The Maharashtra Real Estate Regulatory Authority (MahaRERA) has clarified that developers cannot seek partial deregistration of a real estate project on the grounds of financial non-viability. This ruling comes in response to a petition filed by Moraj Infratech Private Limited, which had sought deregistration of the residential component of its mixed-use project Ganga, located in Nagpur’s MIHAN-SEZ. The developer cited zero bookings and financial unfeasibility as reasons for the partial deregistration.
According to MahaRERA, the commercial portion of the project, comprising 37 units, had already been substantially completed, with a part occupancy certificate (OC) issued on December 29, 2023. Of these units, 35 had been sold, 32 agreements for sale executed, and possession handed over to buyers. In contrast, the residential wing had no bookings, prompting the developer to request partial deregistration. Additionally, the developer claimed that only 35% of construction for the residential section had been completed.
In an order dated September 19, 2025, MahaRERA rejected the application, stating that once a project is registered under Section 5 of the Real Estate Regulatory Act, the registration is an acknowledgment of the developer’s intent to start and complete the project. The authority emphasized that registration is not a provisional exercise or a means to comply with statistical requirements, but a binding commitment to deliver tangible premises to buyers as promised at the time of registration.
The regulator explicitly stated that “Deregistration of part of a project registration cannot be made possible as there is no such thing as partially deregistering a part and keeping the remaining part valid and subsisting. Hence, the said deregistration application is rejected.” However, MahaRERA did allow the developer to make corrections related to the deletion of the residential building, enabling compliance with regulatory mandates. The order directed the Director Registration at MahaRERA to facilitate the correction process within 60 days from the date of the application submitted by the promoter.
MahaRERA’s decision underscores the authority’s commitment to safeguarding the interests of allottees. The regulator noted that while the developer cannot partially deregister the residential component, corrective measures can be undertaken to address changes in the project structure. This ensures that the rights and expectations of buyers remain protected even when developers encounter financial or operational difficulties.
The ruling also reflects broader efforts by MahaRERA to maintain transparency and accountability in Maharashtra’s real estate sector. The authority has emphasized that project registration constitutes a formal commitment to buyers, and developers must follow through on their obligations regardless of internal financial constraints. Partial deregistration, the regulator noted, could undermine buyer trust and create precedents that weaken regulatory enforcement.
Industry experts suggest that this decision could have implications for other developers facing financial pressures, particularly in emerging micro-markets such as MIHAN-SEZ. While developers may seek flexibility in managing partially completed projects, MahaRERA’s ruling reinforces the principle that buyer protection remains paramount.
Over the past year, MahaRERA has actively intervened to monitor project compliance, suspend irregular housing developments, and facilitate resolution of homebuyer complaints. This approach ensures that the regulatory framework remains robust, balancing the interests of developers and the protection of allottees.
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