Bhubaneswar Housing Complex Dispute: 52 Homeowners Challenge Builder Over Misused Common Areas

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  • 30th Aug 2025
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Bhubaneswar Housing Complex Dispute: 52 Homeowners Challenge Builder Over Misused Common Areas
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Fifty-two apartment owners in a Rasulgarh residential complex have formally accused their builder of illegally occupying shared spaces and failing to comply with safety obligations, prompting government authorities to launch a joint investigation into the matter.

Homeowners File Serious Accusations Against Developer

The residents alleged that the builder had unlawfully converted designated common areas, particularly the parking zone, into commercial offices and private trust facilities. This unauthorized occupation has reportedly created significant space constraints, leaving homeowners without adequate parking facilities and restricting their access to amenities that were originally intended for communal use.

According to the complainants, the main entrance of the complex remains permanently open to facilitate commercial traffic, which they claim has seriously compromised security arrangements for families residing in the building. The residents expressed concerns about the lack of dedicated security measures, citing increased risks of unauthorized entry and potential theft incidents.

Infrastructure and Safety Concerns Mount

The homeowners further alleged that the compound wall, which was designed to secure the property, remains incomplete even after four years of occupancy. They claimed this half-built boundary not only compromises privacy but also increases exposure to external security threats.

Heavy rainfall has routinely caused flooding in the basement area, creating drainage issues and increasing the risk of structural damage, the residents stated. They alleged that this persistent problem has been repeatedly ignored despite posing significant long-term safety risks to the building's integrity.

The builder has yet to transfer control of shared amenities and facilities to the residents' welfare association, despite the group's formation, according to the complainants. This situation allegedly defies stipulations under the Odisha Apartment (Ownership and Management) Act, 2023, which mandates handover once occupancy begins.

Government Bodies Initiate Joint Investigation

Official sources confirmed that authorities stepped in after receiving complaints addressed to senior government officials. The Odisha Urban Housing Mission has reportedly directed the Bhubaneswar Municipal Corporation (BMC) and the Odisha Real Estate Regulatory Authority (ORERA) to carry out a comprehensive joint investigation into the alleged violations.

For homeowners facing similar challenges, understanding property insurance types and claims procedures becomes crucial when dealing with developer disputes and potential structural damages.

Issue Details
Location Rasulgarh, Bhubaneswar
Number of Affected Flats 52
Primary Complaints Misuse of parking area, incomplete wall, safety issues, waterlogging
Legal Non-Compliance Failure to hand over common areas per Odisha Apartment Act 2023
Security Risks Open main gate, no surveillance
Government Bodies Involved BMC and ORERA
Action Status Investigation initiated

Implications for Urban Housing Sector

This incident highlights growing concerns in urban housing developments where builders retain control well beyond legal timeframes and allegedly misuse common facilities for personal or commercial gain. The Odisha Apartment Act, introduced in 2023, aims to curb such practices, though implementation reportedly still faces challenges when residents lack timely administrative support.

Similar issues have been reported across India's real estate sector, making it essential for potential investors to research Bhubaneswar real estate investment opportunities and understand developer track records before making purchase decisions.

Expected Outcomes and Next Steps

Investigation findings will reportedly assess the extent of alleged misuse and determine whether the builder violated legal norms and safety codes. Based on these findings, action may range from fines and demolition of unauthorized structures to legal proceedings under ORERA guidelines.

The housing association may seek further legal recourse if corrective steps are not initiated promptly, according to sources familiar with the matter. This case serves as a reminder for both homeowners and regulators about the importance of ensuring developers remain accountable in their obligations.

As urban residential living continues expanding in cities like Bhubaneswar, experts suggest this case could serve as a wake-up call for both homeowners and regulators to ensure developers remain accountable before convenience transforms into conflict.

Disclaimer: This news article is based on publicly available information and allegations made by residents. The facts presented are as reported by the complainants and have not been independently verified. Readers are advised to verify information from official sources before making any decisions based on this content. This article is for informational purposes only and should not be considered as legal advice.


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