OSR already provided in Phase-1: TNREAT dimisses appeal filed by homebuyers

CHENNAI: While dismissing an appeal filed by homebuyers, the Tamil Nadu Real Estate Appellate Tribunal (TNREAT) observed that allottees of Phase-I of a project have no right over the open space reserved for Phase-II, especially when all the assured amenities, including OSR, were already provided in Phase-1.

A group of homebuyers, who are retired army personnel, have booked flats in a project developed by Army Welfare Housing Organization (AWHO) in Coimbatore.

To implement the project, AWHO purchased land to an extent of 33.66 acres to construct 912 dwelling units in two phases but reduced the number to 496 units in Phase-I on 23.58 acres due to low demand.

The remaining portion has been kept for future development in Phase-II.

Out of the 23.58 acres of land, 5.15 acres were gifted to the local body for formation of roads and Open Space Reservation (OSR).

Of 496 dwelling units proposed in Phase-I, the AWHO constructed 400 units and handed them over to the allottees.

Meanwhile, homebuyers approached the Tamil Nadu Real Estate Regulatory Authority (TNRERA) seeking UDS (undivided share) right over 33.66 acres and claimed that AWHO has no right to carve out 10.08 acres for future development.

They also demanded 10.08 acres to remain as open space forever.

But AWHO refused to part with the 10.08 acres of land. The TNRERA, by its common order, rejected all the contentions of the homebuyers.

Aggrieved over this, homebuyers filed an appeal petition in the Tribunal.

Hearing the appeal, the Tribunal observed "as such they (homebuyers) have no legal right to insist the AWHO to hand over the 10.08 acres to the allottees' association simply because the land measuring an extent of 10.08 acres have been mentioned as 'open space' in the approved plan."

The Tribunal, while dismissing the appeal, directed that AWHO cannot utilize the common amenities provided in Phase-I while developing the 10.08 acres open space reserve for Phase-II.