Bengaluru: The long-awaited Karnataka Apartment Ownership Act has finally come into force, with the State Government issuing a gazette notification yesterday after the legislation received the Governor’s assent.

The State Government enacted the new law to regulate apartment ownership and management, bringing apartment owners’ associations, maintenance charges, common areas, builders’ obligations and disputes between residents and developers under a single legal framework. The law aims to establish clear mechanisms for administration, maintenance and use of common areas within apartment communities.

The law applies to projects comprising more than eight apartments.

It excludes government buildings, plotted and villa developments where individual sites are conveyed to buyers and civic amenities are handed over to local authorities.

The new legislation repeals the Karnataka Ownership of Flats Act, 1972 and the Karnataka Apartment Ownership Act, 1972. Existing associations registered under different existing legislations will be deemed to be associations under the new law.

For projects in which apartments have already been allotted, sold or transferred before the Act comes into force, applications for registration of the association must be submitted within three months of commencement, the notification states.

The competent authority, yet to be announced, is expected to examine applications and, if satisfied that the association and its bye-laws comply with the law, issue a registration certificate within 60 days of receiving the application.

As per the legislation, promoters must submit a declaration for a project to the competent authority within 60 days of the issue of the occupancy certificate. Failing to comply attracts a penalty of Rs. 1 lakh or more.

Importantly, the transfer of management does not absolve the promoter of obligations under the Real Estate (Regulation and Development) Act, 2016, including responsibility for rectifying structural and other defects during the applicable liability period.

The Act recognises apartment ownership as including a proportionate, undivided interest in the project land and common areas and facilities.

The Government has allowed the competent authority, which is likely to be the Urban Development Department, to frame model bye-laws that all associations can adopt after publishing a draft for public objections and suggestions for at least 30 days.