Experts urge Delhi RERA to remove 'apartment' loophole

Experts urge Delhi RERA to remove 'apartment' loophole
By , ET Bureau
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Synopsis

Using the loophole, many developers in posh colonies of Delhi have been avoiding the registration, claiming that the number of apartments is less than eight and to register their project, they have to meet both conditions.

Agencies
Section 3(2) (a) of the RERA provides for an exemption from registration if the land proposed to be developed is less than 500 sq metres or the number of apartments proposed to be developed is less than eight.
Real estate and legal experts have urged the Real Estate Regulatory Authority (RERA) of Delhi to follow an order of the Rajasthan RERA, which has made registration compulsory for all projects constructed on land measuring 500 square metres or more, irrespective of the number of apartments built on it.

Section 3(2) (a) of the RERA provides for an exemption from registration if the land proposed to be developed is less than 500 sq metres or the number of apartments proposed to be developed is less than eight. Using the loophole, many developers in posh colonies of Delhi have been avoiding the registration, claiming that the number of apartments is less than eight and to register their project, they have to meet both conditions.

"The nature of real estate development in Delhi has largely involved development of individual plots by developers rather than through multi-story complexes. Such developers have often bypassed the RERA registration, even though it may be applicable to them. This has also been due to low awareness among the buyers about the requirement of registration," said Santosh Pandey, associate, Sarthak Advocates & Solicitors.

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