Landowners getting shares of revenue
The Maharashtra Real Estate Regulatory Authority (MahaRERA) has made it clear that landowners getting a share of the total revenue from the sale of apartments or a project marketed or sold will be treated as promoters.
The authority in an order issued on Monday land owners of nearly 4,345 projects registered as they being co-promoters will be mentioned as promoters. Their liability will be decided on the basis of whether they are land owners or investors.
The order stated that a land owner will be accountable as a developer if he has taken area of a project and not cost.
“It was necessary for the consumers’ benefits to distinguish or identify whether such a promoter is a land owner, investor or is the one who has actually obtained the building permissions for carrying out the construction work,” a MahaRERA official said.
Credai-Maharashtra president ShantilalKataria said the specification clears the doubts for the consumers and as well as the developers. “If a person is only a land owner and has no area share, he is not liable as the builder,” he said, adding that the order clearly states that a copy of the written agreement must be uploaded on the RERA website for public viewing.