Real estate developers in Calcutta have started lobbying with the Bengal government to announce Covid-19 as a “force majeure” condition, seeking to buy more time to complete ongoing real estate projects. Work at the construction site has come to a standstill due to the lockdown announced by the Bengal government on Monday. The Prime Minister Narendra Modi extended the lockdown period across the country to April 14.

Credai Bengal, the body of the builders in the state, has shot off letters to housing minister Chandrima Bhattacharya and principal secretary Onkar Singh Meena, who is also the chairperson of West Bengal Housing Industry Regulatory Authority, seeking six months additional time to complete ongoing projects.

“As you would acknowledge that these are unprecedented times and thus unprecedented steps maybe needed to be taken and hence we sincerely request you to declare the epidemic of Covid-19 as a ‘calamity caused due to nature’, which will affect regular development of real estate projects. We estimate that this will be for a period of 6 months at least for projects to get back to regular schedule. Thus this period of at least 6 months be considered an exempted/ extended period of the delivery of projects under the ‘force majeure’ explanation clause under WBHIRA,” Sushil Mohta, president, Credai West Bengal, wrote.

Sources in the government said WBHIRA has taken preliminary measures to avoid hardship to developers. All pending hearings have been deferred. Moreover, it also relaxed timeline for rectification or submission of additional document for pending registration.

“The primary task now before the administration is containment of the disease. The measure to contain the economic fallout of the pandemic will be taken at the appropriate level at the appropriate time,” a government official explained. Force majeure clause allow the authority to extend registration of a project for one year. However, developers have sought six months as of now.

“Workers, many of whom comes from neighbouring states, have fled to their home fearing contracting the dreaded disease. We do not know when they will be back. Plus, there will be major disruption in payment from buyers, funding from bank, getting raw material supply. Hence, it is the need of the hour from industry,” Mohta explained.