5 days Ago
Hyderabad: The Telangana Real Estate Regulatory Authority (TGRERA) ordered two home developers to compensate their buyers for extended delays along with swift completion of their projects. In the first case, it has mandated Aliens Developers to expedite the completion of the stalled ‘Aliens Space Station’ project in Tellapur and promptly hand over a flat to the complainant, Ganapathi P Gorekar. TGRERA also ordered the developers to pay interest at a rate of 10.
95% per annum for delays in possession since December 2017, excluding the COVID-19 waiver period. Gorekar initially booked a flat in 2012, later changing his booking to a new unit with an agreement signed on February 17, 2016, for Rs 67 lakh. He paid Rs 63.
7 lakh towards the flat and an additional ₹4.18 lakh in taxes, leaving a small balance due upon possession. Despite assurances from Aliens Developers, construction has only reached the structural frame stage, with finishing work yet to begin.
In their defence, Aliens Developers cited multiple challenges for the delays, including the 2008 global financial crisis, political instability during the bifurcation of Andhra Pradesh, and setbacks due to the COVID-19 pandemic. They secured Rs 332 crore from the SWAMIH Investment Fund to revive the project and claimed that construction had progressed to the 18th floor, assuring completion by March 2027. TGRERA found the developers in breach of their contractual obligations under the Real Estate (Regulation and Development) Act.
The authority directed them to pay accrued interest within 90 days and continue payments for future delays every three months until possession is delivered. TGRERA emphasized the importance of compliance with regulatory obligations and warned of penalties for non-compliance. A group of buyers has raised concerns regarding delays in a project by Maha Homes, where they booked flats in 2012.
These buyers have faced extended waiting periods and mounting financial pressures due to the delays. The developer cited various challenges for the hold-up, including political instability, technical issues, and the effects of the COVID-19 pandemic. However, TGRERA determined that Maha Homes did not fulfil the terms of their agreement and ordered the developer to compensate the buyers for the delay in possession.
This compensation includes interest at a rate of 10.95% per annum from the original date of possession..
