Realty Blogs

  Dr.Atul Goel The story of settlement and property ownership began when our ancestors decided to abandon the nomadic life of hunter-gatherers. They settled down, built dwellings, and marked spaces as their own. The story unfolded further as ownership of land or space became a marker of wealth and fortune. Empires came into existence by acquiring more and more land. India is no different in this regard. The story of modern-day real estate started with the advent of private land and property ownership. It no longer remained within the purview of only the wealthy. The Industrial Revolution, urbanization, and progress impacted its evolution, with infrastructural development coming into the picture. India’s real estate sector underwent major changes in the post-independence era. Public housing projects were launched by the government in the 1950s and 1960s to provide housing. Cities expanded, and the urban population grew manifold. No wonder housing remained a problem that needed a solution. The emergence of private developers brought a huge relief. A major shift happened. Apart from private housing gaining more and more popularity, the development of new real estate segments like luxury housing, commercial real estate, etc., also occurred. Today, the real estate sector is the second-highest employment-generating sector in India. Valued at USD 477 billion, it contributes approximately 7.3% to the country’s GDP. It is showing an exponential growth trend and is expected to reach USD 1 trillion by 2030. From retail to hospitality, commercial space to infrastructure, the sector is contributing immensely to our country’s growing needs. Experts predict that it will contribute about 15.5% to India’s GDP by 2047. As I always say, every development we think of is related to real estate. From housing to infrastructure, real estate is the solution to every problem we have. Take the example of Pune, my own city. It transformed from a quaint town into a happening city ever since it became an IT hub—a real estate development. It experienced phenomenal growth over the years with a real estate market driven by a strong demand for home ownership, a supportive business landscape, and large-scale infrastructure development. Last but not least, real estate has always been one of the best tools for wealth creation. From the great emperors to modern-day billionaires, every wealthy person has created their wealth through real estate. A tangible investment of low risk with the potential for consistent appreciation and income generation, it has always been a pillar of wealth creation. The implementation of the Real Estate Regulation & Development Act 2016 (RERA) in India has made it the safest tool for investment ever. When we invest in real estate, we not only create personal wealth but also invest in the growth of our city and contribute to our nation’s progress. That’s how it works!

Affordable housing is a critical issue in India, especially considering the country’s vast and growing population. Addressing this issue involves understanding various government measures, economic factors, and the distinction between affordable and low-cost housing. This article delves into these aspects to provide a comprehensive view of the affordable housing scenario in India.   Government Initiatives and Economic Measures for Affordable Housing The Indian government has promoted affordable housing for urban migrants and the economically weaker sections (EWS) through initiatives like the Pradhan Mantri Awas Yojana (PMAY). PMAY provides affordable rental housing complexes for migrant laborers, the urban poor, and students, converting government-funded houses into rental units. The Modi government has implemented key policies such as the Real Estate (Regulation and Development) Act (RERA) and the Goods and Services Tax (GST) to enhance transparency and organization in the real estate sector. Additionally, the government is upgrading infrastructure through affordable housing corridors and smart city plans. Economic measures include a Rs 50,000 crore fund to ensure liquidity for developers and the completion of affordable housing projects. This includes Rs 540 crore for 14 projects and partnerships with private builders. A Rs 25,000 crore fund was approved to revive stalled housing projects. Tax benefits and reduced GST rates further incentivize affordable housing, with GST on under-construction affordable homes reduced from 8% to 1%.   