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Uttar Pradesh's co-developer policy is now in action in Noida, aiming to revive stuck housing projects. Nimbus Projects has taken over the long-delayed Sunworld Arista in Sector 168, investing over INR 1,000 crore and settling INR 170 crore in dues. Work has resumed on core infrastructure, benefitting 400 homebuyers. Under the policy, a co-developer pays 25% of dues and signs a tripartite agreement with the Noida Authority and original promoter, unlocking project approvals and RERA extensions. Nimbus also plans a luxury Phase - Arista Luxe. With five projects approved and developers like Apex showing interest, the model is gaining momentum as a revival tool.
The Uttar Pradesh government's new co-developer policy is now actively being implemented in Noida, offering a structured way to revive stuck housing projects. The policy allows financially stable real estate firms to take over stalled developments after paying at least 25% of the land dues owed by the original developer. Advertisement
The most notable example so far is Sunworld Arista in Noida's Sector 168, where Nimbus Projects has taken charge. The company has committed over INR 1,000 crore to the project, including an initial payment of INR 80 crore already made to the Noida Authority. Nimbus has also committed to settling a total of INR 170 crore in pending dues on behalf of the original builder.
Construction activity has resumed at the site, with core work such as fire systems, sewage lines, and lift installations already underway. This progress is expected to benefit around 400 homebuyers who have been waiting for years.
According to the terms of the policy, once the co-developer pays the required 25% of the dues, a tripartite agreement is signed with the Noida Authority and the original promoter. This enables the co-developer to receive updated project approvals, apply for RERA registration extensions, and seek bank financing. The original developer's role is reduced, allowing smoother project execution.
The Noida Authority has already approved co-developer arrangements for five stalled projects under this policy. These approvals were granted on the condition that homebuyers withdrew ongoing legal cases and developers paid part of the outstanding dues.
Nimbus is also investing an additional INR 20?25 crore to complete the basic infrastructure in Phase 1 of Arista. In parallel, the company is planning to develop a second phase under the brand "Arista Luxe" featuring 342 new ultra-luxury flats. This phase is expected to be completed by 2029 and will include smart home features, landscaped areas, theme-based pools, and other modern amenities. Sunworld will not hold any legal or financial responsibility for delays or issues in this new phase.
Authorities and developers have expressed confidence in this model. It provides a faster route for completion compared to lengthy legal proceedings, while developers find value in unused Floor Space Index (FSI), which helps recover investments and improve returns.
Earlier attempts by RERA to revive stalled projects in places like Ghaziabad had limited success, mainly due to coordination issues between buyers and developers. In contrast, the UP co-developer model provides a more defined process with legal backing, financial conditions, and clear roles.
Currently, another major proposal involving the Apex Group is being reviewed by the Supreme Court. The builder has offered to revive 16 stalled Supertech projects under the same policy. However, approval depends on the group making an upfront 25% payment and buyers withdrawing cases.
In addition, developers of Noida's Sports City projects have also written to the Authority, seeking similar relief under this policy, indicating growing interest in the scheme from the larger real estate market.
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