Latest news with #RealEstate(RegulationandDevelopment)Act
&w=3840&q=100)
Business Standard
6 hours ago
- Business
- Business Standard
Motilal Oswal Alternates exits all investments from its second realty fund
Motilal Oswal Alternates (MO Alternates), the alternative investments arm of Motilal Oswal Group, has announced the closure of its second real estate fund—India Realty Excellence Fund II (IREF II)—following the exit of all 14 investments with a gross internal rate of return (IRR) of 18.3 per cent. IREF II, a Rs 489 crore domestic real estate fund, focused on providing structured capital to established developers in their mid-income residential projects across India's leading urban markets. IREF II operated through a period marked by multiple disruptions and reforms such as demonetisation, the introduction of the Real Estate (Regulation and Development) Act (RERA) and the Goods and Services Tax (GST), the non-banking financial company (NBFC) liquidity crisis, and the COVID-19 pandemic. Each of these created significant short- and medium-term challenges for the industry, including sales disruptions, funding constraints and execution delays. Despite these challenges, IREF II maintained a resilient portfolio, backed by a strong focus on capital protection, underwriting discipline and active monitoring, enabling it to exit all deals profitably, MO Alternates noted. Over its lifecycle, the fund partnered with Kolte Patil Developers, Casagrand Group, Shriram Properties, among others. Vishal Tulsyan, co-founder and executive chairman, MO Alternates, said, 'With increasing formalisation, stronger balance sheets, and a growing appetite for institutional capital, we believe this is a defining decade for real estate in India—and MO Alternates is well-positioned to play a meaningful role in its evolution.' MO Alternates' cumulative assets under management (AUM) for real estate exceed Rs 10,000 crore across six real estate funds and co-investments. The platform has made over 180 investments and secured more than 110 complete exits. Overall, the alternative investments platform manages more than $2 billion in cumulative AUM across real estate and private equity. The firm will continue to deploy capital through subsequent funds in the IREF series and co-investments focused on real estate.
Hindustan Times
15 hours ago
- Business
- Hindustan Times
MahaRERA orders Lodha Developers to refund booking amount of NRI homebuyers after home loan rejection for Mumbai project
The Maharashtra Real Estate Regulatory Authority (MahaRERA) has directed Lodha Developers (formerly Macrotech) to refund the booking amount to NRI homebuyers who cancelled their reservation after being unable to secure a home loan for a ₹ 2.27 crore apartment in their Lodha Mulund project in Mumbai. The Maharashtra Real Estate Regulatory Authority (MahaRERA) has directed Lodha Developers (formerly Macrotech) to refund the booking amount to NRI homebuyers who cancelled their reservation after being unable to secure a home loan. (Picture for representational purposes only)(Pexels) The couple had paid ₹ 7 lakh upfront, 'relying' on the developer's oral assurance that the amount would be fully refunded if their loan application failed. After informing Lodha of their loan rejection and requesting cancellation, they were allegedly denied the refund, prompting them to approach MahaRERA, which has now ruled in their favour. The two homebuyers, Vaibhav Kishor Ambukar and his wife Seema Ambukar, had booked a flat in 'Lodha Mulund Project Tower 1' by paying a booking amount of ₹ 7 lakh in two instalments in September and October 2021. The couple, residing abroad (Russia at the time of booking), made it clear at the time of booking that their ability to buy the flat was contingent upon securing a home loan. According to the homebuyers, Lodha's representatives had orally assured them that in case of loan rejection or a financial emergency, the booking amount would be refunded without deductions. However, after the loan application was rejected in November 2021, due to documentation challenges and the complainant's contractual employment abroad, Lodha allegedly refused to cancel the booking or process a refund. Developer's defence The developer- Lodha Group contended that the booking was governed by an application form signed on November 18, 2021, which included a clause (Clause 3.5) allowing the forfeiture of booking amounts — up to 10% of the total consideration — in case of cancellation. The developer maintained that the complainants had signed the application form after fully understanding the terms. Also Read: Maharashtra Tribunal backs homebuyers, orders Lodha Group to register portion of New Cuffe Parade Project with MahaRERA MahaRERA's order The MahaRERA, in its order dated June 10, 2025, stated that no formal agreement for sale had been executed between the parties. The Authority found the forfeiture clause to be 'one-sided, unconscionable, and unenforceable' and held that the refund denial violated the spirit of the Real Estate (Regulation and Development) Act, 2016. 