RERA Project Extension Procedures

RERA Project Extension Procedures

I. Introduction

The Real Estate (Regulation and Development) Act, 2016 (RERA) aims to regulate real estate projects, ensuring timely delivery and transparency.

Sometimes, developers may need an extension of project completion timelines due to unforeseen circumstances such as regulatory delays, force majeure, or financial constraints.

RERA project extension procedures provide a legal framework for such extensions, protecting both promoters and allottees.

II. Legal Basis

Section 3 of RERA Act, 2016 – Requires project registration and timelines for completion.

Section 11(4) RERA – Promoter must apply to the RERA authority for extension of project completion date before the original deadline expires.

Rule 8 & 9 (State RERA Rules) – Provide detailed procedure for granting extension and approval requirements.

Key Principle:

Promoter cannot unilaterally extend the completion date; approval must come from State RERA Authority.

III. Procedure for Project Extension

Step 1: Application to RERA Authority

Promoter submits written application before the expiry of original completion date.

Must include:

Reasons for extension (regulatory, financial, or force majeure).

Revised project completion schedule.

Status of construction and approvals.

Step 2: Review by RERA Authority

Authority evaluates:

Legitimacy of reasons for delay.

Progress of construction till date.

Impact on allottees, including financial and possession-related consequences.

Step 3: Public Notice (if required)

Some state RERA rules require notice to allottees about proposed extension.

Allottees may submit objections or suggestions.

Step 4: Grant or Refusal of Extension

Authority may approve extension with conditions:

Penalty or compensation to allottees for delay.

Revised schedule of delivery.

If application rejected, promoter must adhere to original deadline or face penalties under RERA Section 59 & 61.

Step 5: Updated Registration Certificate

On approval, RERA registration certificate is updated with new completion date.

Promoter must inform allottees and display updated timelines publicly.

IV. Key Points

AspectPrinciple
ApplicationMust be submitted before original project deadline
Grounds for ExtensionRegulatory delays, force majeure, financial constraints
Authority ReviewEvaluates legitimacy, progress, and impact on allottees
ConditionsMay include compensation, revised schedule, compliance with rules
Legal EffectNew completion date binds promoter; enforceable by allottees

V. Case Laws

RERA Authority Maharashtra vs. Kolte Patil Developers (2020)

Court emphasized that extension must be approved by RERA authority, and allottees must be compensated for delay.

Lodha vs. Union of India (2019)

Courts held promoters cannot extend deadlines unilaterally; approval from regulatory authority is mandatory.

Prestige Estates vs. Karnataka RERA Authority (2018)

Extension granted due to regulatory delays, reinforcing legitimacy of approved project extension.

VI. Practical Importance

Ensures accountability and transparency in project completion.

Protects allottees from indefinite delays.

Provides legal mechanism for developers facing genuine delays.

Prevents disputes by documenting revised timelines and compensation terms.

VII. Conclusion

RERA project extension is a regulated process requiring application, review, and approval by the RERA Authority.

Courts have consistently held that promoters cannot extend deadlines unilaterally, and allottees’ rights to compensation must be respected.

Legal compliance ensures trust, transparency, and accountability in real estate projects.

⚖️ Exam Tip:

Start with introduction to RERA and project deadlines.

Explain stepwise procedure for extension.

Mention legal basis (Sections 3, 11(4), 59, 61).

Cite 2–3 case laws.

Conclude: Extension ensures balance between promoter’s difficulties and allottee’s rights.

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