The Maharashtra Real Estate Regulatory Authority(MahaRERA) recently issued notices to 41 unregistered plotted development projects in the state advertised without the mandatory MahaRERA registration.
MahaRERA officials were checking properties in response to complaints from homebuyers regarding delays in projects in rural areas, when they found that developers of many plotted areas had sold units without registration or QR code mandatory for all projects above 500sqm.
They said the authority initiated suo motu action to issue notices against such projects.An official said, “We have issued notices under RERA Act’s section 3 which mentions that no promoter can advertise, market, sell or offer for sale or invite persons to purchase in any manner plot, apartment or building, as the case may be, without registering the project with RERA.”
Shirish Deshpande, chairman of the Mumbai Grahak Panchayat, said MahaRERA was scrutinising all details. “The initiative is good. There is need for caution while investing in plotted projects, since many developers, especially from rural areas, advertise without registration and fleece consumers.” Developers’ bodies must keep close watch on such individuals/ companies, he added.
Revenue officials said often developers lured consumers to invest by announcing plotted projects, which were subdivisions of land into plots, for sale as non-agriculture (NA) units — without providing mandatory infrastructure or registering with MahaRERA.
Earlier, developers needed to submit both commencement certificates (CC) and occupancy certificates (OC) for RERA registration. Last year, MahaRERA made new provisions wherein NA plot certificates would be treated as CC for plotted units. Also, receipt of tehsildar acknowledgment (after completion and execution of all conditions imposed by the competent authority) signed by the project architect would denote an OC which was necessary to inform RERA that the project had been completed.
“However, in projects under rural local bodies, developers face several challenges. Now, with the change in norms and acceptance of the NA certificate as CC, real estate projects in rural areas may get expedited since it can be registered more easily with RERA,” said the official.
Leading developers had announced plotted projects in rural areas, but were avoiding registration despite plots being more than 500sqm, he added.In 2021, MahaRERA chairman Ajoy Mehta ordered to stop a developer from advertising their projects or permit any bookings of NA plots since they had not registered or provided any required infrastructure.