Finance Minister Nirmala Sitharaman announced on May 13 that Ministry of Housing and Urban Affairs will issue an advisory to States and Union Territories and their regulatory authorities shall suo moto extend the registration and completion date for all registered projects expiring on or after March 25, 2020 by six months, without individual applications.She stated that there is an adverse...
Finance Minister Nirmala Sitharaman announced on May 13 that Ministry of Housing and Urban Affairs will issue an advisory to States and Union Territories and their regulatory authorities shall suo moto extend the registration and completion date for all registered projects expiring on or after March 25, 2020 by six months, without individual applications.
She stated that there is an adverse impact due to Covid-19 and the projects would be at the risk of defaulting on RERA timelines. Therefore, time lines need to be extended.
The Housing Ministry will also advise States/Union Territories and their regulatory authorities to the following effect:
- Under RERA, Covid-19 would be treated as an event of “Force Majeure”.
- Regulatory authorities may extend the registration and completion date for another period of upto three months, if needed
- States and Union Territories can issue fresh “project Registration Certificates” automatically with revised timelines
- Extension of timelines for various statuary compliances under RERA concurrently
According to Sitharaman, these measures will ease the stress on real estate developers and ensure completion of projects so that the home buyers are able to get delivery of their booked houses with new timelines.