Affordable Housing vs. Low-Cost Housing Affordable housing is defined by the ratio of housing expenditure to household income, designed for lower and middle-income groups (LIG and MIG). These units, ranging from 300 to 800 square feet, provide essential services and high-quality construction at affordable prices. Low-cost housing targets the Economically Weaker Section (EWS) and is typically found in peripheral city areas. These units are smaller, often under 300 square feet, and offer basic amenities with minimal facilities, focusing on cost reduction.   Conclusion India’s affordable housing landscape is shaped by government initiatives, economic measures, and the clear distinction between affordable and low-cost housing. The government’s collaboration with private builders and international funds underscores its commitment to providing quality housing for all, enhancing living standards, and fostering economic growth.   Dr. Adv. Harshul Savla Managing Partner – M Realty Chairman – Statistics & Research, CREDAI National

Pimpri Chinchwad Municipal Corporation (PCMC), under Commissioner Shekhar Singh, is ambitiously advancing towards becoming a model city in urban living, integrating infrastructure, healthcare, mobility, education, and environmental sustainability.       Healthcare Advancements PCMC plans to enhance healthcare with the upcoming 750-bed Moshi General Hospital, featuring a cancer unit and an MBBS college. The ‘Jijau Clinics’ initiative aims to provide primary health care across wards, easing hospital burdens. PCMC partnered with UNDP to launch India’s first Social Impact Bond, strengthening healthcare. Educational Excellence PCMC operates 128 schools, educating 55,000+ students. Starting 2024-25, the Direct Benefit Transfer system enhances transparency. Initiatives like master trainers, digital classrooms, and school safety audits ensure quality education. Augmented Water Supply The Chikhali Water Treatment Plant, handling 200 MLD, started last year. Currently, 100 MLD is sourced from Andra dam, with 167 MLD expected from Bhama Askhed soon. Pavana Dam meets the city’s 510 MLD water need. PCMC aims for 24×7 water supply, covering 40% of its network. Urban Mobility and Infrastructure Prioritizing urban mobility, PCMC proposes the Wakad-Chakan metro and collaborates with NHAI on Nashik highway development. Nigdi-PCMC metro extension began, promising a better commute. An elevated Pune-Mumbai highway corridor is planned to cut congestion.   Smart Sarathi and ICCC Smart Sarathi, a citizen-centric digital platform, has revolutionized urban governance by making services more accessible. The Integrated Command and Control Centre (ICCC) enhances city management through real-time monitoring and data-driven decision-making, improving civic services and response times.   Sports and Recreation PCMC boasts the highest number of sports facilities per capita, with new developments like the Annasaheb Magar stadium and the Moshi cricket ground aiming to nurture athletic talent.   Environmental Initiatives With a 48% green cover, PCMC is enhancing this through the ‘Connected Green’ initiative under ‘Harit Setu,’ supported by a $400K grant from the Bloomberg Initiative for Cycling Infrastructure. This project connects parks with safe walkways and cycle paths. Recreational spaces like the ‘Safari Park’ in Moshi and ‘Bird Valley’ in Chinchwad blend nature and amusement. PCMC recently received a Platinum rating from the Indian Green Building Council (IGBC) Green Cities Evaluation. Sustainability and Inclusivity New initiatives include a 3-Wheeler EV Policy, Sustainability Cell launch, and Non-Motorised Travel Strategy. Adopting the Urban95 framework with the Bernard Van Leer Foundation aims to create child-friendly urban environments.   Affordability and Governance PCMC has not raised property taxes since 2013-14, maintaining affordability for residents. The city is a top performer in the ‘Majhi Vasundhara’ initiative, Municipal Performance Index, e-Governance, and Citizen Feedback Awards.   “Pimpri-Chinchwad is on a trajectory of becoming one of India’s most preferred cities to live in, reflecting a commitment to holistic and sustainable urban development. Our mission is to create a city that offers the highest quality of life for all its residents.” — Shekhar Singh, PCMC Commissioner

