Can a Developer Sell Open Parking Areas under RERA in Maharashtra?

The Real Estate Regulation and Development Act (RERA) in India, particularly when applied in the state of Maharashtra through MahaRERA, imposes specific regulations on the sale of open parking areas. Sellers and developers must navigate these regulations with care to avoid disputes and legal complications. This article outlines key considerations for developers looking to sell open parking spaces under RERA.

Understanding RERA and Open Parking Spaces

The act itself does not explicitly define parking spaces, leaving some gray areas for interpretation. However, it is crucial to understand that open parking spaces, like covered ones, are typically classified as common areas. These areas are intended to be shared among all residents of the property, and selling them as individual properties can violate RERA provisions that protect the rights of all buyers.

Project Approval and Disclosure

If a developer intends to sell open parking spaces, it is essential to comply with two primary requirements:

Legal Documentation: Any changes to the terms of a project, including the sale of open parking spaces, must be clearly stated in the project's legal documents. Approval: The sale of open parking spaces must be approved by the relevant authority under RERA. This ensures compliance with state-specific regulations.

Consumer Rights and Disputes

Buyers have specific rights regarding the use and maintenance of common amenities, including parking spaces. Selling open parking areas can lead to disputes among residents over the use of these common facilities. Conflicts can arise due to issues such as limited spaces, restricted access, and agreed-upon usage terms.

State-Specific Regulations - The Role of MahaRERA

While RERA is a central act, its implementation details can vary significantly across states. In Maharashtra, MahaRERA has specific regulations that deviate from the broader RERA framework. Therefore, it is critical for developers to consult the local MahaRERA guidelines to ensure compliance.

Practical Considerations and Legal Advice

In summary, while developers may have the potential to sell open parking areas under certain conditions, it is generally discouraged due to the implications for common property rights and potential legal complications. To protect their interests and avoid disputes, it is advisable for developers to consult with legal experts and adhere strictly to RERA guidelines and local MahaRERA regulations.

Given the nuanced and state-specific nature of these regulations, the safest course of action is to seek detailed legal advice to navigate the complex landscape of RERA compliance in Maharashtra. By doing so, developers can ensure they are fully compliant and minimize the risk of legal issues related to the sale of open parking areas.