Karnataka RERA Orders Frontier Shelters To Pay ₹21.63 Lakh Interest For Delay In Flat Possession
Aryan Raj
8 Jun 2026 9:55 AM IST
The Karnataka Real Estate Regulatory Authority (RERA) has recently directed Frontier Shelters Pvt. Ltd. to pay ₹21.63 lakh as interest for delaying possession of a flat in its Frontier Heights project in Bengaluru, while also ordering the developer to complete the project and hand over the apartment to the buyer.
The order was passed by a bench comprising Chairperson Rakesh Singh and Member Gurijala Ravindranadha Reddy. Relying on a site inspection report, the authority found that several crucial works and promised amenities were still unfinished. It noted that the project was not in a condition where possession could be handed over and that an Occupancy Certificate could not be issued.
Homebuyer booked a 2 BHK flat bearing No. 3052 on the fifth floor in the builder's “Frontier Heights” project. The parties executed a sale agreement and a construction agreement on November 17, 2020 for a total sale consideration of Rs. 60.87 lakh.
Homebuyer paid over Rs. 54.82 lakh towards the flat. Under the agreements, the builder was required to hand over possession by May 2021. Even after passing of many years project is still incomplete and possession has not been delivered.
According to the homebuyer, she repeatedly approached the builder seeking clarity on the revised possession timeline. However, builder failed to give any date for possession and continued to make assurances regarding completion of the project. Aggrieved by the prolonged delay, homebuyer approached the Authority seeking appropriate relief.
Authority found that the builder has failed to complete the Frontier Heights project and hand over possession of the flat even after promising delivery by May 2021.
A site assessment done by the RERA team indicated that substantial work remained pending across the project including electrical works, firefighting systems, lift installation, external development works and promised facilities. Inspection report further noted that the project was not fit for occupancy and that an Occupancy Certificate could not be issued in its present condition.
Accordingly, the Authority allowed the complaint and directed the builder to complete the project along with all promised amenities within 60 days.
Builder was further directed to pay Rs. 21.63 lakh towards delay interest calculated up to March 27, 2025. It was also directed to pay further interest at SBI MCLR + 2% until the date of actual payment.
Authority additionally directed the builder to execute the sale deed and hand over possession of the flat within 60 days after completing the project and upon receipt of any balance of sale consideration payable by the homebuyer.
For Complainant: Appeared in person.
For Respondent: India Law Practice