  It is crucial to make the right move with the correct knowledge and technique to avoid unnecessary delays in court matters, whether civil or criminal. Choosing the correct jurisdiction based on your case is paramount, whether it involves a Civil Court, Criminal Court, Consumer Court, RERA Authority, or any judicial or quasi-judicial authority. The Real Estate (Regulation and Development) Act, 2016 (RERA) plays a vital role in protecting consumer rights and interests. It provides remedies for delayed possession, structural defects, misleading advertisements, false statements, and more. The RERA Act is essentially an extension of the Consumer Protection Act. Concurrent Jurisdiction/Remedy It is important to understand that aggrieved parties cannot seek concurrent remedies for breaches of terms and conditions of contracts or agreements to sell between purchasers and developers or builders. In layman’s terms, concurrent means seeking relief at the same time from two different authorities or courts for the same grievance, such as filing a complaint before the RERA Authority and the Consumer Court simultaneously. The National Consumer Disputes Redressal Commission (NCDRC) has ruled that consumers cannot approach both the consumer court and RERA on the same complaint. The NCDRC recently dismissed a complaint against a building developer, finding that the complainant had already approached the RERA authority. For an accurate case reference regarding the National Consumer Disputes Redressal Commission (NCDRC) ruling that the same complaint cannot be filed with both RERA and the consumer court, you can refer to the case “A. Infrastructure Limited (now Kanoria Energy & Infrastructure Limited) v. Macrotech Developers Ltd., Consumer Case No. 182 of 2022”, decided on September 20, 2023. The NCDRC dismissed the complaint on the grounds of maintainability, applying the doctrine of “estoppel by election” which prevents the same grievance from being pursued in multiple forums. The NCDRC ruled that once a complainant has chosen to seek remedy under one legal forum, they cannot subsequently approach another forum for the same issue, aiming to avoid contradictory judgments and multiplicity of proceedings. RERA vs. Consumer Court After the establishment of the RERA Act, 2016, aggrieved parties can approach the RERA Authority or move to the Consumer Court under the Consumer Protection Act, 1986 (as amended up to date). However, it is essential to know that the RERA Act has no set limitation for filing a complaint once the cause of action has arisen. On the other hand, the Consumer Protection Act sets a limitation of 2 years for filing complaints after the cause of action arises to seek relief under the Consumer Protection Act. Aggrieved real estate buyers can file a case in RERA, consumer courts, etc. However, RERA is a specialized forum with expertise in real estate laws and rules. RERA has resolved more than 1 lakh cases until November 2023. The most effective forum for the buyer to approach for resolving issues highly depends on the case’s facts, limitations, and the remedy the aggrieved party seeks from the respective forum. Bar of Jurisdiction As per Section 79 of the RERA Act, 2016, Civil Courts are not empowered to entertain or hear any suit or proceedings on any matter which the Authority, adjudicating officer, or an Appellate Tribunal is empowered to address under the RERA Act, 2016. Therefore, it is important to move to the correct forum and take the right steps, understanding the facts of the grievances and legal procedures and jurisdiction before initiating any legal proceeding to avoid unnecessary delays and expenses. To conclude, understanding the distinctions between RERA and the Consumer Protection Act is crucial for real estate buyers seeking justice. Each forum has its specific expertise, limitations, and processes. Choosing the appropriate legal avenue based on the case’s specifics can lead to more efficient and effective resolution of disputes. Proper knowledge of the law and correct jurisdictional choices are essential in safeguarding one’s rights and interests in real estate matters. Advocate Tejashree Gaikwad-Rane Contact number: 9881008420 adv.tejashree.gaikwad@gmail.com

Transparency and accountability issues plague the real estate sector, resulting in numerous consumer complaints. MahaRERA, the Maharashtra Real Estate Regulatory Authority, aims to address these concerns by ensuring swift and fair resolution of grievances. Unlike traditional consumer forums, MahaRERA provides a balanced platform where both consumers and developers can file complaints, thereby promoting fairness and accountability for all parties involved. Here’s how MahaRERA enhances the grievance redressal process.   Understanding MahaRERA’s Grievance Redressal Mechanism MahaRERA provides a structured platform for consumers and developers to file complaints against each other and other stakeholders in the real estate sector, ensuring prompt and fair grievance resolution.   