Brainstorming meet on RERA to be hosted by Uttar Pradesh on 1 November 2019
The Uttar Pradesh Real Estate Regulatory Authority (UP-RERA) will be organizing its first national RERA conclave at Lucknow on 1 November 2019. This conclave will be held to help various regulators from different states to prepare a plan for management for the future growth of the department.
‘Transforming Reality with RERA’, the conclave will be inaugurated by the chief minister of Uttar Pradesh, Yogi Adityanath along with Union Minister Hardeep Singh Puri. This conclave is likely to be attended by chairmen of RERA of all the states.
UP-RERA chairman, Rajive Kumar mentioned that the objective of the one-day event is to find ways to strengthen the RERA Act. According to him, the real estate sector is going through a transformation and everyone is witnessing a major shift over the past few years. The sector is expected to grow at a rapid pace contributing around $1 trillion to the GDP of the country by 2030.
The key aspects of the real estate sector will be discussed in the event including the present-day challenges, the bolstering of real estate finance along with a growth strategy for the revival. Along with this, the officials will also be discussing financing options, the possibility of forming a bond between the regulatory authorities and the industry.
11 October 2019
Authorities directed to start registration process of realty projects under RERA in UP
In a bid to make builders accountable and address rising complaints from buyers of realty projects, UP RERA has asked authorities to start the registration process of realty projects.
Rajive Kumar, the chairman of UP RERA has stated that the authority had received as many as 1,000 complaints regarding projects and promoters from outside the planning areas. Given this fact, the chairman has urged participating officers to direct promoters to register their projects outside the planning area in RERA so that the authority can help such buyers.
It needs to be mentioned here that the RERA Act applies only to the real estate projects with area of 500 square metres or more and with eight apartments or more in planning areas. Kumar, who had a meeting to discuss approval and regulation of layout plans of the real estate projects outside the planning areas clarified that a project can be registered in RERA only if the layout plan of the project has been approved by the zila parishad.
16 May 2019
Banks directed to comply with RERA Act by UP-RERA
Uttar Pradesh RERA (UP-RERA) has directed commercial banks to comply with the provisions of the RERA Act. The authority has sent letters to the state heads of all 42 scheduled banks and to the Director General, UP Directorate of Institutional Finance to make sure that the provisions are complied with. The development comes after the authority noticed that some builders were withdrawing funds without submitting the requisite certificate.
It needs to be mentioned here that Section 4(2) (I) (D) of the RERA Act stipulates that 70% of the amount collected from the allottees need to be deposited in a separate bank account in order to cover the cost of construction and land. The funds could be withdrawn by the promoter only after an engineer, an architect, and a chartered accountant certified that the withdrawal was in proportion to the percentage of completion of the ongoing project.
8 May 2019
Committee formed to monitor Intellicity Business Park
In order to monitor the funds and construction activity in Intellicity Business Park, Uttar Pradesh RERA (UP-RERA) has formed a committee. The decision was taken after some home buyers registered complaints against the company.
R.D. Paliwal, the UP-RERA conciliator has been appointed as the chairman of the committee. Other members in the committee include three promoters of the company, six home buyers and a representative of those seeking a refund. The authority has also ordered Ascot projects to take care of the completion of the project.
It needs to be mentioned here that in January, UP-RERA had ordered a forensic audit of Ascot projects and had asked the company to maintain status-quo on the project. The authority had also served the company a show-cause notice. This was followed by the Income Tax department serving the company a notice to deposit Rs.56.25 crore for breach of IT compliance.
26 April 2019
UP RERA issues deregistration notices to 7 builders over 14 delayed projects
According to sources, the Uttar Pradesh Real Estate Regulatory Authority has issued deregistration notices to over 7 builders failing to deliver 14 projects having a total of over 4,800 residential units. This is the first time an action under Section 7 of the RERA Act was taken against builders. The deregistration notice was served considering the site inspections and complaints filed under the RERA Act for non-compliance of the Act. Prior to the deregistration notice, the authority had already warned the builders for complaints filed by the home buyers for repeated delays in handing over the properties. In case the developers do not come up with time-bound action plan to ensure the delivery of the projects on time, the Authority has the right to take over the incomplete projects and see to that the first right of completion is given to the home buyers. The authority also has the right to handover the unfinished projects to another developer who can promise completion of the project. According to sources, the RERA authority had earlier issued notices to many builders for delaying projects and unacceptable construction quality of the projects.
15 March 2019
UP RERA to grade projects and developers based on their track record
The Uttar Pradesh Real Estate Regulatory Authority has launched a grade ranking system for real estate developers and projects in the state to help financial institutions and prospective home buyers assess their investment. The rating will be done on a scale of zero to five, with the latter being the highest ranking. The ranking process will start in January and the plan to come up with the first grading list by September 2019. The grading will be based on the homebuyers’ feedback who have been associated with the concerned project and the level of compliance with RERA rules.
21 November 2018
Uttar Pradesh RERA to rank realtors based on their track record
The Uttar Pradesh Real Estate Regulatory Authority (RERA) has reportedly launched a star-rating system based on the past performance of the realtors to help prospective home buyers select the right property. The assessment will be based on the developer’s financial position and the failed projects if any. As per sources, home buyers have filed complaints against over 500 housing projects in regions of Noida and Greater Noida. The authority is also considering to hire a private agency to audit the projects to seek updates about the concerned developer. According to RERA Act, a realtor is required to submit the progress report of the ongoing project every quarter to the authority. This will enable the authority to monitor the projects in a better way. The authority has also requested its office to seek updates from developers whose deadline for completion of their projects have been over.
9 November 2018
The Real Estate Regulatory Authority (RERA) has decided open its Western UP bench in Noida in the coming weeks. This comes after it was found that more than 4,000 complaints remain unresolved with regards to issues over flats in the Noida and Ghaziabad region.
This bench will operate from the old building of the Great Noida Authority’s office in Gamma 2. This building was vacant for a while since the authority’s office was relocated to Knowledge Park IV. The Western UP bench will consist of 4 chair members, with 2 of them set to be house in the Noida office, while the other two will hear cases from the Lucknow branch.
The entire process took long because RERA, while being operational in the city for a while, only got its full time chairman Rajive Kumar last week.
14 August 2018