Three Sixty North Hits a Legal Roadblock

Barely a fortnight after Oberoi Realty announced a spectacular launch for its first project outside the Mumbai Metropolitan Region, the Punjab and Haryana High Court has stepped in with an order that has cast a shadow over the celebration. In an interim direction, a Division Bench of Justice Jasgurpreet Singh Puri and Justice Sanjiv Berry has restrained Oberoi Realty from making any further allotments or creating third-party rights in its 'Three Sixty North' project in Sector 58, Gurugram, until the Director, Town and Country Planning, Haryana decides a pending complaint over the validity of the project's development licence.

The dispute traces back to a writ petition filed by Advance India Projects Limited (AIPL), a Gurugram-based developer, against the Director of DTCP and other respondents. According to court filings, Advance India Projects alleged that IREO Group entered into a memorandum of understanding with it when they received foreign direct investment for the purchase of the land. AIPL contends that the licence was granted in violation of ownership norms, since Oberoi was never the owner of the land as required under Section 3 of the 1975 Act, the land having already been transferred to another party nearly a year before the licence was granted on May 12, 2025.

The scale of the dispute is not trivial. Counsel for AIPL informed the court that the project has an estimated value of around INR 8,000 crore to INR 10,000 crore and is planned to be developed in multiple phases. More significantly for existing buyers, the petition noted that nearly 350 units had already been allotted and around Rs 750 crore collected from buyers by the time the plea was heard. AIPL argued that permitting additional sales before adjudication of the licence dispute could complicate the interests of prospective purchasers.

The timing is notable. The order comes days after Oberoi Realty reported blockbuster numbers for the project — on July 6, the company said Oberoi 360 North achieved gross bookings of approximately Rs 8,109 crore, with bookings for around 13.52 lakh sq ft of RERA carpet area, equivalent to approximately 23.10 lakh sq ft of saleable area. The project itself is ambitious in scope: spread across approximately 14.8 acres, the luxury residential project is planned to feature seven residential towers, landscaped open spaces, Club Three Sixty North, and a curated boulevard with retail outlets and cafés, located on Golf Course Extension Road, Sector 58, Gurugram.

The court has not adjudicated the merits of the licence dispute itself — it has simply set a timeline for the regulator to do so. In an order dated July 7, the court directed the Director, Town and Country Planning, Haryana, to decide AIPL's complaint on July 20 after hearing all stakeholders, and if the matter cannot be decided on that date, the authority has been asked to hear it on a day-to-day basis and pass a reasoned order within two weeks. The Haryana government, for its part, has assured the bench of due process: the petitioner's representation seeking cancellation of the licence under Section 8 of the 1975 Act remains pending before the DTCP director, with the matter listed for July 20, and the state assured the bench that all stakeholders would be given an adequate opportunity of hearing before any decision is taken.

For homebuyers who have already booked units, the developer has moved quickly to offer reassurance. In an exchange filing, Oberoi Realty clarified that the Punjab and Haryana High Court's order relating to its 'Three Sixty North' luxury residential project in Gurugram "does not impact existing sales already concluded" and that there is no stay on construction at the said project. The company has also indicated its intent to contest the matter, stating that it will pursue the necessary legal course of action as may be advised by professional legal counsel.

The backstory adds context to why this dispute has emerged now. Oberoi Realty entered this land parcel through an acquisition, having purchased the 14.8-acre land parcel on which it plans to build 'Three Sixty North' from Gurugram-based Ireo Group for Rs 597 crore in 2023. Ireo itself has been under regulatory scrutiny, and the seller's troubled history is central to AIPL's grievance — the beleaguered Ireo Group, which faced multiple chargesheets from the Enforcement Directorate in a money laundering probe, had ended an agreement with AIPL and sold the unfinished Grand Hyatt Residences project to Oberoi Realty. AIPL has also escalated the matter beyond the licence complaint, informing the court that it had got an FIR registered in 2024 against IREO and Oberoi Realty, alleging collusion and cheating in connection with the same land parcel.

For prospective buyers watching from the sidelines, the practical takeaway is straightforward: the interim order affects only fresh bookings, not units already sold, and does not touch ongoing construction. Existing allottees can continue as before, but anyone considering a fresh purchase in the project will need to wait for the DTCP's decision — expected imminently — before allotments can resume. Given the project's scale and Oberoi's stated intent to contest the underlying claims, this is likely to be one of the more closely watched real estate legal disputes in the NCR market through the rest of 2026.