Survey numbers, sub divisions are immaterial for RERA exemption

CHENNAI: While dismissing an appeal of a promoter, Tamil Nadu Real Estate Appellate Tribunal (TNREAT) observed that number of survey numbers and sub divisions are immaterial for seeking exemption from RERA Act, if the project covers more than 500 sqm and number of apartments exceed eight.

S Ravichandran, the homebuyer, purchased 356 sqft of undivided share of land out of the total project area of 3,874 sqft of land in Ayanavaram at Rs 7.16 lakh.

He also entered into an agreement for construction of a flat with the promoter and paid Rs 45 lakh.

The homebuyer pointed out that the project was not registered with the TNRERA and sought the regulatory authority to direct the promoter to hand over the possession of the flat with all amenities and car parking as agreed.

On the other hand, the promoter argued that the proposed land was subdivided into three portions even before building approvals were granted by the Chennai Metropolitan Development Authority (CMDA). Separate approvals were issued for constructing three flats one in each sub division. However, at the time of construction, two plots in two sub divisions were combined together and six apartments were constructed as 'A' Block and another three were constructed as 'B' Block on the third plot.

The promoter claimed that the homebuyer was allocated a flat in 'A' Block and the extent was only 238 sqm. He also argued that the project need not be registered under RERA. Hearing the sides, TNRERA ordered the promoter to hand over possession of the flat on or before February 28. However, the promoter preferred an appeal before TNREAT.

The tribunal pointed out that the promoter had taken steps to get the survey number sub divided into three sub divisions, before he applied for building approval. "The intention was to avoid registration with TNRERA. The creation of sub division in the survey numbers have no relevancy and immaterial also, " the tribunal observed and dismissed the appeal.