The main objective of Real Estate (Regulation and Development) Act, 2016 (RERA) is to enhance transparency, accountability in the real estate related transactions by creating a systematic and a uniform regulatory environment, thereby protecting consumers’ interest and making promoters liable for timely completion of projects along with committed specifications, facilities and amenities.

In order to achieve the main objective of the Act, it is mandatory that there shall exist a mechanism to ensure all the promises made by the promoter is delivered in real and true sense.

RERA Act and Rules doesn’t define the definition of completion of real estate project. However while looking at the objective, intent of the Act, one can reasonably state the project is completed once following is ready and delivered by the promoter (apart from complying with functions and duties of promoters U/.s 11 of the Act)

1. Completion of Internal Development works

2. Amenities, facilities as per plans

3. Completion and honouring of all Promises, committeemen made as per Agreement of sale,

4. Completion of all details provided as part marketing / advertisement collaterals

5. Completion of External Development works

6. Obtain Occupancy Certificate

7. Obtain Completion Certificate stating that project is completed in all aspects

Each state may adopt different system / process / procedure for the purpose of reporting of completion by the promoter.

1. As Act mandates the start date and End date of project registration. End date shall be mentioned in the application for grant of RERA Registration. It is the duty of the promoter to complete the all development in the project in all aspects within the time (End date) as provided in the RERA Registration certificate of the Project.

2. In Case Promoter not able to complete the development of the project within the time as provided in the RERA Registration certificate, then file an application with authorities as per Sec 6 of Act for request for extension of time for completion of the project.

3. Authority may consider the application for extension and grant the permission for extension by collecting necessary details, documents and appropriate fees. Such extensions is permitted for maximum of one year.

4. It is the duty of the Promoter to complete all the development works within such extended time and file for the completion application.

5. Having filed application for completion (depends on state to state process) authority may verify the completeness of development of project including complete filing of quarterly updates and upload of / submissions of all professional certificates as per Act from time to time.

6. Few states are proposed to set up a special task force to visit and inspect at the project site and verify the completeness of development of project.

7. Once the authority is satisfied with the complete development of project, authority may confirm, or issue completed certificate.

8. Once the project is complete in all aspects, then Promoter is free to withdraw and utilise the surplus money lying in project bank designated account (over and above the estimate cost of construction as declared in registration application)

9. It is the duty of the professionals to educate / advice their real estate clients on important aspects of completion of development of project under RERA. As we are all aware that penalties for non-compliance U/s. 61 of the Act is high (upto 5 % of estimated cost of the real estate project)

Various relevant Definitions for this Article –

Sec 2(t)

*development works* means the external development works and internal development works on immovable property;

Sec 2(zb)

*internal development works* means roads, footpaths, water supply, sewers, drains, parks, tree planting, street lighting, provision for community buildings and for treatment and disposal of sewage and sullage water, solid waste management and disposal, water conservation, energy management, fire protection and fire safety requirements, social infrastructure such as educational health and other public amenities or any other work in a project for its benefit, as per sanctioned plans;

Sec 2(w)

*external development works* includes roads and road systems landscaping, water supply, seweage and drainage systems, electricity supply transformer, sub-station, solid waste management and disposal or any other work which may have to be executed in the periphery of, or outside, a project for its benefit, as may be provided under the local laws;

Sec 2(q)

*completion certificate* means the completion certificate, or such other certificate, by whatever name called, issued by the competent authority certifying that the real estate project has been developed according to the sanctioned plan, layout plan and specifications, as approved by the competent authority under the local laws;

Sec 2(zf)

*occupancy certificate* means the occupancy certificate, or such other certificate by whatever name called, issued by the competent authority permitting occupation of any building, as provided under local laws, which has provision for civic infrastructure such as water, sanitation and electricity;

Author Mr CA Vinay Thyagaraj is from bangalore. Practices on RERA since inception. For any clarifications, please write to


Author Bio

Qualification: CA in Practice
Company: Venu & Vinay
Location: Bangalore, Karnataka, India
Member Since: 05 Sep 2018 | Total Posts: 48
CA Vinay Thyagaraj, practicing Professional in the area of Real Estate, Direct Taxation, business structuring apart from financial consultation. Practicing since 2 decades in Bengaluru, developed team of professionals to provide holistic and 360 Degree services to the clients. Living with parents, View Full Profile

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  1. ajay says:

    iwithin the same society campus, can builder show completion of one phase and get out of RERA when the second phase is under construction and the common clubhouse facilities, entrance etc are all common.

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December 2023