Govt Directive: Treat COVID-19 As Force Majeure & Extend Registration/Completion Date Of Real Estate Projects
New Delhi: The Central government has issued an advisory to all states and Union Territories, and their Real Estate Regulatory Authorities (RERA) to treat the COVID-19 pandemic as force majeure and extend the registration/completion date of all projects registered under RERA for a period of 6 months where completion date expired on or after March 25, 2020.
If the situation so demands, a further extension of 3 months may be allowed provided genuine reasons are recorded in writing.
The Ministry of Housing & Urban Affairs’ move is aimed to protect the interest of all stakeholders including homebuyers.
Various other incentives/reliefs were announced for the Real Estate sector, as part of ‘AtmaNirbhar Bharat Abhiyan’. These include special refinancing facility of ₹ 10,000 crore at Reserve Bank of India’s Policy Repo Rate to National Housing Bank for supporting Housing Finance Companies (HFCs); Rs 45,000 crore Partial Credit Guarantee Scheme for Non-Banking Financial Companies (NBFCs) and ₹30,000 crore Special Liquidity Scheme for Microfinance Institutions, NBFC & HFCs; extension of Credit Link Subsidy Scheme under Pradhan Mantri Awas Yojana-Urban till March 31, 2021; Scheme for Affordable Rental Housing Complexes for migrant labours and urban poor.
Minister of State (independent charge) for Housing and Urban Affairs Hardeep Singh Puri informed this in a written reply in the Rajya Sabha.