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Modifications to a project plan under RERA require the approval of both the relevant authorities and the majority of the allottees (buyers)

Developers are expected to adhere to timelines and the original specifications unless a valid reason exists for modification, and they must always prioritize transparency and communication with buyers to maintain trust and legal compliance

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RERA Project Plan Modification

Under the Real Estate (Regulation and Development) Act, 2016 (RERA), the modification of a project plan or layout is subject to strict rules and regulations to ensure transparency, accountability, and the protection of buyers’ interests. RERA applies to residential and commercial real estate developments, and any significant changes to the approved project plan, such as the layout, design, or other aspects, are governed by specific provisions.

Types of Modifications That May Occur
- Alteration in Design/Plan: Changes in the design or layout of the project, including shifting of walls, number of floors, or internal configurations of apartments.
- Changes in Specifications: Alterations to the construction materials, amenities, or services mentioned in the original agreement.
- Changes in Common Areas: Alterations affecting common areas like lobbies, parking, recreational spaces, etc.
- Change in the Building's Structure: Significant structural changes that may affect the project’s overall viability or the buyer’s experience.
Approval from Authorities
- Prior Approval Required: Any modification or change in the approved project plan must be approved by the relevant local authorities, like the municipal corporation or planning body. Without this approval, the builder cannot implement changes.
- RERA’s Role: The builder must also inform the RERA authority about any substantial modifications. In certain cases, if the modifications significantly alter the nature of the project, the builder may need to seek fresh registration for the project with RERA.
- Consent of All Allottees: If modifications are made that could affect the buyers, such as changes in the layout or amenities, the developer is required to seek the consent of at least 2/3rd of the allottees (buyers) of the project before proceeding with any changes.
Material Alterations and Modifications
- Material Alterations are changes that affect the basic nature of the project. These can include altering the number of floors, shifting the building's footprint, or making other changes that could substantially affect the buyer’s expectations or legal rights.
- Approval by 2/3rd Majority: The developer must get the approval of 2/3rd of the allottees in writing before making any material changes. If this consent is not obtained, the developer cannot modify the project without facing penalties.
Impact on Completion Date
- Extension of Completion Date: If the modification leads to delays in the construction or delivery of the project, the builder may seek an extension of the completion date. This needs to be approved by the appropriate authority (RERA or the local body), and the builder is required to inform the buyers of any change in the timelines.
Consequences of Unapproved Modifications
- Penalties: If the developer makes changes to the plan or layout without approval from the local authorities or RERA, the project could face penalties. These could include fines or even cancellation of the project registration.
- Cancellation of Registration: In severe cases, the developer’s registration with RERA can be canceled if the modifications result in a violation of the original terms of the project or harm the interests of the buyers.
Buyers' Rights
- Right to Information: Buyers have the right to be informed about any modifications made to the project. This includes any change in specifications, amenities, or the overall layout.
- Right to Refund or Compensation: If the changes to the project are substantial and impact the buyers negatively, they may be entitled to a refund or compensation from the builder, as per the provisions of RERA.
RERA’s Monitoring Role
- RERA plays a crucial role in ensuring that all modifications are done in accordance with the law. If buyers feel that their rights are being infringed upon due to unauthorized changes, they can approach RERA for redressal.
Key Sections Related to Modifications
- Section 14 of RERA: This section deals with the developer’s responsibility to develop and complete the project as per the approved plans and specifications.
- Section 11 of RERA: Requires the developer to register the project with RERA and provide updates on the status of the construction, which would include any modifications to the plans.
Guidelines for Modifications
- Transparency: Developers must be transparent about the nature and extent of any modifications.
- Consultation with Stakeholders: Developers are required to consult with key stakeholders (like buyers and local authorities) before making significant changes.