'The complainants' reason for withdrawal stemmed from a genuine financial crisis, not mala fide intent. The application form itself appeared partially filled and unsigned by Lodha's sales representatives. Moreover, it was signed just nine days before the refund request was made,' the order said. Following this, the MahaRERA ordered Lodha to refund ₹ 6.65 lakh to the homebuyers by July 15, 2025. The order said that if the timeline is not adhered to, the refund will attract interest at 2% above the State Bank of India (SBI)'s highest marginal cost of lending rate. Also Read: Over 29,000 complaints filed by homebuyers against 5,500 real estate projects in Maharashtra: MahaRERA data Additionally, the MahaRERA directed the developer to compensate homebuyers with ₹ 20,000 towards the cost of the complaint. Meanwhile, an email query sent to Lodha Developers did not receive a response. If a response is received, the story will be updated. Homebuyers should not rely on oral assurances According to legal experts, homebuyers should not rely on any oral submissions or assurances by the developer or its representative. "Homebuyers must exercise extreme caution and avoid relying on verbal promises or assurances from developers or their representatives when booking a flat, as such oral agreements lack legal enforceability under the Real Estate (Regulation and Development) Act, 2016 (RERA) and the Indian Contract Act, 1872," said Sonam Chandwani, Managing Partner KS Legal & Associates. "A clear, written contract detailing refund policies, contingencies, and obligations is essential to safeguard against developers' potentially unfair practices," Chandwani said. Also Read: MahaRERA update: Maharashtra regulator surpasses 50,000 project registrations in 8 years Sanjay Chaturvedi, a Mumbai-based lawyer whose firm represented the homebuyers in MahaRERA, said, "The delivery of the home is always with the developer, and he can sell it either to the first buyer or any successive buyer. Then why deduct or forfeit any token amount? Such practices discourage honest homebuyers and are bad for the industry. This is a very well-adjudged order." Chaturvedi said his client was working in Russia at the time of booking and currently works in Dubai.
Hans India
3 days ago
- Business
- Hans India
RERA Karnataka: What Every Property Buyer Should Know
Buying a property is one of the most important decisions of our lives. Given the rising cost of property, it is a huge achievement for many as they are investing a significant amount of their hard-earned money into it. So, while making such a huge investment, it is important that you want it to be safe, legal, and worth your money. Several problems like delays in project completion, unauthorized construction, difference between actual and promised carpet area, and more are common while purchasing a property. To avoid such issues, the Real Estate Regulation Authority (RERA) came into existence as per the Real Estate (Regulation and Development) Act in 2016 to control the real estate industry in India. The main purpose of this was to bring transparency and fairness to the real estate sector in India. Karnataka was one of the first states to adopt it, making it safer for homebuyers to invest in property. If you're planning to buy a property in Karnataka, understanding RERA and its benefits can save you from future stress. Here's everything you need to know. What is RERA and Why Was It Introduced? Buying a home is not as easy as it was before. It comes with various challenges like high property rates, hidden costs, project delays and more. That's when RERA comes into the picture. It is a law that aims to protect the interests of homebuyers and bring discipline to the real estate industry. It makes it mandatory for builders and real estate agents to register their projects with the state RERA authority. In Karnataka, this body is called K-RERA (Karnataka Real Estate Regulatory Authority). Thanks to RERA, builders must now follow strict rules, ensuring better accountability and transparency. Benefits of Implementing the RERA Act No more Delay in Projects by the Builders - One of the biggest issues homebuyers face is project delays. With RERA, builders must complete the project by the promised date. If they don't, they must pay compensation to the buyer. So assured timely project delivery is a guarantee with RERA. No Extra Charge for the excess Area - RERA has banned the concept of "super built-up area" for pricing. Builders can only charge based on the carpet area, which gives you better clarity on what you're paying for. More Transparency - RERA requires builders to upload all details of the project—like layout plans, completion dates, and legal clearances on the K-RERA website. This helps buyers make informed decisions. Builders will be Responsible for any Defects in Construction - If there are any structural defects within five years of possession, the builder must fix them at no extra cost. You have your Refund Rights - If the builder fails to deliver the project on time or violates the terms, buyers have the right to ask for a full refund along with interest. How RERA Protects Home Buyers Many people put their hard-earned life savings into buying a property. While investing in such a huge amount it is important to be smart and do proper research about it like – Am I investing in a legally approved project, what can I do if the builder fails to fulfil his promise and other important issues. In today's time, buying a property without RERA approval is risky. A non-RERA registered project might not follow the legal standards, leading to future problems with ownership, construction quality, or delivery time. RERA protects home buyers by giving them a more transparent view of their investment. All project details including sanctioned plans, status of approvals, and timelines are submitted to the RERA by the builders giving the buyers a clear view. Another common issue faced by home buyers is that they did not have a place or platform to raise their concerns about the builder. RERA provides a fast-track grievance redressal system. If any buyer faces an issue, they can lodge a complaint online and get justice without long court delays. Say goodbye to false promotion as builders cannot advertise or sell projects without RERA approval for real estate. Any misleading advertisements can lead to penalties and project cancellation. RERA has truly been an Act that has transformed the real estate landscape in Karnataka. In today's world where the market is full of fake advertisements and false promises, RERA comes as a saviour for home buyers. So, always look for RERA-compliant flats in Karnataka and take time to understand the RERA registration benefits Karnataka offers.
