Only 500 housing projects get revival signal: MSWA

Pune: The Maharashtra Society Welfare Association (MSWA), an umbrella organisation of 30,000 residential societies across the state, has claimed that only 500 of the 3,500 lapsed housing projects have been revived and the rest awaits compliance requirement and other technicality clearances

Pune: The Maharashtra Society Welfare Association (MSWA), an umbrella organisation of 30,000 residential societies across the state, has claimed that only 500 of the 3,500 lapsed housing projects have been revived and the rest awaits compliance requirement and other technicality clearances.

The Maharashtra Society Welfare Association (MSWA), an umbrella organisation of 30,000 residential societies across the state, has claimed that only 500 of the 3,500 lapsed housing projects have been revived (HT FILE PHOTO)

Ramesh Prabhu, MSWA chairman, said, “Maharashtra Real Estate Regulatory Authority (MahaRERA) secretary had issued an order regarding reviving lapsed projects, but only 500 projects get green signal under the said directions. These projects have been pending since 2017 for reasons like developer running short of funds, dispute between landlord and builder, and dispute with finance companies. We don’t know when and how these projects will be completed. Under the RERA Act, the regulatory authority has the legal obligation to complete these pending projects. We strongly moot that MHADA will complete the project by inviting tenders and complete pending projects.”

MahaRERA had listed 3,500 projects that had stalled after promoters had not applied for extension and uploaded Form 4. Similarly, the real estate developers were unable to obtain approval from 51% buyers to seek extension to complete lapsed projects. The order released by MahaRERA secretary had stated that developers can seek a joint hearing with the authority in the presence of buyers to consider extension with additional conditions.

According to the order, if any promoter does not apply for an extension or does not respond, the developer can apply to MahaRERA under Section 7 to get help. The authorities have asked developers to present mandatory documents to seek an extension for carrying out projects.

Pune metropolitan region has 92 of total 407 projects in Maharashtra having an inventory of 4,852 flats of which 2,488 units have been sold accounting to 51% of units sold, according to the data for lapsed projects in Maharashtra released by MahaRERA for 2021.

Across Maharashtra, 388 residential projects comprising approximately 20,955 units ie 52% (estimated 10,682 units) have been already sold out, 10,093 unsold has lapsed. The top five cities with maximum lapsed projects in Maharashtra are MMR, Pune, Aurangabad, Nagpur and Satara.