In Maharashtra, between 75 and 80 percent of currently active registered projects do not consistently publish the required quarterly progress reports on the project’s status and finances.
After the state’s Real Estate Regulatory Authority (MahaRERA) issued 19,000 notices of non-compliance, around 1,400 real estate projects in Maharashtra announced project status regarding completion or deadline extensions in the previous two months.
The compliance rate has increased dramatically, according to MahaRERA authorities, from an earlier monthly average of 125–150 to 700 real estate project developers declaring their projects finished in January 2023.
Between December and January 2023, more than 700 projects requested extensions for project completion deadlines, compared to a monthly average of 120.
Developers are obligated by the RERA Act to give information about the project’s status, financial situation, number of bookings, annual reports, and other things.
Data splitting :
MahaRERA’s statistics show that around 139 developers informed the regulator that their projects would be finished in August 2022, 169 in September, 134 in October, 116 in November, and 138 in December. However, in January 2023, this number increased to 700.
There were 138 requests for project deadline extensions in August 2023, 116 in September, 142 in October, and 178 in November. However, the number increased to 444 in December and to 261 in January 2023.
a top official with MahaRERA said: “Despite there being compliance on the ground, the website does not show that, which is the problem. Technically speaking, this indicates non-compliance, and as a result, we have sent letters to more than 19,000 real estate projects with the expectation that compliance will be achieved.”
In between 75 and 80 percent of projects, periodic project reports are not submitted.
Moneycontrol stated on February 18 that according to MahaRERA, between 75 and 80 percent of currently registered projects in Maharashtra do not routinely post quarterly progress updates on the project’s condition and finances. Due to this, the full information regarding a certain project was not available to the general public on the MahaRERA website.
During a panel discussion on February 17, Sanjay Deshmukh, the Nodal Officer for MahaRERA’s lapsed project vertical, had stated: “A developer is required under the RERA Act to provide quarterly and annual reports. Nevertheless, quarterly reports were not uploaded for around 75–80% of the active programmes. Developers have started the compliance process after receiving alerts from us.”
Site visits by investigators will begin today
In the meanwhile, commencing on February 20, project visits at 15 sites will be conducted by investigators hired by the MahaRERA. MahaRERA will conduct the site visits since it believes many projects have financial issues.
300 such initiatives have been identified by the MahaRERA, and the first 15–16 projects will be visited. Moneycontrol reported in September of last year that MahaRERA had compiled a list of 300 major projects, each worth more than Rs 500 crore, where a large sum had been spent but just minimal work had been performed.
