Government Provides Liquidity Support To Emaar MGF

Published: April 7, 2009 at 10:10 PM | Author: Administrator
News Source: 30 March 2009 - Rediff.com

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To provide liquidity support to the developer of the Commonwealth Games Village Project, Emaar MGF, the government has decided to advance Rs 100 crore, as against the developer's demand for Rs 300 crore (Rs 3 billion). To provide liquidity to the company, the Ministry of Urban Development plans to ask the Delhi Development Authority (DDA) to buy flats in the village. The DDA is expected to sell the flats after the prices revive. Right now, the committee, set up by the Ministry of Urban Development, is analysing the actual price of the apartments in the complex. The developer has quoted Rs 12,750 per sq ft. The market price of flats in the area has fallen by 20-30 per cent and the government is not keen on paying an amount higher than the current market price.