HRera Mandates Flat Possession with Interest for Delayed Gurgaon Project
The Haryana Real Estate Regulatory Authority (HRera) has issued a decisive order, compelling a developer to hand over possession of flats to allottees after a protracted delay of five years. This directive includes the payment of applicable interest, providing significant relief to homebuyers who have been awaiting their homes in an affordable housing project located in Sector 63, Gurgaon.
Details of the Case and Complaints
HRera's ruling came during hearings on a batch of complaints concerning the delayed project known as 63 Golf Drive, which spans 5.9 acres. The lead complaint was filed by Kinshuki Goel, with numerous allottees alleging that despite making substantial payments—some exceeding Rs 13 lakh—possession was not offered years after the promised timeline. According to official records, the due date for possession was set as March 16, 2021, but the developer failed to obtain an occupation certificate or deliver the flats by that deadline.
The authority, under the chairmanship of Arun Kumar, emphasized that under Section 18 of the Real Estate (Regulation and Development) Act, 2016, allottees who opt not to withdraw from a project are entitled to interest for every month of delay until possession is handed over. The order specified that the interest rate would be linked to the State Bank of India's marginal cost of lending rate (MCLR) plus an additional 2%. Based on the prevailing MCLR of 8.80% as of January 30, 2026, the applicable interest rate calculates to 10.8% per annum.
Developer's Defense and HRera's Rejection
During the proceedings, the developer, Sunrays Heights Private Limited, attributed the delays to force majeure conditions. These included restrictions on mining activities, shortages of raw materials, environmental regulations, and disruptions caused by the Covid-19 pandemic. The builder also cited delays due to GRAP restrictions and lockdowns, arguing that these factors cumulatively impacted construction timelines.
However, HRera firmly rejected these arguments, stating that such delays cannot indefinitely deprive homebuyers of their rightful possession. The authority highlighted that promoters are obligated to fulfill their commitments under the sale agreement and cannot shift the burden of delays onto buyers. Additionally, HRera dismissed the developer's contention that buyers had defaulted on payments, noting that such issues do not override statutory obligations to complete and deliver the project.
Implications for Homebuyer Rights
This ruling reinforces the rights of homebuyers in delayed housing projects and underscores the regulatory body's commitment to ensuring timely delivery. HRera directed the builder to comply with its obligations, ensuring that possession is handed over along with due interest. The order brings much-needed relief to affected allottees, setting a precedent for similar cases in the real estate sector.
The core issue across all complaints was identified as the developer's failure to deliver timely possession, in clear violation of the provisions of the RERA Act. The complainants had sought possession along with delay compensation and relief from any additional charges not included in the builder-buyer agreement, which HRera has now addressed through its comprehensive order.
