Buildings with completion certificate not under Rera: New Land Law 

Haryana and Uttar Pradesh’s Rera rules leave a dominant part of progressing land extends in NCR outside the ambit of the new land law.  As indicated by government and industry authorities the number is as high as 90% in Gurgaon.

Buildings with CC/OC will not be under Rera

• The figures from Noida, the city most noticeably awful hit by delays in conveyance of flats.
• These flats were not immediately available.
• The industry watchers expect little distinction with Gurgaon in light of the fact that Uttar Pradesh and Haryana have utilized a similar measuring stick for continuous ventures to be incorporated into their Real Estate (Regulation and Development) Act.
• Noida and Greater Noida together currently have 82 ongoing builder projects.
  Both states have decided to keep outside the purview of Rera projects that have been issued, or applied for, occupancy certificates.
• This is a significant difference from the Central Rera notified on May 1 this year that had completion certificates as the benchmark for exemption.
  In Gurgaon, for instance, 90% of the estimated 1.7 lakh flats/houses are in various stages of construction .
• These have either already received occupancy certificates or applied for it or have received part-completion (also an occupancy paper).
• These will not be part of the Haryana Rera.
•  Part completion does not mean the entire project is excluded from Rera.
• A tower still under construction will have to be registered afresh even if other towers in the project are complete.

Delayed possession

• Homebuyers in both cities said they were unhappy at what they called a dilution of the Act.
• Furthermore, the main problem here is delayed possession.
• An occupancy certificate does not address that as ongoing projects where construction is complete but amenities aren’t can get occupancy papers.
• Buyers in these projects, therefore, cannot bank on Rera for solutions.
• Similarly, if a housing project has 20 towers of which three have occupancy papers, those three towers will also not come under Rera.
• Amenities will be built collectively for the entire project.
• Industry and government sources in Gurgaon said new projects where work has recently started,were launched last year.
• Furthermore, old projects abandoned midway because of a developer facing financial crunch, will come under the Haryana Rera.
• A homebuyers’ group in Noida met MLA Pankaj Singh to express their disappointment.

Statement of the officials

• They also seeked a review of the rules before the Act is finally notified.
• The Centre has asked all states to notify the Act by July 31.
• Haryana’s cabinet cleared the rules on July 25.
• “A large number of applications for occupancy has been made over the past month with the Noida and Greater Noida authorities.
• This means a large number of ongoing apartments will fail to reap the benefit
• of Rera as these projects would not be legally required to register.
• This leaves buyers in a compromised state,” said Rashesh Purohit, founder, NCR homebuyers association.
• Gaurav Prakash, a homebuyer in New Gurgaon, added, “Rera was introduced to address the pain of homebuyers.
• So how can the government lose sight of it? Why replace completion certificate with OC?”
• But the ground reality is such that this may have been the only practical way of implementing Rera.
•  A Senior official of Haryana’s department of town and country planning said none of the residential project in Gurgaon has a completion certificate.
• “Only a few commercial projects have taken a CC. Not changing the criteria of ongoing projects would have created a big problem,” the official said.
• Various buyers’ groups said they were planning to file petitions in courts.
• “We are highly disappointed but kind of anticipated this.” said Shepalika Sharma, of the Forum of Apartment Owners in Gurgaon.
• Realtors had a different view, saying as long as buyers got delivery of their projects with the
• amenities promised to them, there should not be a problem, irrespective of whether the project had an OC or CC.
• The Haryana government has wisely considered that fact and come out with a pragmatic Act,” said Jaxay Shah, president of realtors’ association Credai.

More than 20 thousand complaints within 24 hours

• People are distressed from the unscrupulous behavior of builders.
• More than 20 thousands complaints were registered on the RERA website within 20 hours.
• RERA charges Rs. 1000 per complaint.
• People are seen upset with the builders as well as the complaint fees charged by RERA.
• The Public is demanding answers about the high fees charged by RERA for filing complaints.
• Furthermore, small investors are facing difficulties in filing complaints due to the high fees.
• In addition it is said that that all this increment of complaint fees can be a consipiracy by the officers.
• The question now is how will the small scale investors get justice?
• In addition, the RERA website is currently flooding with complaints.