Several developers in south Delhi having property sizes between 800 and 1000 square metres have not registered their developments with RERA.
Activists claim that even though the Real Estate Regulatory Authority (RERA) requires project registration whenever a developed area surpasses 500 square metres, regardless of the number of flats erected there, many builders in Delhi choose not to do so.
Delhi is predominantly a low-rise building market, therefore local developers renovate properties and sell the storeys separately for up to Rs 30 crore each.
Even low-rise projects were obliged to register under the RERA in April 2022 after complaints about buyers not receiving their property surfaced.
Before this, if the land being built was less than 500 square metres in size or if fewer than eight flats were being planned, Section 3(2) (a) of the RERA allowed for an exemption from registration. Many developers in affluent areas of Delhi-NCR have been dodging registering by taking use of this loophole.
But despite the directive, nothing has altered because no one is keeping an eye on the construction. According to right-to-information advocate BS Vohra, some under-construction structures in the west end, Anand Lok, Vasant Vihar, & Panchsheel Park are being constructed without RERA registration despite the fact that the site area is much larger than 500 square metres.
Vohra stated, “Since they made it required, the RERA should make sure the regulation is being obeyed.
It was impossible to contact the RERA director for comment.
Only 81 projects have been filed in all of Delhi, among the low ratios in the nation.
With land sizes ranging from 800 to 1,000 square metres, several contractors in South Delhi have not registered their developments with RERA.
“We must encourage planned growth in Delhi. As per Harsh V. Bansal, convenor of the CII-Delhi subcommittee on real estate, infrastructure and urban development, there are no significant projects underway in Delhi but Noida and Gurgaon are benefiting from organised development.
If the RERA regulations were not followed, the Delhi RERA has threatened to impose a fine that may equal 10% of the anticipated cost of the property development.
The registration process is meant to guarantee openness with regard to the monies obtained from beneficiaries, the completion and conveyance of the land in their favour, and the assurance that the project has received the required approval and sanction.
Many homes in Delhi’s upscale neighbourhoods are worth between Rs 20 and Rs 100 crore. The current owners, who are primarily elderly and NRIs, sell or work with developers.
The RERA had stated in its decision that it “advises the public not to invest any transaction by booking or acquiring any commercial or residential unit/space or land in any real estate development belonging within any one of the categories.”
