RERA is not a Monster… We are here to save the interest of Home Buyers and regulate the Industry: MahaRERA Chairman
Mumbai, 17th February 2023: The objective that MahaRERA is pursuing is the transparency and symmetry of information. Whatever project information a builder has he should transparently share it with the home buyer, said Shri Ajoy Mehta, Chairman, MahaRERA. The regulator is working to protect the real estate industry and wants to ensure its growth. Only when the real estate industry survives does the home buyer gain. He was speaking at an event organized by National Real Estate Development Council (NAREDCO) on RERA Updates & Insights. Mr. Mehta also agreed to hold a quarterly workshop jointly organized by MahaRERA and NAREDCO to help the developers gain clarity and improve compliances.
Speaking on the occasion Dr. Niranjan Hiranandani, Vice Chairman, NAREDCO appealed to the regulator to also help speed up the process of approvals. There are several issues to be addressed for which the regulator needs to make efforts. For example, if there is a recession in the economy that leads to delay in project completions, how do we handle that risk? Dr. Hiranandani asked.
Mr. Rajan Bandelkar, President of NAREDCO India while welcoming the panel noted that the RERA has helped the real estate industry gain respect due to regulation and professionalisation. MahaRERA has been issuing innovative circulars and facilitating compliance. Allowing deregistration for example was a much-needed step as it allowed an exit route, Mr. Bandelkar said.
Mr. Sanjay Dutt, MD & CEO, Tata Realty & Infrastructure highlighted the fact that the amount of institutional funds flowing into the real estate industry has been growing at an astounding pace. So much of compliances is likely to pose challenges to the developers as well as the regulator going forward. The industry is likely to attract an investment of around Rs 3 Lakh cr over the next 3 to 4 years. This money will be flowing from private equity investors and local lenders. Its important that the developers are able to perform and fulfill the commitments.
Shri. Sanjay Deshmukh, Nodal Officer for lapsed project, MahaRERA encouraged developers to improve the quality of the uploaded data. Around 75-80% of participants were falling short on quarterly filing timelines. With due efforts from authority to facilitate the process in the last month alone 5,000 forms have been uploaded taking the number up to 18,000, Mr. Deshmukh added.
Shri. Mahesh Pathak, Member, MahaRERA is optimistic that the number of stressed and lapsed projects will come down going forward. We have developed objective criteria, SOPs and hired professional agencies to help with the monitoring process. Effective monitoring will ensure that fewer projects will face stress and get lapsed,” Mr. Pathak maintained.
Voicing developers concerns with regard to RERA compliance Mr. Ashok Chhajer, Chairman, Arihant Superstructures Ltd suggested a balanced approach wherein a buyer of a delayed project could be paid rent for the alternate accommodation, by the developer. This will lower the burden on the developer and help him achieve early completion of the project, Mr. Chhajer suggested.
Mr Dinesh Doshi, President, NAREDCO Progressive Neral Karjat said, Change is the only constant and real estate regulation has evolved over last many years with industry working closely with the regulator (RERA).
Mr. Gautam Thacker, Chairman, NAREDCO Progressive Neral Karjat welcomed the regulator’s approach of protecting the interest of every stakeholder. The real estate industry plays a critical role in nation-building, working on the governments goal of housing for all. MahaRERA has strengthened the industry while prioritizing the interest of home buyers, Mr. Thacker added.