Builders are required to transfer common space to the residents’ association: Bangalore RERA

BENGALURU: Based on a complaint submitted by Sandeep GW and Jonali Das, the Karnataka Real Estate Regulatory Authority (KRERA) has given substantial instruction to a builder, Signature Dwellings Private Limited.

According to the ruling made according to Section 18 of the Real Estate (Regulation and Development Act), 2016, the builder must transfer the common space to the association of users as soon as the association is formed.

In addition, the builder is commanded to give the complainants a parking place in compliance with the 2003 BBMP Building Bye-laws.

This ruling represents a significant shift because, until this point, many builders kept ownership of the common areas in residential apartment buildings without turning it over to the corresponding organizations of allottees.

Since home buyers have long anticipated this KRERA order, builders are now required to transfer the common area at apartment complexes to the association of allottees. Sanchalak Dhananjaya Padmanabhachar of the Karnataka Home Buyers’ Forum expressed his gratitude for the order.

In reference to the transfer of common areas to the association of allottees, he observed, “The current order given in the Signature Crest Apartment case is crucial and sets the directions for long pending issues in Karnataka.”

In order to ensure that their rights and obligations are protected, he underlined the significance of transferring common areas to the registered association of allottees as per Section 17 of RERA. He urged property purchasers to demand this transfer.

Homebuyers must make sure they establish a legally recognized group of allottees and transfer ownership of the common spaces by requiring the developers to sign a conveyance document in accordance with section 17 of the RERA.

Homebuyers for developments completed before RERA must request the transfer of common areas per Section 11 of the Karnataka Ownership Flats Act of 1972, he added.

Home buyer Jibin Jayaram described the ruling as a superb RERA order. “Land title never being passed in the name of the organization of apartment owners has been a persistent problem in Karnataka.

Unlike Maharashtra, where promoters either deliver the land or associations choose deemed conveyance, the builder and the landowners continue to enjoy the same benefits for all time.

Since apartment owner’s organizations in Karnataka are not registered, it is difficult to execute conveyance deeds to non-body corporates, according to Jibin Jayaram. This is one of the key problems.

He declared that it is past time for homebuyers to begin registering their organizations with the appropriate authorities in order to transform into a body corporate, much like associations or cooperative societies under the KCSA 1959 Act, and seize ownership of their undivided portion of their property.