Real Estate Bill: Draft rules for UTs put out for public comment

New Delhi, June 24:  

The Ministry of Housing and Urban Poverty Alleviation has put out in the public domain draft rules of few sections of the Real Estate (Development and Regulation) Act, 2016 in five Union Territories, seeking public comment, an official statement said. 

The Ministry, which has put up the rules on its website, is seeking suggestions and objections from the public within two weeks.

It has come out with the ‘Union Territories of Chandigarh, Andaman and Nicobar Islands, Daman and Diu, Dadra and Nagar Haveli, Lakshadweep’ Real Estate (Regulation and Development) Rules, 2016.

“The rules provide for payments to be made for registration of projects and real estate agents with the Regulatory Authority, documents and information to be furnished by developers, procedures to be followed for registration, extension and renewal of registration, procedures for filing and hearing of complaints and appeals, appointment and service conditions of the Chairpersons and Members of Real Estate Regulatory Authorities and Appellate Tribunals and their powers etc,” the statement added.

As Union Minister has assured Parliament during a debate on the Bill, promoters cannot discriminate against anyone in the allotment of any apartment, plot or building on any grounds.

Project status updates

The promoter will be required to upload updates on the webpage of the project within seven days from the 

expiry of each quarter, regarding number and types of apartments or plots booked, garages booked, the status of construction of each floor, with photographs, status of approvals, etc.

“The fee proposed for registration of projects with the Regulatory Authority is ₹10 per sq m if the plot area is below 1,000 sq m and ₹20 if the area for development is more than that for residential projects and ₹50 and ₹100 per sq m for commercial projects,” it said.

Moreover, the promoters of all ongoing projects that have not received completion certificates shall apply for registration of projects within three months.

Penalties for promoters

The rules also provide for payment of 10 per cent of the estimated cost of the project for compounding of imprisonment of promoter for non-registration of the project or violation of the order of the Real Estate Appellate Tribunal.

Imprisonment of real estate agent and buyer for violating Tribunal’s Order can be compounded upon payment of 10 per cent of the estimated cost of the plot, apartment or building. However, the reasons for imprisonment shall be complied with in one month.

In case of project delay, the promoter and buyer will be liable to pay the State Bank of India Prime Lending Rate plus 2 per cent.

http://www.thehindubusinessline.com/news/real-estate/real-estate-bill-draft-rules-for-5-uts-out-for-public-comment/article8769449.ece