Credai wants threshold of plot area under RERA lowered in Karnataka

Our Bureau Bengaluru | Updated on January 11, 2018 Published on July 12, 2017

Confederation of Real Estate Developers’ Associations of India (Credai) has called for lowering the threshold of the plot area to 100-150 sq metres from the prevailing 500 sq metres in the notification of Real Estate (Regulation and Development) Act (RERA) by the Karnataka government.

Addressing reporters, Ashish Puravankara, president, Credai Bengaluru, said it would help check deviations.

The government has taken steps to ensure that ongoing projects are brought under the ambit of RERA.

According to the Karnataka government notification, projects that have completed 60 per cent execution of sale deeds need not make the application to the regulatory authority. “It is to be noted that sale deeds are executed only after the projects are completed, which is in line with the Act,” Puravankara said.

Likewise, layouts that have handed over charge of civic infrastructure to the local authorities are rightfully exempted as such handing over happens only after the full completion of the project.

The notification also exempts projects that have applied for occupancy certificate (OC) as the same is applied only when the project is completed. In the case of projects that have received partial OC, the exemption is accorded only to that phase which has received the OC.

Stating that all other projects that did not fall in the above categories will come under the purview of RERA, Shankar Sastri, president, Credai Karnataka, said, “The state government has notified the Act in letter and spirit as compared to some other states.”

While acknowledging that the RERA is stringent on several issues, bringing strict compliance on the part of developers as well as laying pressure to comply with multiple guidelines, Credai Bengaluru still welcomed the move “as it addresses the interests of buyers.”

Published on July 12, 2017
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