Gujarat RERA Recognizes Existing Property Owners as Allottees

In a landmark ruling, the Gujarat Real Estate Regulatory Authority (GujRERA) has granted existing society members in redevelopment projects the dual status of allottee and co-promoter, marking a significant expansion of regulatory protection.

The decision came in response to a complaint, where GujRERA directed the developer to complete the sale deed registration while affirming the complainant’s right as an allottee.

Previously, RERA protection was extended only to new buyers, while original members were classified solely as co-promoters.

A senior GujRERA official highlighted the ruling’s impact on redevelopment projects, stating, “This decision ensures that existing homeowners in redevelopment projects also receive RERA protection.”

Earlier, homeowners who signed an MoU with developers were regarded as co-promoters, while only new buyers were recognized as allottees.

In this case, the respondents argued that the complaint should be dismissed due to the member’s co-promoter status. However, GujRERA upheld the complaint, acknowledging that the individual was also an allottee under the law.

Chartered accountant Manan Doshi noted that the ruling aligns with a precedent set by Maharashtra RERA.

“Gujarat RERA determined that complaints from allottees are valid under the RERA Act, provided the project is registered. This judgment firmly establishes the complainant’s status as an allottee, ensuring protection under the Act,” he explained.