Bhubaneswar: The CREDAI Bhubaneswar Foundation has urged the Odisha government to take steps to bail out the real estate sector, which has been hit badly by the COVID-19 pandemic and rising construction and transportation costs.
At a discussion here on Friday on the crisis facing the sector and ways to overcome it, Kantilal Patel, president of CREDAI Bhubaneswar Foundation, said that the sector was facing its worst crisis in years, from labour and raw material shortage to unsold units due to the pandemic.
Just when the sector was taking steps to emerge out of the pandemic, prices of construction material like steel, cement and sand have increased sharply, he added.
Even prices of tiles, electrical fittings, paint, plumbing and sanitary have gone up, he said.
Patel said that the construction cost has increased by 40-50 per cent in Odisha, making units costlier by Rs 8-10 lakh. He explained that in view of RERA rules, builders have to bear this extra cost.
Expressing concern, Umesh Patnaik, general secretary, CREDAI Bhubaneswar Foundation, said, “Real estate players are facing several problems, which has led to delay in completion of projects and cost escalation.”
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