GURUGRAM: A local developer has been ordered to compensate a homebuyer due to delays in delivering possession of a residential unit.
Additionally, a refund of the invested amount “does not prevent further compensation,” as stated by the Haryana Real Estate Regulatory Authority (Hrera) – the buyer is set to receive over Rs 21 lakh. This order, issued on March 17, followed a complaint filed by Nishant Mehra against Ramprastha Promoters and Developers.
The residential unit in Sector 37D, part of the Edge Towers project within Ramprastha City, was initially promised for delivery by August 2012. The developer is required to pay the awarded sum along with an annual interest of 10.8% from the date of the order until it is received.
An adjudicating officer, Rajender Kumar, determined compensation by assessing property price trends in the vicinity. The officer noted a significant increase in rates in Sector 37D over the years, estimating that the complainant incurred a loss of nearly Rs 18.9 lakh due to the missed appreciation on his investment. Thus, Hrera awarded Rs 18.9 lakh for this loss. Furthermore, Rs 2 lakh was allocated for mental harassment and Rs 50,000 for legal fees.
Mehra had booked his apartment in 2008 and was later assigned a unit measuring approximately 1,990 sq ft. A builder-buyer agreement signed in April 2012 set August 31 of the same year as the possession deadline. However, the project was not completed on time. Mehra reported that he had paid over Rs 44 lakh towards a total cost of about Rs 52.9 lakh but failed to receive possession. He subsequently approached Hrera and secured a refund order in February 2023, along with interest at 10.7% per annum.
Despite the refund order, Mehra pursued additional compensation, citing rental costs, financial strain from loan repayments, and mental distress due to the delay. He also argued that he incurred accommodation expenses while awaiting possession.
The developer contested Mehra’s claims, asserting that the complaint was not valid and that delays were caused by unforeseen circumstances. The developer argued that the timeline for possession had been extended as per the agreement’s terms.
Rejecting these arguments, the regulatory authority concluded that the failure to deliver possession within the agreed timeframe made the promoter liable for compensation under the Real Estate (Regulation and Development) Act, 2016.
The authority dismissed other claims for higher compensation and reimbursement of certain costs, citing insufficient evidence. This order underscores that homebuyers can seek compensation beyond mere refunds in cases of delayed possession, especially when financial loss and hardship are demonstrated.
