India's first private hill station, Lavasa, has been sold for a staggering Rs 1,814 crore to Darwin Platform Infrastructure, bringing hope to hundreds of homebuyers and lenders.

The sale was approved by the National Company Law Tribunal (NCLT) after Darwin's resolution plan garnered the support of the lenders. The plan aims to address the concerns of 837 homebuyers whose claims have been admitted, totaling Rs 409 crore, along with claims from lenders and operational creditors amounting to Rs 6,642 crore.

Under the resolution plan, Darwin will make a payout of Rs 1,814 crore over eight years, with Rs 929 crore allocated to the lenders and Rs 438 crore dedicated to delivering fully constructed houses to the homebuyers.

The plan also lays out a clear timeline, requiring the delivery of fully constructed properties to homebuyers within five years of receiving environmental clearance on an actual cost basis. Homebuyers will be responsible for paying the actual future construction costs to Darwin in order to obtain the constructed properties in the Lavasa project.

To ensure transparency in construction costs, the resolution applicant proposes the formation of a "construction cost determination committee" consisting of four members, with equal representation from the First Class Chartered Accountants (FCCA)/homebuyers' representatives and the resolution applicant's management team.

The buyer of Lavasa, Darwin Group, has a diverse portfolio with interests in retail, real estate, infrastructure, and other businesses. The group's chairman, Ajay Harinath Singh, is recognised as a first-generation entrepreneur.

Lavasa, situated in the Mulshi Valley in the Western Ghats near Pune, was originally developed by Hindustan Construction Company with the vision of creating a European-style city.

However, the company faced financial difficulties and failed to meet payment obligations, leading to the bankruptcy petition filed against it by Raj Infrastructure Development India in August 2018.