of Supertechs Emerald Court project at Sector 93 A on the Noida Expressway The current market value of over 900 apartments in the two towers is being estimated at over Rs 700 croreAlso Read Twin towers demolition shows law ultimately catches upArora said the total built up area in these two towers was around 8 lakh square feetWe constructed these towers as per the building plan approved by the Noida development authority he addedAsked about the demolition cost Arora said Supertech is paying Rs 175 crore to Edifice Engineering which was tasked with safely pulling down the structures including the premium amount for a Rs 100crore insurance cover In addition there are several other costs associated with the demolitionEdifice had roped in South African experts Jet Demolitions for the projectIn August last year the Supreme Court ordered the demolition of the twin towers and directed that the entire amount of homebuyers has to be refunded with 12 per cent interest from the time of the bookingThe apex court has also ordered that the Residents Welfare Association be paid Rs 2 crore for the harassment caused due to the construction of the twin towersThe court had said the construction of Supertechs twin 40storey towers having 915 flats and 21 shops was done in collusion with the Noida AuthoritySeparately Supertech said in a statement that the demolition would not impact its other projectsWe have completed and given delivery of more than 70000 units to homebuyers and are committed to give delivery to remaining homebuyers as per schedule time frame We assure all our home buyers that the order of Supreme Court will not affect any other ongoing project and all other projects will continue it addedThis story has been sourced from a third party syndicated feed agencies Midday accepts no responsibility or liability for its dependability trustworthiness reliability and data of the text Midday managementmiddaycom reserves the sole right to alter delete or remove without notice the content in its absolute discretion for any reason whatsoever