Haryana RERA Orders Builder BPTP To Pay Interest And Pass Benefit of Increased Super Built-Up Area To Homebuyer

In real estate, super built-up area includes the flat's carpet area plus shared common spaces like lobbies, staircases, and amenities, proportionately divided among all units in the building.

Background Facts

On 07-12-2012, the builder (Respondent) allotted the homebuyer (Complainant) a flat in his project named Terra, located in Sector 37-D, Gurugram. Then, the homebuyer and builder signed a flat buyer's agreement (Agreement for Sale) for the flat, with a total cost of Rs. 1,29,96,541. The homebuyer paid Rs. 1,28,07,744 of this total cost.

According to clause 1.6 of the flat buyer's agreement, the builder was to hand over possession of the flat within 42 months, with an additional 180-day grace period, from the date of the building plan sanction or the execution of the flat buyer's agreement, whichever was later (i.e., 07.12.2016).

On 13.12.2021, the builder issued an offer of possession to the homebuyer, along with an increased super built-up area of 193 sq. ft., raising the cost of the flat by Rs. 21,12,571.

Although the builder offered possession upon receiving the occupation certificate, the project site was still filled with rubble, mortar, bricks, and construction material, rendering it unfit for habitation. The project status was not in a proper habitable condition, and the promised amenities were incomplete. The club was not fully operational, and some facilities had not yet started.

Aggrieved by the incomplete work in the flat, the delayed possession, and the increase in super built-up area, the homebuyer filed a complaint before the authority seeking a complete offer of possession after completing all pending work in the flat, interest for the delay, and the removal of the unilaterally increased super built-up area.

Observation and Direction by Authority

The Authority held that the builder violated Section 11(4)(a) of the Real Estate (Regulation and Development) Act, 2016 by not handing over possession by the due date of 07.12.2016, as specified in clauses 1.6 and 5.6 of the Flat Buyer Agreement. Therefore, the Authority directed the builder to pay the homebuyer interest for each month of delay from the due date of possession (07.12.2016) until the possession date (13.12.2021), plus an additional two months, at an interest rate of 10.85% per annum.

Regarding the issue of the increased super built-up area, the Authority referred to the findings of a committee appointed through orders dated 06.07.2021 and 17.08.2021. The committee, headed by Sh. Manik Sonawane, IAS (retired), Sh. Laxmi Kant Saini, CA, and Sh. R.K. Singh, CTP (retired), was constituted to submit its report on common issues related to this project and other projects of the builder. The committee found that the super built-up area had increased from 1998 sq. ft. as per the Flat Buyer Agreement to 2191 sq. ft. Therefore, the Authority directed the builder to pass the benefit of the increased super built-up area to the homebuyer without imposing additional costs.

Case – Lalit Kumar Versus BPTP Ltd.

Citation – Complaint No : 416 of 2022