Builder Delays and RERA Complaints

Can a co-operative housing society itself be treated as a “promoter” under RERA for its redevelopment?

Yes, a cooperative housing society can be treated as a "promoter" under RERA for its redevelopment.

Yes, a cooperative housing society can be treated as a "promoter" under RERA for its redevelopment.

Written By: GatePal Analyst

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Short Answer

Yes, a cooperative housing society can be treated as a "promoter" under RERA for its redevelopment.

Detailed Explanation

Rule 2(zk) of the Gujarat RERA Rules defines a "promoter" as any person who constructs or converts a building into apartments or develops a colony for sale. In the context of a cooperative housing society undertaking redevelopment, if the society takes on the role of constructing or converting buildings within its premises into apartments for sale, it would fall under the definition of a "promoter" as per RERA.

Additionally, Section 3 of the Gujarat RERA Act mandates that all projects with an area exceeding 500 square meters or more than eight apartments must be registered with RERA. Therefore, if a cooperative housing society is undertaking redevelopment that meets these criteria, it would be required to register the project with RERA as a promoter.

Practical Examples

  • ABC Cooperative Housing Society decides to redevelop its old buildings by constructing new apartments for sale to its members. In this scenario, the society would be considered a "promoter" under RERA and must register the redevelopment project with RERA.

  • XYZ Cooperative Housing Society plans to convert its existing structure into a modern apartment complex for sale to outsiders. As the society is involved in constructing apartments for sale, it falls under the definition of a "promoter" and must comply with RERA registration requirements.

  • LMN Cooperative Housing Society undertakes the development of a new residential colony within its premises for sale to the public. In this case, the society acts as a promoter by developing the colony for sale and must register the project with RERA.

References

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