RERA in Maharashtra for Real Estate Project: Essentials for Promoters

Ashish M. Shaji

30 Nov, 2020

The Real Estate (Regulation and Development) Act of 2016 was enforced from 2017. It was implemented to guide and supervise real estate sector. RERA Registration in Maharashtra is governed by the Maharashtra Real Estate Regulatory Authority.

Let’s discuss some of the key points for promoters with respect to RERA in Maharashtra.

Who are Promoters?

As per RERA, promoter is a person who is responsible to construct or causes to be constructed a building with a view to offer all or a portion of it to different people.

RERA in Maharashtra: Key Points for Promoters

1. Every promoter shall get the eligible real estate project, registered with RERA authority before sale/promotion/advertisement/booking, etc. and shall also furnish the following information and documents as under:

• Authenticated copy of the PAN card^[1] of the promoter;
• Name, photograph, contact details and address of the individual/chairman/partner/directors, as the case may be;
• A copy of the legal title report reflecting the flow of title of the owner or promoter to the land on which development is proposed, with authentication of such title by practicing advocate;
• If the promoter is not the owner of the land on which development is proposed, a copy of the collaboration agreement, development agreement, joint development agreement or any other form of agreement, as the case may be, entered into between the promoter and such owner and copies of title and other documents reflecting the title of such owner on the land on which project is proposed to be developed;
• Details of encumbrances on the land on which development of the project is proposed including details of any rights, title, interest, dues, litigation, and name of the party;
• Details of the sanctioned plan where the project is being developed along with information relating to the Proposed Plan, Proposed Layout Plan, Floor Space, Number of buildings or wings, an aggregate area of sq. meters of the recreation open space, number of covered parking spaces, etc. for the whole project plan;
• The particulars of Architecture and Design Standards, Type of construction Technology, Earthquake Resistant Measures, Common Areas, amenities/facilities in the Layout Plan of the real estate project;
• the nature of the organization of allottees to be constituted and to which the title of such land parcels is to be conveyed and the specific local laws to govern such organization of allottees on completion of real estate project;
• Any other information and documents as may be specified.

2. The application for registration of a Real Estate Project shall be made in writing by the promoter in Form ‘A’ along with the Authority Letter or Board Resolution and shall be submitted in triplicate.

3. The promoters are required to pay registration fees at the time of application to the authority through NEFT or RTGS or any other digital transaction mode and the Registration Fees shall be calculated as follows:

• Calculated on the Area of the land proposed to be developed at the rate of rupees ten per square meter, subject to a minimum of rupees fifty thousand only and a maximum of rupees ten lakhs.

4. The registration of a real estate project shall not be required:

• For the purpose of any renovations or repair or redevelopment which does not involve marketing, advertisement, selling or new allotment of any apartment, plot or building as the case may be under the real estate project;
• Where only structural repairs of existing buildings are being undertaken by or through any Public Authority or by the directions of any Competent Authority.

5. The promoter may apply for withdrawal of application for registration of the real estate project before the expiry of the period of 30 days of its submission to Authority.

6. For ongoing projects in which all buildings as per sanctioned plan have not received occupancy certificate or completion certificate, as the case may be, then the promoter is required to submit an application for registration for each such phase of the project, within a period of three months from the date of commencement of this Act.

7. Upon the registration of the real estate project, the Authority shall issue to the promoter a Registration Certificate with a project registration number, in Form “C”.

8. The period for which registration shall be valid shall exclude such period where actual work could not be carried by the promoter as per sanctioned plan due to specific stay or injunction orders relating to the real estate project.

9. If the application is rejected then the Authority shall inform the applicant in Form ‘D’ after giving the promoter an opportunity of being heard in the matter by the Authority.

10. An application for extension of the real estate project shall be made to the Authority, in Form “E”, along with an explanatory note setting out the grounds and reasons for the delay in the completion of the real estate project.

11. On acceptance of the extension of the real estate project by the Authority, shall be in Form ‘F’ and on a rejection of the same shall be in Form ‘D’.

12. On revocation of the registration of the project, the Authority shall inform the promoter and the concerned competent authority about such revocation in Form ‘D’ by giving not less than 30 days’ notice, in writing by stating the grounds on which it proposes to revoke the registration.

RERA in Maharashtra: Facilities provided by RERA Act in Maharashtra

The facilities provided to promoters are as follows:

• Registration of real estate projects;
• Extension of real estate projects;
• Filing of complaints;
• Quarterly updation provision for every project.

Conclusion

The job and responsibility of promoters have been expanded and they now have to provide every document to the purchaser while signing an agreement. In case you need more information on RERA in Maharashtra or RERA registration, consider reading our blogs.

Read our article: Statutory Provisions of RERA: Registration Process, Documents, Offences, etc.