Steps for Developers to Handle a Complaint Registration: Developers can view complaints filed against them on the MahaRERA portal. It is crucial to respond promptly and accurately, providing all necessary documents and evidence. Hearing and Resolution: MahaRERA schedules hearings where both the consumer and the developer can present their cases. Developers should prepare thoroughly, presenting clear and detailed evidence to support their position. Timely Updates: Developers receive regular updates on the status of complaints. Staying informed helps developers manage and address issues proactively.   Key Features Enhancing Effectiveness for Developers Transparency and Accountability: MahaRERA’s online portal allows developers to track the progress of complaints in real-time, ensuring transparency and accountability. Conciliation Forums: Provides a medium for speedy dispute resolution, reduces litigation costs, and bridges legal battles, saving time and resources. Robust Legal Framework: Operating under a robust legal framework, MahaRERA ensures compliance with regulations, thereby protecting developers from frivolous complaints.   Developer’s Right to File Complaints Unlike consumer forums, MahaRERA also empowers developers to file complaints against purchasers in case of breaches of the Agreement for Sale or provisions of RERA. This includes situations where purchasers: Do not pay as per the agreed payment schedule. Fail to cooperate with the development of the project. Create unnecessary hurdles and interruptions.   Benefits for Developers Quick Resolution: MahaRERA aims to expedite complaint resolution, minimizing the time and effort developers must allocate to legal matters, enabling them to focus on project completion and enhancing customer satisfaction. Building Trust and Credibility: By effectively addressing grievances, developers can cultivate trust and credibility with buyers, thereby bolstering their reputation.   How RERA Easy Can Help Simplified Complaint Management: RERA Easy assists developers in managing complaints, ensuring accurate and timely submission of all necessary documents and responses. Regular Compliance Updates: RERA Easy offers regular updates on the status of complaints and compliance requirements, ensuring developers stay informed and proactive. Easy Registration & Compliance: We’ve helped over 3,000 projects get registered and submitted 10,000+ Quarterly Project Reports (QPR). We make sure your project complies with RERA regulations hassle-free. Simplified, Comprehensive RERA Oversight: Leave your RERA responsibilities in our capable hands and redirect your focus to your business’s growth. Our team pledges a smooth, worry-free approach to RERA management, covering every minute detail from strategy to implementation, ensuring effortless compliance at every turn. By partnering with RERA Easy, developers can streamline the grievance redressal process, benefiting from expert guidance and support while focusing on project development and customer satisfaction.

Since the outbreak of COVID-19, there’s been a noticeable shift towards plotted layouts and low-density housing (think Rowhouses, Villas, Bungalows, and the like). This shift isn’t just a whisper in the wind; it’s booming, with a staggering rise of 400% in plotting project launches in 2023 over 2019. WHAT’S DRIVING THIS SURGE? A FEW FACTORS STAND OUT: Work from Home (WFH): The pandemic ushered us into the remote work era. Many now crave living closer to nature, away from the hustle and bustle, in cozy independent houses. Plus, living on the outskirts offers a sweeter deal with its substantially lower cost of living compared to the city’s heart. Health and Wellness: Our collective health and wellness radar has gone off the charts! Spacious homes with easy access to the great outdoors, gardens, and parks are now more than just a luxury; they’re a necessity. The entry of big names like K Raheja, Godrej Properties, Supreme Universal, Lodha, and others into this realm signals that this trend isn’t just a passing phase but a solid move towards a more serene and holistic living environment. What do you think about this shift? Is it a temporary adjustment, or are we looking at the future of residential living? The author is a partner at Vasupujya Corporation, a Real Estate development firm based in Pune. He is a civil engineer from IIT Bombay and is also engaged in the Real Estate Data Analytics wing at CREDAI Pune Metro. RAHUL AJMERA PARTNER, VASUPUJYA CORPORATION RAHUL@VASUPUJYA.COM