Overview
- The bill was first tabled in the Karnataka assembly on August 19 and the assembly approved the law on August 21 following debate, replacing an earlier draft that had proposed a multi-association federation for shared infrastructure.
- Under the law each completed apartment project must have a single registered association with optional subcommittees, and occupants of later phases are to be added immediately to the same association based on the first phase majority.
- Promoters must form and register the association within three months of allotting a majority of flats and the competent authority can now form, operationalise or penalise promoters who fail to do so.
- The final text bars anyone other than flat owners from using community and commercial facilities on a regular or commercial basis, a change that removes the earlier two-thirds approval exception and could cut rental revenue streams for some complexes.
- The bill sets procedures for redevelopment, requires the government to notify officers to act as a second appellate authority within three months of the Act coming into force, and applies its rules to pre-Act sale agreements when deeds are executed after commencement.