Demand for payment of enhanced External Development charges (EDC) for RPS Savana

[vineet]

Hi Amitav,

Truly speaking most of the builders are cheats hence they will try all means possible to avoid handover of school, common facilities to RWA. We will have to fight for it.

But asking for reduction of EDC on these common areas means we are endorsing builder's views that we do not have any claim on any common/green area except areas mentioned in the agreement(guard room, DG room etc .)

Its a long fight. Few of us are already in courts for our rights and with time, I am sure many others will take this route.

[sanjeev2111]

Vinnet - The prospect you have put here is very true and it would be really difficult to take control of society facilities whenever RWA is formed. All builders do oppose the same and this would go to long fight which may end up in court.
But when RPS will take the EDC part they most probably will take complete 49 acres for their calculations so we need to be prepared for fight.
My take would be to form Savana RWA (not sure how much legal it is at present) to talk to RPS management.
Sanjeev

[cujatin]

Hi All,

I too agree with Sanjeev about RWA or some kind of legal Society.

Remember We could do something on the Govt Front only after We got this name "GWFA".

Can any body throw some light on this if this is feasable ?

Jatin

[vineet]

Hi Sanjeev,

On your query regarding EDC on entire 49 acres--

KST is another project and charges its customers EDC separately. As they are using RPS license, they would be passing on EDC collections to RPS.

Same piece of land can not attract EDC twice so we should remove this area from 49.019 acres for EDC calculations(hoping that RPS won't be charging Savana allottees EDC for this land).

Regarding RWA formation- In my opinion, we may not be able to take up any legal actions by forming RWA at this stage. Its practical only once people get their possession and unite for the cause.

[hitender]

Hi,

I have written a mail to RPS for refund, find below the reply from RPS.

"This is with reference to your e-mail dated 03/04/2012.
As regards EDC, it is agreed that authorities have decided to revise the enhanced demand. However we are still to receive intimation from authorities in this regard. Necessary revision of demand/ rebate will be given to customers upon receipt of communication from DTCP, Chandigarh."

I think they are making us fool , saying they have not recieved communication from authoreties.

[madhav_aparna]

Hi!

I had visitied RPS office about two weeks back and had a discussion with Rajesh Jain. He mentioned that the EDC being collected from the flat owners is based on super built up area. As per his definition of super built up area this does not include area of schools/commercial areas/creche/ parks/club etc. It is only flat area plus corridors/staircase/lobby etc. I did not argue with him about this. Now the question to be asked is if we take his arguement, then the amount of EDC to be passed on to flat owners @ approx. 95 lakh/acre would only need to be multiplied with total area opf 49 acres reduced by all the above excluded areas.

[vineet]

Hi,

Some builders in Gr. Fbd have given EDC calculations to customers. Its total area in acres X EDC rate/ total saleable are in sq ft. RPS can not be an exception.

Going by below calculations, a 2+1 tower is built on 0.24 acres of land(1303 sq ft X 8). This also includes the proportionate share of guard room, DG room etc, as per argreement. Now this tower has 100+ apartments so EDC old applicable on each unit should be about Rs 21000/-. RPS has collected Rs 183000/- per apartment in 2006. Same calculation would apply for new EDC so instead of asking more EDC, infact they need to return us huge sums.

Hence, this arguement from them is baseless. But yes, they will keep coming with these absurd arguements and we can keep discussing these endlessly without any results.

The only way to fight these malpractices is by moving to courts. RPS will not listen to us for anything and since our money is with them, we will have to accept what they claim/say else we move to an institution who hears us and whose decesion is binding on both the parties.

[madhav_aparna]

Hi!
Yesterday i again visited Mr. Rajesh Jain fromRPS Savana as he had promised to give us important milestones dates for meeting deadline of first phase from Dec 2012. He has mentioned that from among the first 10 towers as per their letter, in 6 towers interal palstering and flooring is also complete. Only electrical wiring/fitting work is pending and this will be done just before handover to avid pilferage. He also mentioned that door/window frame work is also complete. Further, boundary wall will be complete by May 2012.Civil works in STP are complete and machines will be installed from May onwards and will take 3 months. Lifts order will be placed by first week of May. I request other residents also to take similar dates from him and also monitor progress whenever you visit site and do post feedback here.

Another interesting development is that RPS has launched few unsold units @2400/- onwards in 2,2+1 units with assured possession within one year. Copy of this brochure is attached for your info.

He also metioned that HDFC has stopped funding for fresh units in Savana citing delay. They had a meeting with HDFC to sort out the matter.

Lastly, he mentioned that the revised EDC letter from DTCP is yet to be recieved. On enquiry, he mentioned that areas for schools/commercial spaces have been sold to third parties. In tht case, how can RPS claim EDC charges from us on FSA. He mentioned that this is as per rule and FSI is 1.75 for Neharpar. So he has calculated for 49 acres @ FSA of 1.75 which works out to approx. 3.735 million sqft area. Then dividing the total amount payable per acre by this area he has arrived at per sqft rate fr and charged accordingly from flat owners. I'm not sure if he can sell the area and if yes, how can he collect EDC from us.

I would request members to respond to above. The same can be discussed in the upcoming GFWA meeting also.

[vineet]

Hi,

Thanks for the update.

*For price list with one year possession -- Nothing has changed as point #15 in terms and conditions says 'possession in 12 months with penalty clause as per agreement'. Earlier too they have entered into 36 months and 24 months possession agreements with penalty clause but we are yet to find a person who in getting penalty from RPS.

