STICKING POINT – KEEP CURRENT PROJECTS OUT OF RERA AMBIT

26
288
Want create site? Find Free WordPress Themes and plugins.

Making project under construction fully compliant with RERA would be absurdly inconvenient and prohibitively expensive, some developers say
The Confederation of Real Estate Developers’ Association of India (Credai) stoutly opposed the provision in the Real Estate (Regulation and Development) Act to bring current projects under its ambit.
“This is not only time consuming but also poses insurmountable difficulties in determining the nature and scope of regulation for current projects,“ Getamber Anand, president of Credai, said.

If a project has already been sold to the extent of 50% and construction is underway, it is practical impossibility to make 50% of the project compliant with the act; on the other hand, making the project fully compliant would be absurdly inconvenient and prohibitively expensive, Anand said.

However, Creadi has set great store by the assurance given by urban development minister M Venkaiah Naidu to Parliament that he would consider excluding current projects from the ambit of the legislation while framing the rules.

Also, the act has to be re-enacted in every states as real estate is a state subject. Each state will have to frame rules to regulate the sector and appoint a regulator who will adjudicate the regulatory framework. Various state governments like Gujarat, Haryana, and Maharashtra have already assured Credai that they will not include the current projects under the ambit of the new act.

In Noida, Greater Noida, and Ghaziabad, the UP government will have to take a call on erring developers. A senior official in the authority said that they cannot turn a blind eye to the mischief of erring developers in current projects. The national capital Delhi, too, has a number of projects running much behind schedule. The new law will bring solace to customers here, it is expected.

Sanjay Dutt, MD of Cushman & Wakefield, India, citing the provision of depositing 70% of the sales proceeds in an escrow account, said the new law is harsh on developers. He said this will put a lot of pressure on builders.“I fear prices will shoot up and it will be passed on to consumers,“ Dutt said.

At present, as the land cost–which comprises over 50% of the entire project cost in metros–is already born by developers before the launch of a project, they use a substantial portion of the sales proceeds in other businesses. Now, if they keep 70% of sale proceeds in an escrow account, its interest cost would also be included in the project cost and, therefore, be borne by the customer.

With the passage of the real estate law, the housing sector is all set for `infrastructure’ status, Credai said: “With the passage of the law, the last hurdle in treating housing projects as infrastructure projects also gets removed. To reap full benefit from the law, it would be timely and appropriate that the ministry of finance extends the long elusive status of `infrastructure’ to housing projects.“

Rajeev Talwar, CEO of DLF Ltd, said: “The setting up of the Real Estate Regulatory Authority (RERA) will usher in much needed transparency and pave the way for implementation of standard practices across the sector.Even though some clauses are heavily stacked against builders, we believe that this law has the potential to transform our industry. The law does not touch the issue of single window clearance; it also needs to hold local bodies and authorities, banks, contractors, financial institutions accountable and we hope they will come under its ambit in future.“

Manoj Gaur, president Credai NCR and MD of Gaursons India Ltd, said: “This is an important development towards the regulation of realty sector and to provide relief to homebuyers. The amendments which were made to the bill last year aimed to promote transparency, greater accountability, protection of homebuyers and investors, and efficient working in the sector.“

R K Arora, chairman of Supertech Ltd, says: “The legislation would definitely provide clarity to buyers on various aspects of housing projects at the time of investing in the project as it is mandatory for developers to post in advance all information on issues like project plan, layout, government approvals, land title status, contractors to the project, schedule for completion with the state RERA.“

Did you find apk for android? You can find new Free Android Games and apps.

Comments

comments

Get More Of Real Estate

Subscribe to our mailing list and get interesting real estate stuff updates to your email inbox.

Thank you for subscribing.

Something went wrong.

Latest Price Performance of Indian Real Estate Companies Stocks

26 COMMENTS

  1. I抦 not sure where you are getting your information, but good topic. I needs to spend some time learning much more or understanding more. Thanks for wonderful info I was looking for this info for my mission.

  2. I was just seeking this info for some time. After six hours of continuous Googleing, finally I got it in your web site. I wonder what is the lack of Google strategy that don’t rank this type of informative sites in top of the list. Usually the top sites are full of garbage.

  3. Good web site! I truly love how it is simple on my eyes and the data are well written. I’m wondering how I might be notified when a new post has been made. I have subscribed to your feed which must do the trick! Have a great day!

  4. I have been examinating out many of your posts and i can claim pretty clever stuff. I will definitely bookmark your blog.

