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West Asia crisis: Centre advises state RERAs to extend project deadlines by 4 months; CREDAI, NAREDCO welcome move
MoHUA has advised state RERAs to extend project deadlines by four months under Force Majeure amid the West Asia crisis; Naredco and Credai welcome the move
The Union Ministry of Housing and Urban Affairs (MoHUA) has advised all State Real Estate Regulatory Authorities (RERAs) to grant a four-month extension to the registration and completion timelines for eligible real estate projects affected by disruptions caused by the ongoing West Asia crisis.
The advisory applies to registered projects whose original, revised or extended completion date falls on or after February 28, 2026. To expedite implementation and reduce procedural delays, the Ministry has also recommended that State RERAs issue a single order granting the extension rather than requiring separate applications for individual projects.
The move has been welcomed by both developers' bodies, CREDAI and NAREDCO, which said the relief would help developers navigate supply chain disruptions while ensuring projects are completed in an orderly manner.
In an advisory issued on July 31, the Ministry said the prevailing situation in West Asia has disrupted global supply chains, leading to shortages of construction materials and affecting the timely execution of real estate projects.
Referring to the provisions of the Real Estate (Regulation and Development) Act, 2016 (RERA), the Ministry of Housing and Urban Affairs had said Section 6 allows extension of registration of a real estate project on account of Force Majeure, which includes "war" affecting regular development of a project.
Further, under Section 7(3) of RERA, the Authority may, instead of revoking the registration, permit it to remain in force subject to such terms and conditions as it considers appropriate in the interest of the allottees, it said.
Accordingly, MoHUA advised State RERAs to grant a four-month extension in the registration and completion timelines of registered real estate projects whose completion date, revised completion date or extended completion date falls on or after February 28, 2026.
To reduce procedural delays, the Ministry also recommended that State RERAs issue a single order granting such extensions rather than requiring separate applications for individual projects.
Credai and Naredco welcome move
The advisory comes months after the Confederation of Real Estate Developers' Associations of India (CREDAI) wrote to the Ministry in April, urging it to direct State RERAs to grant a blanket extension of three to six months and recognise the geopolitical situation as a Force Majeure event for the sector.
“The Ministry’s advisory recommending a four-month extension for eligible registered real estate projects is a positive step taken in line with the sector’s ask. CREDAI welcomes the Ministry’s timely step towards providing regulatory clarity and the continued support to the sector,” said Shekhar G Patel, president at CREDAI National.
While the sector faced significant challenges in construction material supply chains and labour availability due to the war disruptions, the recommended extension will help developers in aligning project completion timelines with the current market scenario while relieving them from the unnecessary burden on individual projects, he said.
“Meanwhile, the recommendation for State RERAs to issue a common order is a positive decision as it will ensure uniform implementation and reduce procedural delays. We at CREDAI look at this decision as a facilitative measure in supporting orderly project execution and safeguarding the interest of all stakeholders, including homebuyers, while maintaining the sanctity of the RERA framework,” he said.
Welcoming the move, Parveen Jain, president, NAREDCO, said the advisory was a timely and pragmatic step that acknowledges the impact of geopolitical tensions on construction activity.
"The ongoing geopolitical situation in West Asia has significantly impacted the availability and cost of construction materials, resulting in unavoidable delays in project execution. The Ministry's recognition of these extraordinary circumstances under the Force Majeure provisions of RERA is a balanced and much-needed step for the real estate sector," he said.
Jain urged all state RERAs to implement the advisory "in letter and spirit", saying timely extensions would provide relief to developers facing circumstances beyond their control while also safeguarding homebuyers by enabling projects to be completed in an orderly manner, reducing litigation and providing greater certainty.
NAREDCO said uniform implementation of the advisory across states would help maintain project momentum, reduce regulatory hurdles, strengthen homebuyer confidence and support the timely delivery of ongoing developments.
