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One of the salient features of RERA is the requirement of registration of the real estate project by the 'Promoter' with the Real Estate Regulatory Authority ("Authority"), which falls within the planning areas. In the absence of such registration, the Promoter of a real estate project is not permitted to advertise, market, book, sell or offer for sale, or invite persons to purchase in any manner in any real estate project or part of it.

RERA defines promoter as ("Promoter"):

Builder
Developer;
Development Authority;
Society;
Holder of Power of Attorney from the owner of the land on which building / apartment is constructed or plot is developed for sale.

A "real estate project" is defined as the development of a building, converting an existing building or a part in apartments, development of land into apartments / plots for the purpose of selling and includes common areas, development works, all improvements and structures thereon and all easement, rights and appurtenances belonging to such building or land or structure. The terms "apartment" and "building" as used in the aforesaid definition which is defined under the Act not only covers residential projects but also covers commercial projects.

In terms of Section 3 of RERA, the following real estate projects are not required to be registered:

Where the area of the land does not exceed 500 square meters or number of apartments does not exceed 8 (eight);
Where the Promoter has received completion certificate for a real estate project prior to commencement of RERA; and.
Where the work involved is limited only to renovation or repair or re-development and does not involve marketing, advertising, selling or new allotment of any apartment, plot or building.

In addition to the registration of real estate projects, every Real Estate Agent is also required to get itself registered before facilitating the sale / purchase of any real estate project or part of it, by making an application along with requisite information / documents and fee.

Application for registration under RERA

In terms of Section 4 of RERA, an application required to be made by every Promoter along with the prescribed fee for registration of its real estate project and shall be inter alia accompanied with the prescribed documents including:

An authenticated copy of the approvals and commencement certificate obtained from the competent authority;
Sanctioned plan, layout plan and specifications of the proposed real estate project as sanctioned by the competent authority; and
A declaration by the Promoter supported by an affidavit inter alia stating:

• that the Promoter has a legal title over the land on which development is proposed;


• the details of all encumbrances on such land;


• the time period within which the Promoter undertakes to complete the real estate project;


• that the Promoter would deposit 70% of the amount realized for the real estate project from the allottee(s) from time to time in a separate bank account.




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