A number of real estate properties are lying stagnant in Bengaluru due to over-supply and legal disputes.
A number of real estate properties in Jayanagar, Sarjapur, Electronic City, Kanakpura main road and Bannerghatta main road lay unoccupied. Many apartments and properties are stagnant.
Complaints are registered against properties and builders on Real Estate Regulatory Authority (RERA) where the complainants are demanding compensation for delaying completion of projects by years. Builders delay project completion stating legal dispute. Many constructions have been stopped as permission
s are not taken for extra floors. Thus promised flats can’t be delivered on time as builders and developers get into legal disputes.
There are other laws that apartments have to follow such as individual STPs, NOCs from the fire department and compulsory rain water harvesting. Constructions near lakes and other water bodies are also prohibited. Recently finished projects by reputed builders have unsold flats. No factors like nearby malls or metro stations seem to be helping sell more flats.
Projects that don’t register under RERA, are unlawful according to the Real Estate (Regulation and Development) Bill 2013. Average weighted property prices largely remained stagnant in Bangalore, says 99Acres, a property portal in Bangalore property capsule 2018.
Pride Vatika Resident Owners Welfare Association (PVROWA) spokesman said “Once a metro line is established here, more people will start building their houses. Most our sites are sold but not many houses have been built. We are waiting for connectivity.”
C K Sharma, Business Development Manager from RERA Consultants said “Taking loans are not easy. Many builders don’t get their projects RERA registered at the development stage. Mostly stagnancy happens from not delivering on time, real estate is downtrodden now. In areas like Electronic city, stagnancy is more because of travelling time and traffic holdups. Builders should also avoid complications by sticking to the plan. Most legal disputes stem from deviating from the proposed number of flats or floors. It is also important to acquire documents of land ownership.”