HC Removes Consent Hurdle for Fresh Redevelopment Projects

Ruling paves way for reducing redevelopment delays in city; new developer need not obtain allottees' consent after termination of earlier builder

- FPJ News Service

The Bombay High Court has held that a new developer appointed after the termination of the earlier one does not require the consent of two-thirds of the allottees of the erstwhile developer to register the project with the Maharashtra Real Estate Regulatory Authority (MahaRERA).

A bench of Justices Riyaz Chagla and Farhan Dubash, on September 9, allowed a plea filed by Tuvin Constructions LLP challenging MahaRERA's direction that it must obtain two-thirds consent from allottees of the former promoter before registering the redevelopment project.

The petition arose from the redevelopment of Vilas Vaibhav Co-operative Housing Society. The society had first executed a development agreement and power of attorney in 2014 with Aditya Developer. Following disputes, an arbitral award in November 2023 terminated the arrangement. The society then entered into a new development agreement with Tuvin Constructions in October 2024.