INTRODUCTION:

From 1st May 2017, RERA - the real estate (regulation and development) act came into being. Also, if an ongoing real estate project comes under RERA, its secure option for purchase. There are many certificates that have to be applied and granted after proper inspection by the authorities to real estate projects. They are occupation certificate also known as occupancy certificate, partial occupancy certificate, commencement certificate.

According to rules, if a project has 5 or more units, it should be registered under RERA and its mandatory to obtain an occupation certificate from builder. The developer or the builder has to apply for the OC with the concerned authorities.

Commencement Certificate (OC): With the grant of a Commencement Certificate, a builder can start the construction of the project. This certificate is only granted after all other legal documentation is attained.

Occupancy Certificate: The promoter of a real estate project must obtain an Occupancy Certificate (OC) which is issued by the authorities. It is issued to projects which have provision for water, sanitation, electricity ie.t. civic infrastructures. After attaining this certificate, the promoter of the project must provide it to the allottees’ of the flats. In short, it can be said that occupation certificate, it confirms that people can shift and start living there. The following clearances need to be obtained before granting of an OC • Fire department • Waste management treatment and sewage management plant • Electricity • For operation of elevators. • Airport Authority of India, if the project is near the airport

Apart from OC, there is also a certificate known as the Partial Occupancy Certificate (POC). This certificate I gave to projects which are large in nature and to be completed in phases or blocks. After completion of a block or phase, the authorities grant a partial OC. As the next phase/ blocks keep on completing, the next POC is issued. When the entire project is completed, the partial OCs are changed to an OC for the entire project. The validity of a partial occupation certificate is only till the full occupancy certificate is issued. As the POC is issued, the developers of the projects can start selling out the flats in that unit/block/phase. Both, OC and POCs have to apply within 30 days from the date of completion of the project or phase/tower respectively.

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ADVANTAGES:

There are various advantages and benefits of buying property with an occupancy certificate which is stated below:

1. It is in a way a confirmation that the project has complied with the approved plans set. 2. The authorities can cancel the electricity connection or the water connection if the OC is not there. 3. If the OC is not there, the building can be demolished. This is so, as the building can be classified as an unauthorized structure. So, as a result, the flat owners can lose their flats. 4. With an OC, the flat owners can get a home loan easily, if all other documentation is proper. 5. A flat owner cannot lease out or rent out the flat if the OC is not there. 6. A flat owner, without an OC, cannot sell the flat.

Now, if a builder refuses to provide with the buyer with an occupancy certificate, then the buyer does have options. He or she can get a legal notice issued against the builder. The builder will have to get the certificate within one month. If a builder does not get an occupancy certificate for his project, the disadvantages are that the building can be ordered to be demolished. One should know how to check occupancy certificate online.

A commencement certificate along with an occupation certificate legalizes the rights of a flat owner, hence its very necessary to buy a flat which has both a commencement certificate occupancy certificate. These certificates ensure that the building was properly constructed as per approved plans.

EXAMPLES:

A couple of occupation certificate from builder awarded projects in the NCR are:

1. Galaxy North Avenue 2 is a project that is built in Gaur City II, in the Greater Noida West area. It’s a well planned residential township. This project is built over 6.5 acres of land with great facilities provided. It constitutes 7 towers, 700 units and has 26 floors. The apartments are semi-furnished. The project is by Galaxy Dream Home Developers Pvt. Ltd.

2.Another project, Ace City which is by the Ace group has 11 towers and is a well planned and designed project. The amenities include paper backup power, clubhouse, game courts, 24-hour water supply. It provides a 3 level security system. It is situated in Noida.