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The Gujarat government has taken an unprecedented step to address longstanding construction delays at the World Trade Centre (WTC) development in Gujarat International Finance Tec-City (GIFT City) by proposing to transfer responsibility for completing the unfinished towers to an association of allottees. The move follows cancellation of the original developer's lease after the promoter was arrested in a fraud case and extended delays in construction of Towers B and C, while Towers A and D are already complete. A committee headed by the state chief secretary has resolved that, if allottees can mobilise funds and appoint contractors, they will assume control of the project, with regulatory support from the Gujarat Real Estate Regulatory Authority (GujRERA) and state agencies. Officials said the initiative aims to secure possession for buyers and resolve investor grievances under Section 8 of the Real Estate (Regulation and Development) Act.
In a first-of-its-kind initiative in Gujarat, state authorities have agreed to transfer the stalled World Trade Centre (WTC) project in Gujarat International Finance Tec-City (GIFT City) to an association of allottees with the aim of completing the unfinished towers. The decision addresses persistent construction delays on Towers B and C after the original developer's arrest in a fraud case and subsequent cancellation of its lease. Towers A and D of the WTC development were finished previously, but the remaining structures have lagged, prompting regulatory intervention. Advertisement
A high-level committee, led by the chief secretary, resolved that the associations for the two towers one already formed for Tower C and one being organised for Tower B may assume responsibility for development if they can raise the necessary funds and appoint contractors. If the allottees proceed, the state government may reinstate the project lease and update the registration with the Gujarat Real Estate Regulatory Authority (GujRERA) to reflect the new arrangement.
The move follows a reference by GujRERA to the state government under Section 8 of the Real Estate (Regulation and Development) Act, 2016, seeking guidance on completing the project after its registration lapsed. The reference came amid mounting investor complaints buyers have filed around 90 grievances with GujRERA seeking possession of units in the unfinished towers. Regulatory and government officials have said they will coordinate with the allottees associations to support project completion, while also exploring alternative options should allottees decide not to take charge.
Officials involved in the discussions noted that this approach could provide a pathway to safeguard buyers interests and address significant delays that have frustrated investors. Under the proposed framework, the association of allottees would need to mobilise capital and contractual expertise to complete construction, with oversight from relevant authorities. GIFT City and GujRERA will play roles in supervising progress and facilitating necessary procedural changes to allow the handover.
The WTC project forms part of GIFT City's broader commercial landscape, which includes office developments, financial services infrastructure and increasing allotments of built-up area. The decision to empower allottees to complete stalled towers reflects a novel solution to legacy project execution issues in one of India's key planned urban developments.
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