Hindustan Times
6 days ago
- Business
- Hindustan Times
Raj Kapoor studio redevelopment project: MahaRERA directs Godrej Properties to refund homebuyers without interest
The Maharashtra Real Estate Regulatory Authority (MahaRERA) has directed Godrej Properties to refund, without interest, the amounts paid by six homebuyers for seven flats in its Chembur-based project, Godrej RKS, in Mumbai. Godrej Properties acquired the project from the Kapoor family for residential development, redeveloping the former film studio owned by the late Bollywood actor and filmmaker Raj Kapoor. The homebuyers had cited financial difficulties following the COVID-19 pandemic as the reason for seeking a refund. MahaRERA instructed that the agreements be terminated once the refund is processed. While ordering the refund, the authority clarified that it cannot alter the terms of the agreement at this stage and directed the developer to refund the amounts as per the original contract, without any additional interest. In its order dated May 29, MahaRERA noted that the developer had issued termination letters to all complainants between August 2021 and July 2023. It clarified that there was no delay in handing over possession; rather, the complainants had defaulted on the agreed payment schedules As per the agreements, payments were to be made in stages linked to construction milestones. All homebuyers had signed application forms or sale agreements that clearly outlined the terms of default. The Authority ruled that it could not alter these contractual terms and found that five homebuyers, each associated with one flat, were not entitled to the refunds they had claimed. Also Read: Godrej buys Raj Kapoor's iconic bungalow in Chembur for ₹100 crore Regarding the sixth homebuyer, who had purchased two flats, MahaRERA observed that the developer had issued a termination notice due to payment default. The Authority found the termination to be valid and stated that the developer is at liberty to proceed under Section 11(5) of the Real Estate (Regulation and Development) Act, 2016, to execute the cancellation deed. It also directed the complainants/allottees to cooperate and execute the cancellation deed. Additionally, MahaRERA instructed the developer to refund all amounts received from the homebuyer towards the consideration of the flats within 60 days from the date of the order, in accordance with the terms of the agreement. Upon receipt of the refund, MahaRERA directed the homebuyers to execute the cancellation deed within 30 days, on a date mutually convenient to both parties. The Authority also clarified that the homebuyers are not entitled to any interest on the refunded amount. Meanwhile, an email query has been sent to Godrej Properties. If a response is received, the story will be updated. Six homebuyers purchased seven apartments in the Godrej RKS project located in Chembur, Mumbai. Of these, five apartments were transferred to buyers through registered agreements for sale, while one was allotted via an allotment letter in 2020. According to the MahaRERA order, the total consideration value for the seven units was ₹28.80 crore, of which the homebuyers had paid ₹6.21 crore. Out of the six homebuyers, five approached MahaRERA seeking to withdraw from the project and requested a refund. They submitted that they had received termination letters from the developer stating that the entire amount paid had been forfeited. The complainants were also directed to return all documents related to their respective units. The homebuyers cited financial and personal hardships arising from the COVID-19 pandemic, the impact of which, they claimed, continues to affect them. Also Read: Over 29,000 complaints filed by homebuyers against 5,500 real estate projects in Maharashtra: MahaRERA data One of the six homebuyers stated that the developer had not executed a sale agreement and, after receiving a termination notice prior to the issuance of the Occupancy Certificate, was pressured via email to book another flat in a different project despite there being no such clause in the original application. The buyer also alleged that no clear calculation was provided regarding the non-refundable amount. The other four homebuyers claimed they had attempted to transfer their bookings to new buyers, but delays and a lack of response from the developer eventually led to cancellations. The sixth homebuyer, who had purchased two apartments, cited financial difficulties due to the COVID-19 pandemic as the reason for non-payment and expressed a desire to continue with the purchase. In response to the complaints, the developer stated that one of the homebuyers had accepted the termination letter and subsequently booked a flat in another project, Godrej Urban Park. Therefore, the developer argued, the complaint related to the Godrej RKS project was no longer valid. They also contended that there was no valid contract as no sale agreement had been executed. Since the homebuyer had defaulted on payments, the developer maintained it was within its rights to terminate the booking and forfeit a portion of the amount as per the agreed terms. Regarding the