regulatory

TG RERA Empowers Homebuyers to Complete Stalled Projects Under Section 8

In a landmark move, Telangana RERA has allowed flat owner associations to take over and complete two stalled projects in Bowrampet and Bachupally after the builder defaulted.

March 26, 2026 2 min read 2 views Hyderabad

For the first time in Telangana, homebuyers have been granted the power to complete stalled housing projects themselves — a landmark decision by TG RERA that could set a precedent for thousands of stuck flat owners across the state.

The Projects

Developer Jayathri Infrastructures India Pvt Ltd launched two residential projects in north Hyderabad:

  • Jaya Platinum: 60 flats in Bowrampet village, Dundigal municipality — was 66% complete when work halted in June 2022
  • Jaya Diamond: 83 flats in Bachupally — was only 6% complete when abandoned
₹2.36 Cr penalty imposed on Jayathri Infrastructures by TG RERA for violations

What RERA Did

After complaints from buyers, TG RERA ordered an inspection by the Engineering Staff College of India (ESCI), which confirmed the construction halt. The authority then:

  • Imposed a ₹2.36 crore penalty on the builder
  • Cancelled the project registration
  • Revoked all municipal permissions

How Homebuyers Took Over

Under Section 8 of the Real Estate Act, 2016, flat owner associations were permitted to assume control of both projects. The Jaya Diamond Welfare Association, led by Alladi Narasimha Rao, secured fresh municipal approvals with RERA's support and recently conducted bhoomi puja to restart construction.

Jaya Platinum has been completed, with flat owners successfully obtaining occupancy certificates. Jaya Diamond construction is now underway under regulatory oversight.

What This Means for Hyderabad Buyers

This precedent is significant. TG RERA Chairman stated the authority will "continue to take decisive action against defaulting promoters" while enabling lawful project completion.

If you are stuck in a stalled project, know your rights under Section 8 of RERA. File complaints at rera.telangana.gov.in and check builder track records on AptLok's locality guides.

rera telangana stalled-projects section-8 homebuyers bowrampet bachupally jayathri
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