The Greater Noida authority has announced plans to issue partial occupancy certificates (OCs) for housing developments that have paid 25% of their recalculated land cost obligations. This decision follows the Uttar Pradesh government’s policy established on December 21, 2023, aimed at helping legacy-stalled projects.

Officials indicated that this initiative is expected to aid thousands of homebuyers facing lengthy delays, allowing them to move into their flats and finalize the registration process while settling the remaining 75% of their dues over the next three years.

Authority officials said the decision will initially cover at least 37 apartment societies whose developers have already deposited one-fourth of their net dues and obtained a no-dues certificate (NDC). “We will issue partial occupancy certificates to at least 37 apartment societies so that the homebuyers’ grievances can be addressed. The decision is taken after the developers demanded partial OCs in projects where they have already paid part payments,” said Saumya Srivastava, additional chief executive officer of the Greater Noida authority.

To be sure, an OC is issued by a local authority certifying that a building complies with approved plans, building codes, and safety norms, making it legally fit for occupation.

In Uttar Pradesh, OCs are granted after verifying construction quality, safety measures, and clearance of dues, enabling legal possession, utility connections, and property registration. Recently, UP RERA mandated that possession letters can only be issued after obtaining an OC, aiming to curb unsafe, illegal occupancy. The move sparked controversy, as many delayed projects in Noida and Greater Noida lack OCs due to pending dues or incomplete clearances, leaving homebuyers, often paying both rent and EMIs, unable to move in or register homes. Critics say the rule unfairly penalises buyers in legacy stalled projects.

Under the new arrangement, completion certificates will be issued proportionate to the percentage of payments made beyond the initial 25% of dues. This will enable possession and registration of completed units while developers continue paying instalments. The authority said the plan was approved by its board last month after representation from the Confederation of Real Estate Developers’ Associations of India, Western UP chapter (CREDAI-WUP).