The Punjab and Haryana High Court has stopped new property allotments at Oberoi Realty’s 'Oberoi 360 North' project in Gurugram. This follows a legal challenge by Advance India Projects Ltd regarding the project's license transfer and FDI compliance. The case creates uncertainty for a project valued between ₹8,000 crore and ₹10,000 crore, where 350 units have already been sold.
Oberoi Realty has encountered a significant legal hurdle in its entry into the Gurugram real estate market. The Punjab and Haryana High Court has issued an order preventing the company from making new property allotments or creating third-party rights in its 'Oberoi 360 North' project. This residential and commercial development, situated on 14.816 acres in Sector 58, Gurugram, is currently estimated to be worth between ₹8,000 crore and ₹10,000 crore.
Legal Challenge and Allegations
The court’s intervention follows a petition filed by Advance India Projects Ltd (AIPL). The petitioner has challenged the validity of the development license granted in May 2025 and the subsequent approval for its transfer to Oberoi Realty in June 2025. AIPL claims that the licensing process violated the Haryana Development and Regulation of Urban Areas Act, 1975, and alleges that the project structure breaches Foreign Direct Investment (FDI) regulations. Furthermore, AIPL maintains its own claims over the project land and is seeking the cancellation of the sale deed executed in favor of Oberoi Realty.
Impact on Buyers and Operations
For investors and homebuyers, the court's order introduces a period of operational uncertainty. According to disclosures made during the court proceedings, approximately 350 units have already been allotted, and the company has collected around ₹750 crore from these buyers. The freeze on further allotments effectively halts the sales velocity of this new project until the legal issues are resolved. The Haryana Department of Town and Country Planning (DTCP) is currently reviewing the license cancellation request, with a formal hearing set for July 20, 2026.
Background Context
This legal dispute is not the first time the land parcel has been subject to scrutiny. AIPL noted that an FIR was registered in 2024 against Oberoi Realty and IREO regarding the same land, alleging collusion and cheating. However, it is important to note that proceedings related to that FIR have been stayed by the Supreme Court of India. The current High Court order is a temporary measure pending the state government's review of the development license.
What Investors Should Monitor
Moving forward, the primary monitorable for stakeholders will be the outcome of the DTCP review scheduled for July 20. The final decision from the department will clarify whether the development license remains valid or if it faces further regulatory action. Investors may also track management commentary in future earnings disclosures to understand the potential financial impact on the company’s capital allocation and expansion timelines in the National Capital Region (NCR).