other four homebuyers, the developer said that there was no delay in possession. The Occupation Certificate (OC) for the project was issued in December 2023, well before the scheduled deadline of June 2024. As a result, the refund claims were not applicable under Section 18 of the Real Estate (Regulation and Development) Act, 2016. The developer further noted that one of the complainants had filed duplicate complaints seeking the same refund, which it termed as a misuse of the legal process. In the case of the sixth homebuyer, who had booked two flats, the developer said the buyer failed to clear outstanding dues despite being given multiple opportunities. The developer argued that the homebuyer could not now seek an extension or request changes to the contract terms. It also said that the reliefs being sought were beyond the jurisdiction of RERA and that the developer had incurred financial losses due to the delays, for which it should be compensated. Also Read: MahaRERA update: Maharashtra regulator surpasses 50,000 project registrations in 8 years RK Films & Studios, the iconic film studio established by legendary actor and filmmaker Raj Kapoor in 1948, was located in Chembur, Mumbai. Set up just a year after India gained Independence, the studio became a significant part of Indian cinema history and was associated with several classic films over the decades. In May 2019, the Kapoor family sold the 2.2-acre property to Godrej Properties for real estate development. According to registration documents accessed by the land parcel measuring 9,655.10 sq. m was acquired for approximately ₹250 crore. Godrej Properties announced plans to develop a premium mixed-use project on the site, named Godrej RKS. The project was registered with MahaRERA in January 2020, with a scheduled completion date of December 2024. In January 2020, the company launched a luxury residential offering at the site, featuring 'Collector's Edition' three- and four-bedroom residences. The project's architecture draws inspiration from Bombay Art Deco, paying homage to the legacy and cultural significance of the original RK Studios.
Hans India
13-06-2025
- Business
- Hans India
Ensure plots/apartments are registered with APPERA before investment
Vijayawada: The Andhra Pradesh Real Estate Regulatory Authority (APRERA) has suggested customers, buyers not to purchase any plot/apartment/building in projects that are not registered with APRERA. The APRERA in a press release announced that it has come to the notice of APRERA that some developers/promoters/builders are collecting advance payments from buyers under the guise of 'Pre-launch' activities for proposed real estate projects prior to obtaining registration with APRERA. The APRERA further said it was also observed that some real estate agents were involved in marketing such pre-launch projects. As per Section-3 of the Real Estate (Regulation and Development) Act, 2016, no promoter shall advertise, market, book, sell, offer for sale, or invite persons to purchase any plot/apartment/building in any real estate project without registering the project with APRERA. Further, as per Section-10 of the Act, no real estate agent shall facilitate the sale or purchase of any plot/apartment/building in a project that is not registered with APRERA. The APRERA chairman S Suresh Kumar has advised all developers/promoters/builders and real estate agents to refrain from engaging in any financial transactions or promotional activities with buyers in the name of 'Pre-launch' for unregistered real estate projects. Any violation will attract strict legal action by APRERA under the provisions of the Act. The APRERA has asked the allottees/customers/buyers not to purchase any plot/apartment/building in projects that are not registered with APRERA. It said approval from APRERA is must for purchase of property. People can contact the APRERA Help desk for information on specific projects or to seek redressal for issues such as delay in possession, poor construction quality, or other grievances etc. The RERA Act was enacted in the year 2016 for regulation and promotion of the real estate sector and to ensure sale of plot, apartment or building or sale of real estate project in an efficient and transparent manner and to protect the interest of consumers in the real estate sector and to establish an adjudicating mechanism for speedy dispute redressal and also to establish the appellate tribunal to hear appeals from the directions of the real estate regulatory authority. In consonance with the provisions of the Central Act, the Government of Andhra Pradesh has established a Regulatory Authority for the state of Andhra Pradesh called ' Andhra Pradesh Real Estate Regulatory Authority' (AP RERA) for regulation and pomotion of the Real Estate sector rnd to ensure sale of plot, apartment or building or sale of real estate project in an efficient and transparent manner and to protect the interest of and promoters of residential as well as commercial projects. The office of RERA is located at Y Tower, Siddhartha Nagar 1st Lane, Pinnamaneni Polyclinic Road, Vijayawada and office mail ID is [email protected].
