In a significant move to protect the interests of homebuyers, the Telangana Real Estate Regulatory Authority (TG RERA) has directed Balaji Constructions to complete all pending infrastructure and common amenities in its Balaji Elegancia villa project located in Kompally, Hyderabad, within 60 days.
The Authority has also warned that strict penal action under Section 63 of the Real Estate (Regulation and Development) Act, 2016, will be initiated if the developer fails to comply with its directions within the stipulated timeline.
Villa Owners Raised Complaint Over Incomplete Facilities
The order was passed after a complaint was filed by the Balaji Elegancia Villa Owners Mutually Aided Co-Operative Maintenance Society Limited, representing residents of the gated community.
According to the complainants, the developer had promised several premium lifestyle amenities during the marketing and sale of the villas but failed to deliver them even after handing over possession to many buyers.
The promised facilities included:
- Fully functional clubhouse
- Sewage Treatment Plant (STP)
- Water Treatment Plant (WTP)
- 100% power backup
- Security systems and installations
- Other essential common infrastructure and recreational amenities
Residents alleged that despite paying for these facilities, many of them remained incomplete or non-functional.
Engineering Staff College of India Conducted Third-Party Inspection
To verify the allegations, TG RERA appointed the Engineering Staff College of India (ESCI) to carry out an independent inspection of the project.
The inspection report revealed that while several villa units had already been occupied by homeowners, a number of key civic infrastructure works and promised amenities were still pending beyond the project’s statutory completion deadline of September 1, 2024.
The report confirmed that important facilities required for the smooth functioning of the residential community had not been completed.
Developer Has Non-Negotiable Responsibility After Majority Occupancy
Based on the inspection findings, TG RERA observed that once more than two-thirds of the project units are occupied, the promoter has a mandatory and non-negotiable obligation to provide all promised infrastructure and common amenities.
The Authority emphasized that developers cannot indefinitely delay the completion of facilities after buyers have taken possession and started residing in the project.
It reiterated that commitments made through brochures, advertisements, agreements for sale, and project approvals are legally binding on the promoter.
60-Day Final Deadline Granted by TG RERA
The Authority directed Balaji Constructions to complete all pending works according to the timelines previously committed before the ESCI inspection panel.
For amenities and infrastructure where the committed deadlines have already expired, TG RERA has granted a final period of 60 days from the date of the order to finish the remaining work.
The regulator made it clear that failure to comply within this period would attract proceedings under Section 63 of the RERA Act, 2016, which deals with penalties for non-compliance with the Authority’s directions.
Section 63 of the RERA Act Strengthens Buyer Protection
Section 63 of the Real Estate (Regulation and Development) Act, 2016 empowers the regulatory authority to impose penalties on promoters who fail to comply with its orders.
The provision serves as an enforcement mechanism to ensure that developers honour their legal obligations and complete projects in accordance with approved plans and commitments made to homebuyers.
By invoking this provision, TG RERA has reinforced that developers cannot avoid responsibility after collecting money from purchasers.
Importance of the Order for Homebuyers
The decision sends a strong message to developers that delivery of common amenities is an integral part of the project and cannot be treated as optional.
Homebuyers often invest in premium residential projects based on promises of modern infrastructure, recreational facilities, and quality community living. Delays in providing these amenities directly affect the value and livability of the project.
The order also highlights the increasing role of regulatory authorities in ensuring transparency, accountability, and consumer protection in the real estate sector.
Conclusion
The TG RERA order against Balaji Constructions underscores the legal obligation of developers to complete all promised infrastructure and amenities within the prescribed timelines. By granting a final 60-day deadline and warning of action under Section 63 of the RERA Act, the Authority has reaffirmed that the interests of homebuyers remain paramount.
The ruling is expected to strengthen confidence among property buyers while encouraging developers to adhere strictly to their contractual and statutory commitments.