*Possession -- Through DTP Faridabad, I visited the site in May'11 and I again managed to do so two weeks back. I could hardly see any change. The flooring RPS is talking about now was done even in 2011 May. Whatever little work is going on is only external plater (they plaster one wall in 2-3 months which is evident from photographs of site too). The door and window frames were ready in May'11 and were kept on ground floor. They just have managed to nail these on few flats in last 10 months.

*EDC calculation -- Calculating by 1.75 FAR would not make much difference as they have utilization of 174.94 earlier(the calculations we have taken into account). They just want to get away by throwing one or the other complexities.

Another thing I can make out from my last visit is that the life of structure is also taking a hit for this inordinate delay. As a layman I can say that iron rods which go into concrete can support the structure for 35-40 years (Its imperative to cover these with concrete at the earliest) but iron rods left out in open oxidise and lose strength within 3-4 years so keeping the structure exposed without plastering/painting will surely lessen the building life. These guys are just enjoying our money and are not interested in giving us 'value for our money'.

In case you actually want to put some pressure for them to work, court cases are the only option.

[vineet]

Hi,

Thanks for the update.

*For price list with one year possession -- Nothing has changed as point #15 in terms and conditions says 'possession in 12 months with penalty clause as per agreement'. Earlier too they have entered into 36 months and 24 months possession agreements with penalty clause but we are yet to find a person who in getting penalty from RPS.

*Possession -- Through DTP Faridabad, I visited the site in May'11 and I again managed to do so two weeks back. I could hardly see any change. The flooring RPS is talking about now was done even in 2011 May. Whatever little work is going on is only external plater (they plaster one wall in 2-3 months which is evident from photographs of site too). The door and window frames were ready in May'11 and were kept on ground floor. They just have managed to nail these on few flats in last 10 months.

*EDC calculation -- Calculating by 1.75 FAR would not make much difference as they have utilization of 1.7494 earlier(the calculations we have taken into account). They just want to get away by throwing one or the other complexities.

Another thing I can make out from my last visit is that the life of structure is also taking a hit for this inordinate delay. As a layman I can say that iron rods which go into concrete can support the structure for 35-40 years (Its imperative to cover these with concrete at the earliest) but iron rods left out in open oxidise and lose strength within 3-4 years so keeping the structure exposed without plastering/painting will surely lessen the building life. These guys are just enjoying our money and are not interested in giving us 'value for our money'.

In case you actually want to put some pressure for them to work, court cases are the only option.

[cujatin]

Hi All,
Thanks a lot for the updates and I also agree with all points mentioned by Vineet.
However I still see little positive part on this update and that is Rajesh Ji gave some approx dates as when I visited him 3-4 months back and asked the same all questions like lifts, internal roads, STP etc etc and on even asking again and again I could not get any dates. So I am just hoping that he has some information from Management to talk about these things and some work (may be at slow pace) is going on.

To summarize the milestones (approx)

1) In 6 towers internal plastering and flooring is complete.

2) Only electrical wiring/fitting work is pending and this will be done just before handover to avid pilferage.
(Will be complete by?)

3) Door/window frame work is also complete.

4) Boundary wall will be complete by May 2012. (Internal Roads/Green area will be complete by?)

5) Civil works in STP are complete and machines will be installed from May onwards and will take 3 months
(Aug 2012 complete)

6) Lifts order will be placed by first week of May. (Will be complete by?)

7) Painting of the units internal (Will be complete by?)

8) Painting of the Towers Externals (Will be complete by?)

9) Application for the completion certification and normal duration for the same (Will be complete by?)

10) Status for the Electricity connection and Power Backup system installation. (Will be complete by?)

I request others also to put their points as what else needs to be completed and then we all to-gather go to RPS and discussed the dates and monitor it if we are really close to possession.
Others opinions
Jatin

[ddamitav]

Gents,

I am in receipt of revised demand letter from RPS with a amount of 158054/- (@ 121.30 psf). Please do let me know what should be our call!!

Regards,

Amitav

[sanchay]

Dear All,

I have also received the demand letter from RPS asking for an amount of 158054/- (@ 121.30 psf) payable by 24-June-2012.

Please post your views whether we should pay it or wait for our EDC case to be resolved.

[sanjeev2111]

I really doubt on the amount they are referring to Rs. 121 per sq ft.
Earlier demand was for Rs 131 and with interest rate cut off date changing to 2011 instead of 2009 i guess the new edc amount should be much less.

Earlier Vineet has done some calculations and has shown refund of Rs. 25 (approx if I remember correctly) per sq ft.

I think I will need to talk to RPS in person on how they have reached to this amount. I guess same will be with you .. whats say..

Sanjeev

[jcgupta]

Hi all,

I visited RPS office to know the status for refund of relaxation in enhanced EDC and possession schedule. I was pleasantly surprised to receive a copy of the Credit Note @ Rs. 21/- psf, a copy of which has been sent to me. Calculation explained to me seems fair but I could not understand everything. I have been given options of either to adjust the excess amount in my future installments or encash the credit note.

On asking about the possession date of Savana, they said that start of offering possession will be by Dec 2012 and also shared about ongoing activities. Though they seem confident about meeting their schedule but personally I do not find living conditions in that area earlier than 1.5- 2 years.