More than 4,500 real estate projects registered under the Maharashtra Real Estate Regulatory Authority or MahaRERA are announced as lapsed. It is because the builders could not finish the project before the completion date. About 21 real estate projects out of the 4500 lapsed projects are currently under construction by governmental organisations since the completion date of the projects has been passed.
Both the Maharashtra government’s affordable housing programme and the central government’s Pradhan Mantri Awas Yojana (PMAY) programme are funding these 21 projects.
These projects are hosted in cities like Pune, Mumbai, Aurangabad, and Nagpur. Amaravati, the 3-tier town, also has various abandoned projects by PMAY. The projects that have been listed are the ones whose registrations have expired between the years 2017 to 2022 up until March.
When is a Real Estate Project Declared Lapsed?
If the project’s deadline for completion is not met nor the developer files a request to extend the project’s date of completion, then that project is considered as “lapsed”. In the case of a lapsed project, the developer loses the right to invite people to invest in that particular project. Further, the revenue registrar department can also not register these lapsed projects.
Every real estate developer gets about 3 to 4 years, considered a reasonable period, to finish any real estate project registered under MahaRERA. A special number for registration is also provided for every project once the construction has been completed.
When did the Projects Lapse Registration?
When RERA was established in May 2017, 11 projects were registered as ongoing projects, and the remaining 10 were registered as new projects. A total of 21 projects have lapsed or expired since then.
All new projects on the list that have lapsed registration are from 2021 to 2022. The remaining 11 projects’ registrations expired between 2017 and 2020.
Project locations
6 out of the 21 projects undertaken by the government that have lapsed their registrations are being built under the Amravati Municipal Corporation, according to the list on the MahaRERA website. While the other remaining projects are being built by various boards of the Maharashtra State Housing and Area Development Authority (MHADA).
Most of the abandoned government projects are now being constructed in Mumbai. These constructions are closely located in areas like Wadala, Borivali, Powai, Goregaon, and Malad. There are 6 projects in the district of Amravati, 3 projects in the district of Pune, and the Mumbai Metropolitan Region area, which includes Aurangabad, Jalgaon, Kalyan and Nagpur districts, have 1 project each.
List of Projects
- The affordable homes that were being built in Goregaon, a suburb in the western region, by the Mumbai Board of MHADA are also among the abandoned projects. This project’s deadline date was December 31 2017.
- Other lapsed projects include the affordable homes built by the Pune Board of MHADA in the Kolhapur district, and its deadline was June 30 2018.
- The Nagpur Board of MHADA in Nagpur city’s deadline was July 31 2018.
- And the Mumbai Board of MHADA in Wadala’s deadline was October 30 2019.
- The affordably priced homes that were being built in Goregaon, Kurla, and Powai by the Mumbai Board of MHADA with a completion due date in 2019 are also included in the abandoned projects.
- The affordable housing projects in Malad and Andheri, with a deadline of 2020, have also expired.
Similar initiatives are underway in the MMR cities of Pune, Jalna, Jalgaon, Kalyan Taluka, Sangli, and Amravati district.
What are the Authorities Saying?
Officials assert that since government organisations only accept reservations after a local authority issues an occupation certificate or OC, neither purchasers nor allottees can involve themselves in the projects with lapsed registration.
Since these projects are still not finished, and to discuss this matter, Nitin Mahajan, the Konkan Board’s Chief Officer at MHADA, will speak with MahaRERA. The only thing still unfinished in this project is the OC because the project does not have a water connection yet. And also because there are still some unfinished road projects. “The issue will be resolved in the coming months, and houses from this project will also be sold in the ensuing affordable housing lotteries, “said Nitin Mahajan, the Konkan Board’s Chief Officer at MHADA.
A senior MahaRERA representative who declined to be identified said, “There is no suffering for any homebuyers in the case of government agency real estate projects that have failed. This is because reservations are only made after receiving an OC, so they are not concerned. We’ll take care of them separately.”
MahaRERA began sending the suo-motu heed to the developers of the abandoned projects within Maharashtra on July 25. The majority of these projects are in Mumbai and Pune. Initial notices will be given for projects in which the developer has reservations of 50 per cent or more, but no actual construction is taking place.
