In a major milestone for real estate consumer protection, the Maharashtra Real Estate Regulatory Authority (MahaRERA) has ruled that regulatory project extensions granted administratively to builders do not erase or alter the original possession dates promised to homebuyers in registered sale agreements. Passed by MahaRERA Chairperson Manoj Saunik, the landmark judgment directed Pune-based developer M/s Urban Space Creators to pay monthly delay interest to an aggrieved homebuyer for stalling a flat handover in the “Urban Skyline Phase II” project located at Ravet.
The case was brought by allottee Omkar Milind Kulkarni, who had deposited ₹49.14 lakhs (inclusive of GST) toward a flat valued at ₹78 lakhs, with a contractually promised delivery date of May 2025. The real estate firm stoutly resisted the claim, arguing that MahaRERA had officially extended the overall project completion deadline to December 31, 2027. The developer blamed the delay on a string of regulatory hurdles, including a temporary stop-work order by the Pimpri-Chinchwad Municipal Corporation (PCMC), pending environmental clearances, severe labor shortages, and regional mining strikes.
Rejecting the builder’s defence, Chairperson Manoj Saunik clarified that statutory extensions under Section 6 of the RERA Act are purely macro-administrative tools to prevent projects from becoming unauthorized, and cannot override a homebuyer’s individual right to compensation under Section 18. The regulatory authority firmly held that ordinary business interruptions, municipal blockages, and raw material strikes constitute standard commercial risks that builders must anticipate. The tribunal ordered the firm to pay monthly interest calculated at the State Bank of India’s highest Marginal Cost of Lending Rate (MCLR) plus 2% from the original 2025 deadline until physical handover with a valid Occupancy Certificate.
