Maharashtra RERA allows Lodha Group's JV to market and sell residential project
Maharashtra RERA allows Lodha Group's JV to market and sell residential project
The developers hope to expeditiously create another world-class community in South-Central Mumbai
The Maharashtra Real Estate Regulatory Authority (RERA) has allowed Lodha Group and Terraform Realty Group (erstwhile Everest Group) to market, advertise and sell its joint-venture project Lodha Bellevue in South Mumbai's Mahalaxmi locality.
The project registration was earlier kept in abeyance by RERA after a plea was filed by the Urban Infrastructure Venture Capital Fund (UIVCF). It had also restrained the joint entity from undertaking any sales.
But on submission of the reports by its secretary, the regulator has now ruled that projects Lodha Bellevue and Lodha Signet, developed on a land parcel owned by Terraform Realty Group entity Money Magnum Nest, are two separate projects.
In its order, the regulator stated, "Bellevue is a separate project, and the promoter is allowed to advertise, market, book or create third party rights by the offer for sale, enter into an agreement for sale for any apartment in the project."
RERA had de-registered the commercial project Lodha Signet after the promoter sought to withdraw it.
The spokesperson for Lodha remarked, "We are thankful to the authorities for upholding the law. We look forward to progressing the project expeditiously and creating another world-class community in South-Central Mumbai."
The Urban Infrastructure Opportunities Fund (UIOF), part of the UIVCF, had filed a complaint alleging gross violations of the provisions of the Real Estate (Regulation and Development) Act, 2016 by the realty developers.
In the joint venture, while Terraform Realty Group operates through its company Money Magnum Nest, Lodha Group operates through Macrotech Developers.
Money Magnum Nest owns around seven acres of land known as Bradbury Mills, situated next to Dagdi Chawl between Rippon Road and Haines Road in Mahalaxmi.
In 2007-08, UIVCF and other investors invested Rs.300 crore in three projects of the Everest Group. Upon non-performance of the projects, in 2012-13, the investors took the developer to arbitration.
In 2021, Macrotech Developers entered an agreement with Money Magnum Nest to jointly develop this land.
In its complaint to Maharashtra RERA chairman Ajoy Mehta, UIOF had alleged several violations committed by the promoters. It accused the promoters of obtaining the RERA registration by fraudulent means.
UIOF had further alleged that the project obtained only the layout approval and no building proposal was submitted to the civic body. That was the reason it did not receive any intimation of disposal and commencement certificate on the date of registration.
