Pyramid Will Pay Homebuyers Rs 50,000 After Constructing Two Illegal Towers

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Homebuyers of Pyramid Urban Homes 2, an affordable housing project in Sector 86, Gurugram will receive Rs 50,000 in compensation because the developer built two additional towers in violation of the approved plan.

The Haryana Real Estate Regulatory Authority H-Rera has ordered the developer to refund interest-free security, labor cess, and other charges collected from buyers after declaring the two towers illegal.

The Fight Against Injustice Forum filed the complaint on behalf of approximately 30 individual Pyramid Urban Homes flat owners. The apartments were reserved in 2015 and will be delivered in November 2020.

The petitioner claimed that the Pyramid Infrastructure Private Limited, violated the terms of the affordable housing policy by collecting money before the project began and then taking more money in the form of operational and service charges, interest-free security, electric metres and electricity connections, labour cess, and Value Added Tax (VAT).

In an order on September 19 (the certified copy of the order was released in the public domain on Friday), H-Rera adjudicating officer Rajender Kumar found the developer guilty of most of the accusations levelled by the applicant and directed compensation for each allegation.

“Two towers were built that were not originally planned, and allottees agreed to purchase their units with the open area for their use in mind, but after adding two towers, the common area was shrunk, and adding two more towers deprived them of the use of open space.

H-Rera also directed that the buyers’ 10 percent advance payment be refunded. In 2015, the developer collected an initial payment of around 20 percent of the total cost from buyers, and the project received environmental clearance in 2016.

On maintenance, the developer was ordered to refund Rs 1.25 per square foot, even though it was collecting Rs 3.75 per square foot, with 10% interest from the date of collection to the date of refund. According to the order, the maintenance fee will now be Rs. 2.50 per square foot. The developer’s labour cess and interest-free security will be refunded with a 10 percent interest charge.

Source- ET

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