According to news agency ANI, no casualties have been reported so far.
Police, fire department and dog squad were deployed to look for people trapped inside the rubble of the collapsed building.
Nearly 60 labourers were working inside the two-storey building when the structure collapsed around 3:30 pm today, reports said.
An FIR has been registered at the Sector 39 police station, under whose jurisdiction the building is located, police said.
The building collapsed Wednesday, three weeks after the 20-year-old structure was "inspected" by a municipal team following complaints, according to police.
The incident took place near Sawan Park close to Satyawati College in north Delhi.
Another two-storey building came crumbling down in Ghaziabad’s Tronica City.
Several buildings collapsed in the past two months due to heavy rains which affected the poor condition of the buildings affecting dozens of lives.
Ahmedabad building collapse: A woman rescued from the collapse site told media that she and her family had been looking for a house to rent since the notice yesterday and were in process of packing their belongings to move when the incident happened.
Vice chairperson of GDA and district magistrate Ritu Maheshwari on Sunday said that 650 buildings have been identified and they would be sealed by the authority and Nagar Nigam by the end of this month.
Casualties have yet not been reported in the incident, rescue operations underway.
In the complaint, it is alleged that the builders were constructing the structures on the notified land of the authority without any permit.
At least 50 people have been reportedly seriously injured in the accident. Scores of people were still trapped under the shed, rescue operations are on. The police officials on the spot have, however, said that the number of injured is limited to 17. Out of which only five serious injuries.
The action came after hours after an under-construction structure collapsed in the area. Luckily, the building was not occupied when it came crashing down on the ground.
Many people are feared trapped under the debris. Local police have arrived at the spot.
Earlier on Thursday, a three-storey building collapsed in Greater Noida's Mubarakpur area. At least three occupants of the building were rescued safely.
According to initial information, construction of basement was going on plot adjacent to the building which collapsed. Rescue work is on.
Six people have been rescued and the situation is under control now.
"The drive to seal the illegal constructions will continue," said an official of the Ghaziabad Development Authority.