Real Estate Regulation and Development Act (RERA) was introduced by the Government of India to regulate the real estate sector and protect the interests of homebuyers. Kerala RERA, also known as the Kerala Real Estate Regulatory Authority, is the governing body responsible for implementing RERA rules in the state of Kerala. Project registration is a crucial step for developers to comply with the regulations and ensure a legally compliant real estate project.
Why Project Registration is Important under Kerala RERA?
Project registration under Kerala RERA is mandatory for all real estate projects, including residential, commercial, and plotted developments, that exceed 500 square meters or have more than 8 apartments. It is important for developers to understand the significance of project registration as it offers the following benefits:
- Legal Compliance: Registering a project under Kerala RERA ensures compliance with the regulatory framework, avoiding any legal disputes or penalties in the future.
- Buyer Confidence: Project registration builds trust among homebuyers, as it indicates that the project is legally approved and adheres to the standards set by RERA.
- Transparency: RERA mandates developers to disclose all project-related information, including financial details, construction timeline, and completion status, to homebuyers, ensuring transparency in the real estate transaction.
- Dispute Resolution: Kerala RERA provides a platform for homebuyers to register complaints against developers for any discrepancies in project delivery or quality, thus safeguarding the interests of homebuyers.
Documents Required for Project Registration
Developers need to submit various documents along with the project registration application to comply with Kerala RERA requirements. The essential documents for project registration include:
Title Deed and Ownership Documents
Title deed and ownership documents are crucial to establish the legal ownership and possession of the project land. The following documents are required:
- Registered Sale Deed or Conveyance Deed: It serves as evidence of the transfer of ownership of the land from the previous owner to the current owner/developer.
- Mother Deed: It is the original document that traces the ownership history of the land from its first owner to the current owner/developer.
- Title Certificate: It certifies that the title of the land is clear and marketable, without any encumbrances or disputes.
Building Plan and Layout Approval Documents
Building plan and layout approval documents are essential to ensure that the project is constructed as per the approved plan and layout. The following documents are required:
- Approved Building Plan: It is the blueprint of the project that is approved by the local development authority, indicating the layout, design, and construction details.
- Layout Approval Plan: It is the approval obtained from the local development authority for the layout of the project, indicating the division of land into plots, roads, and other amenities.
- NOC from Relevant Authorities: It includes a No Objection Certificate obtained from the relevant authorities, such as the Fire and Rescue Services Department, Pollution Control Board, and Airport Authority, confirming compliance with their regulations.
Financial documents are required to ensure that the project is financially viable and the developer has the necessary funds to complete the project. The following documents are required:
- Audited Balance Sheet: It is a financial statement that provides an overview of the developer's financial position, including assets, liabilities, and equity, audited by a chartered accountant.
- Income Tax Returns: It reflects the developer's income and tax paid in the previous financial year, indicating the financial stability of the developer.
- Project Cost Estimate: It is a detailed estimate of the total project cost, including land cost, construction cost , and other associated costs, along with the sources of funding and financial arrangements made for the project.
Promoter's details are required to establish the credibility and background of the developer. The following documents are required:
- Promoter's Registration Certificate: It is the certificate obtained from Kerala RERA, confirming the registration of the promoter, which includes details such as name, address, contact information, and PAN number.
- Promoter's Background and Experience: It includes the details of the promoter's past projects, their experience in the real estate industry, and any legal cases or disputes they have been involved in.
Project details are required to provide comprehensive information about the project. The following documents are required:
- Project Plan and Layout: It includes the project's layout, floor plans, amenities, common areas, and other relevant details.
- Construction Timeline: It outlines the timeline for the project, including the start and completion dates of various construction phases.
- Completion Certificate: It is the certificate obtained from the local development authority upon completion of the project, confirming that it is constructed as per the approved plan and is ready for possession.
Project registration is a critical step for developers to comply with Kerala RERA regulations and ensure a legally compliant real estate project. By submitting the essential documents mentioned above, developers can establish the legal ownership, financial viability, and credibility of the project, ensuring transparency and protection of homebuyers' interests. It is crucial for developers to understand the importance of project registration and adhere to the guidelines set by Kerala RERA to avoid any legal disputes or penalties in the future.
Note: The information provided in this article about Kerala Real Estate Regulatory Authority (MahaRERA) is for informational purposes only. It is not intended as legal or professional advice and readers should consult qualified professionals for advice specific to their circumstances.
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