The Maharashtra Real Estate Regulatory Authority (MahaRera) has directed builders to henceforth inform flat purchasers to what extent they have received construction permissions.
Currently, builders only declare that they have received the “commencement certificate” or the CC for the building without specifying anything further.
For example, the civic authority issues only stage-by-stage permission to the developer. The CC can only be restricted for plinth level or for only the first five floors of a skyscraper.
“The flat buyer is under the impression that the CC is for the entire building. This may not be so in most projects,” said a RERA source.
On Monday, RERA chief Ajoy Mehta’s office issued a circular, stating builders must now specify the details of the CC they have received.
“It is observed that layout approvals although obtained for the entire project, many a times other approvals are obtained in stages, including the commencement certificate up to a plinth/zero FSI/or commencement certificate up to a particular floor level. Flat buyers are unaware of the stage wise approvals. Therefore, it has decided to prescribe a declaration by the promoter (builder) to certify the exact stage of the commencement certificate, so that flat buyers will be aware of the same,’’ said the circular.
Builders will now have to file a declaration form and upload it along with the CC while registering the project.
In another recent order, RERA asked builders to give more clarity to buyers about flat transactions. “To avoid transactions of flats/pIots, it is necessary to provide the information as soon as sale is concluded or booking is made,” it said.
Mehta had earlier also ordered builders to meticulously submit the list of all their flat buyers along with their signatures in a proper format when seeking various permissions. Earlier, they would get away with sketchy details or shoddy paperwork when they registered their projects.
The builder will require the consent of at least 51% of the allottees if he wants extension of the completion date of the project. The consent will now be required with their names, flat numbers and signatures.
The circular has also specified that in case developers want to change the floor plan, design or make any major alterations in the sanctioned plans, they will require the consent of two-third of the people who have booked flats in the project.
Each of them will have to sign with their names and flat numbers on the promoter’s letterhead. The consent application will clearly mention the earlier building plans and the new alterations sought by the developer.