New Okhla Industrial Development Authority and Ors. Vs Sunshine Trade Tower Private Limited and Anr. (Supreme Court of India)
“Some Access” Is Not “Adequate Access”: Developer Cannot Be Charged for a Road That Exists Only on NOIDA’s Site Plan — Clause 5 of Zero Period Policy; Developer Entitled to Zero Period Relief for Unavailable Promised Access Road; NOIDA Cannot Penalise Developer for Delay Caused by Missing Front Road; Commercially Effective Plot Access Requires More Than Mere Physical Entry; Revised Site Plan Necessary When Promised Commercial Frontage Remains Unavailable: Supreme Court
Summary: NOIDA launched a scheme in 2011 for allotment of commercial plots to builders and developers. M/s Sunshine Trade Tower Pvt. Ltd. was selected as the successful developer and was allotted a commercial plot in Sector 94, Noida, for a total consideration of ₹133.86 crore. A lease deed was executed and possession was handed over on 11.01.2012.
The approved site plan showed a 45-metre-wide Front Road and a 24-metre-wide Side Road adjoining the plot. The project was intended for a commercial complex comprising malls, showrooms, hotels, restaurants and offices.
However, the 45-metre Front Road was obstructed by habitation and encroachment. The land required for that road had never been acquired by NOIDA. The 24-metre Side Road was sandy, unpaved and non-motorable. Consequently, according to the developer, the plot did not have the access necessary for executing the sanctioned commercial project.
