The terrace forms part of common areas, hence the builder cannot sell this as a separate unit.
In the case of Rajesh, according to the UP Apartment Act 2010, a developer does not have any right to sell or lease terrace of the housing society to any particular owner or owners of the properties in the society or anyone else.
A terrace or rooftop is a common area of in a residential society which is for the enjoyment and benefit of all its members. Although it has been seen that many developers resort to selling or giving exclusive terrace rights on payment, the practice is illegal.
It is untenable in the eyes of law where one resident gets the right to use the rooftop to the disadvantage of others. If residents choose to wage a legal battle, this may land the developer and the erring resident in soup.
A community hall, a play area, a garden, a stairway, a terrace and elevators are all shared areas and have to be made accessible to all the apartment-owners without any ownership issue. As any repair, replacement and maintenance cost of such common areas has to be borne by all the flat owners collectively, likewise, any income or profits arising from the use of such common areas have to be distributed evenly among all the flat owners.
It has been seen that many buildings have terraces on certain floors, below the main terrace on the top floor. Developers often hoodwink the residents and sell these terraces to the adjacent flat owners thereby making huge profits. However, this too is against the law. A terrace that is not accessible from the common areas and is attached exclusively to a flat can only be sold to a flat owner but all other terraces are for the common usage.
It is for the same reason a terrace is not included in the Floor Space Index (FSI) of an apartment. Reason: it cannot be bought or sold.