Action.c(747): Error -27728: Step download timeout (999 seconds) has expired when downloading non-resource(s)

You can make this error as warning by following below procedure.

Runtime Settings > Preference > Options > Set "Step download timeout as warning" as Yes > Save changes

Now LR will ignore if it encounters Step download timeout in further executions.

I hope this would help you.

Thanks,
Mahesh

Its an application issue where the response time is greater than expected.

Non of the the solutions suggested are appropriate:

1. The setting to define Stepdownload Time out as Warning in Options is not for non resources, it is for resources.

2. It is not application related issue, we started seeing this issue after moving Performance Center from one set of servers in CA to another set of servers in VA.
So I guess this is something related to Performance Center or Load Runner configuration.

Thanks
Ajay