  5. Excellent way of explaining, and nice piece of writing to take data concerning my presentation subject matter, which i am going to convey in academy.

  6. This is really interesting, You’re a very skilled blogger. I have joined your feed and look forward to seeking more of your excellent post. Also, I have shared your web site in my social networks!

  7. I don抰 even know how I ended up here, but I thought this post was great. I don’t know who you are but certainly you’re going to a famous blogger if you aren’t already 😉

  8. Excellent weblog right here! Also your website so much up fast! What web host are you the usage of? Can I am getting your associate link for your host? I want my website loaded up as quickly as yours lol.

  9. I just could not depart your site prior to suggesting that I actually loved the usual information an individual supply on your guests? Is going to be back regularly in order to check out new posts.

  10. I would like to express my thanks to this writer for bailing me out of such a predicament. Because of surfing around through the internet and seeing notions that were not powerful, I thought my entire life was over. Being alive without the approaches to the difficulties you’ve solved by way of this write-up is a crucial case, and the kind which might have adversely damaged my entire career if I hadn’t noticed the website. Your actual talents and kindness in dealing with every item was crucial. I am not sure what I would’ve done if I had not discovered such a stuff like this. I’m able to at this point look ahead to my future. Thank you very much for the professional and results-oriented guide. I will not be reluctant to propose your web blog to any person who requires tips about this problem.

  11. I feel this really is one of the most significant information to me.
    And i’m happy studying your article. But want to statement
    on some normal issues, The website style is perfect, the articles is really excellent : D.
    Good task, cheers

  12. We absolutely love your blog and find most of your post’s to be
    just what I’m looking for. Would you offer guest writers to write content for yourself?

    I wouldn’t mind producing a post or elaborating on most of the subjects you write about
    here. Again, awesome site!

  13. It is actually really a great and useful bit of info. I’m glad that you simply
    shared this helpful info around. Please stay us updated this way.
    Many thanks for sharing.

  14. I am very happy to read this. This is the type of manual that needs to be given and not the accidental misinformation that is at the other blogs. Appreciate your sharing this greatest doc.

  15. I each time emailed this blog post page for all my friends, as if want to read it after that my contacts will too.

  16. Sweet blog! I stumbled upon it while searching on Yahoo News.
    Do you have any suggestions concerning how to get placed in Yahoo News?
    I’ve been trying for quite a while nevertheless i never seem to arrive!
    Cheers

  17. DigiSoftYoutube Downloader is an easy to use program that is designed for batch downloading, so if you want to download lots of videos at one time, try it.

  18. I really appreciate this post. I have been looking everywhere for this! Thank goodness I found it on Bing. You’ve made my day! Thanks again

  19. You actually make it seem very easy along with your presentation having said that i
    find this topic to get really something that
    I believe I would never understand. It seems too complex and
    extremely broad in my opinion. I am anticipating for your post, I’ll try to have the hang of it!

  20. Write more, thats all I have got to express. Literally, it seems like as if you used the video to make your point.
    You obviously understand what youre speaking about, why
    waste your intelligence on just posting videos to the
    site when you can be giving us something informative to learn?

  21. Does your website have got a contact page? I’m having problems
    locating it but, I’d prefer to send an e-mail.
    I’ve got some suggestions for the blog you might be considering hearing.
    In any event, great blog and i also enjoy seeing it develop over time.

  22. hey there and thank you for your information – I’ve definitely gathered anything
    new from on this site. I did so however expertise some technical
    points applying this web site, as I experienced to reload the website a lot of times previous to I really could obtain it to
    load properly. I was wondering if your hosting is OK? Not too I am complaining, but slow loading instances
    times will very frequently affect your placement in google and can damage your quality score if advertising and marketing with Adwords.
    Anyway I’m adding this RSS to my e-mail and could look out for a lot even more of your respective exciting content.
    Make certain you update this again immediately.

  23. Hi! I’ve been reading your internet site for a little while now and
    ultimately got the courage to go ahead and supply you with a shout out of Huffman Texas!
    Just desired to say maintain the fantastic job!

  24. Attractive component to content. I just stumbled upon your web site and in accession capital to say that I acquire in fact enjoyed account your blog posts.
    Anyway I’ll be subscribing in your feeds or even I success you
    get admission to constantly fast.

Leave a Reply to tiendas nike air max 90 outlet Cancel reply

Please enter your comment!
Please enter your name here

Comment moderation is enabled. Your comment may take some time to appear.