The Karnataka Real Estate Regulatory Authority (KRERA) has clarified in a ruling that projects that applied for Occupancy Certificates (OC) before the state RERA Act came into effect are not required to register under KRERA.
This clarification came during a case involving Hamilton Homes, a residential project by SJR Prime Corporation, in south Bengaluru’s Electronic City, where homebuyers had filed complaints about registering incomplete flats. Of the 359 flats, 120 remained unfinished to date.
Although the developer applied for an OC in 2016 and received it in May 2017—just weeks before KRERA was implemented—buyers argued that essential infrastructure such as water supply and sewage treatment were missing until well into 2018. Despite these concerns, KRERA referenced a Karnataka High Court order, stating that projects with OC or partial OC applications submitted before the Act’s enforcement are exempt from registration.
Dismissing the complaint filed by the homebuyer, KRERA said on April 2 that the order was not maintainable.
Also Read: Receipt of OC alone does not mark project completion: Bengaluru homebuyers urge KRERA to adopt project closure policy
The case
In this case, the buyer booked a flat in the project Fiesta Homes, located in Electronic City, in 2012.
“Out of 359 flats, 120 are incomplete to date in terms of basic works like tiling, painting, CP fittings, etc. Only 162 flats have been registered, less than 60% of all the flats,” a buyer who filed the complaint, Balaji SR, told KRERA.
He said that the developer obtained the occupancy certificate on May 17, 2025, way after RERA was implemented.
“Though OC was obtained, there was no permanent water supply and water treatment plant till 2018. Many interior and exterior works are still ongoing, and the developer did not handover the common area maintenance to the association,” Balaji said.
The buyer then approached KRERA to register the project and declare it as ongoing.
‘Non-completion of internal work does not qualify the project as ongoing’, the developer said
However, denying all allegations, the developer said it completed the project by 2016 and applied for OC in December of the same year. “The OC was issued by the competent authority on May 17, 2017. Some internal works like floor tiles, kitchen platform, flooring, and sanitary fixing, including others, are usually completed once the apartment is sold,” the developer told KRERA.
However, denying all allegations, the developer stated that the project was completed by 2016 and that the Occupancy Certificate (OC) was applied for in December of the same year. “The OC was issued by the competent authority on May 17, 2017. Some internal works, such as floor tiles, kitchen platforms, flooring, and sanitary fittings, including others, are usually completed once the apartment is sold,” the developer told KRERA.
The developer further argued that the non-completion of these internal works does not classify the project as ongoing.
Additionally, the developer claimed that 30-40% of the landowner’s apartment share has already been handed over, with the remaining units ready for possession.
Also Read: Karnataka has over 2630 delayed real estate projects: KRERA
KRERA’s findings
The Authority noted that the developer applied for OC in 2016 and obtained the same on May 17, 2017. The RERA Act came into force on May 1, 2017.
Citing a 2022 Karnataka High Court order Cambian Technologies Pvt Ltd vs KRERA, the Authority said that projects that have been completed or have obtained completion certificates before the RERA Act came into force are not under its purview.
“In terms of sub Rule IV of Rule 4 of the Rules, those properties to which the applications are filed before the Competent Authority seeking occupancy certificate either partial or complete need not be registered with RERA. If no registration is required with RERA, the RERA would not get any authority to entertain any complaint against any property to which an occupancy certificate is sought for either partial or complete,” KRERA said.
The developer had already obtained the occupancy certificate in 2016, and thus, the project was not ongoing as of the date RERA came into force, it added.
It concluded that the project, therefore does not require registration under KRERA.
HT.com has sent a list of queries to KRERA and the real estate developers. If a response is received, the copy will be updated.
