Builders Default in Updating 5230 Projects in Mumbai Metropolitan Region - MAHARERA

Maharashtra RERA Issues Notices to 11,000 Lapsed Housing Projects - 5230 Projects in MMR Default in Updating Projects on MahaRERA

The Maharashtra Real Estate Regulatory Authority (MahaRERA) has issued show-cause notices to 11,000 lapsed housing projects across the state, targeting developers who failed to update project status or submit the required Occupation Certificate (OC) after the completion date.

Key Highlights:

  • Region-Wise Breakdown:

    • Mumbai Metropolitan Region (MMR): 5,230 projects
    • Pune: 3,406 projects
    • Nashik: 815 projects
    • Nagpur: 548 projects
    • Other Regions: Sambhaji Nagar, Amravati, Dadra & Nagar Haveli, Daman & Diu
  • Actions Taken by MahaRERA:

    • Cancellation or suspension of project registrations
    • Freezing of bank accounts associated with projects
    • Restricting purchase and sale of flats in these projects

Developers must submit Form 4 along with the OC or seek a deadline extension. Failure to comply within 30 days may result in punitive actions under the Real Estate (Regulation and Development) Act, 2016.

Trust, Accountability, and Industry Responsibility:

While property registrations in Mumbai have been witnessing steady month-on-month growth, signaling renewed buyer confidence, non-compliance by developers casts a negative impression on both homebuyers and the regulator. The rise in registrations underscores growing trust in the real estate sector due to RERA’s oversight, yet developers who fail to update project details are sending the wrong signal.

Sandeep Sadh, Founder - Mumbai Property Exchange, stated:
"The growing trust among homebuyers due to RERA regulations has helped stabilize the Mumbai real estate market. However, developers who delay compliance or fail to update project information are risking their credibility and the overall confidence in the market. Embracing transparency under RERA will only benefit both buyers and developers in the long run."

Role of Industry Bodies:

To further streamline the industry and ensure accountability, organizations like NAREDCO and CREDAI should play a pivotal role in influencing developers to become active members. By encouraging compliance with RERA regulations and promoting transparency, these associations can hold developers accountable while fostering trust among homebuyers.

Moving Forward:

Developers should welcome RERA, embrace its rules, and operate transparently rather than flouting regulations. Compliance with these guidelines, coupled with accountability driven by industry bodies like NAREDCO and CREDAI, will not only boost buyer confidence but also contribute to the sustainable growth of the real estate sector in Mumbai and across Maharashtra.

 
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