Gaothan Plots through Tripartite Agreements
By S.R. Agarwal, Advocate
There is a recent trend that the plots allotted by CIDCO to the project Affeted Persons under 12.5% Gaothan Scheme (GES) are transferred on the payment of the prescribed transfer charges to the third parties and these Transferees are mostly Builders or Developers and also Housing Co-Operative Socieites.
It is usually argued on the basis of a mistaken belief that after the transfer of such plots by way of Tripatite Agreements, a Transfere aquires clear, legal and marketable title with the authority to sell or transfer the Flats, Offices, Shops, referred to herein as the Unit to the prospective purchasers.
I have opined in my Article on the subject published in this Paper on 25th April 2007 that when such allottees have formed a Co-Operative Housing Society, the Purchaser of a Unit in such a Project will have a legal and valid title on the approval of his membership by CIDCO to the Society on payment of transfer charges.
But in case of transfer of such plots to the Transferees, other than the Co-Operative Housing Societies, any further transfer or sale of a Unit in such a Property would need CIDCO approval on payment of transfer charges. It would to pertinent to reproduce the relevant clause appearing in such Tripartite.
Agreements executed amongst CIDCO, original Licencees and the new Licencee, which is as under :-
“The new Licence shall be substituted for the original Licencee in the said said Agreement and shall have all the rights, obligations, liabilities, benefits and equities accordingly thereunder”.
In fact in the case of transfer of such Plots to the Transferee, other than the Co-Operative Housing Societies, there is a change in the name of the allottee, but the category of the plot remains the same, with the restrictive condition that no further transfer or assignment is valid without the approval of CIDCO. On the transfer of such plots by way of even Tripartite Agreement, these plots do not become TENDER PLOTS, wherein an Allottee i.e. A Builder or a Developer is permitted by CIDCO to sell the Flats, Offices etc, and obtain a direct lease in favour of a Society or a Company or an Association or Purchasers, as the case may be, and in all other types of transfer or sale of the Flats in the Properties, CIDCO approval, on payment of transfer charges, is essential. It has to be kept in view that the plots in Navi Mumbai are not free-hold, but on leasehold basisi from CIDCO and the terms and coditions of the allotment of such plots and the Lease Deeds have to be complied with to acquire a valid legal title and to avoid the possibility of re-entry or cancellation or allotment by the Lessor on the ground of breach of such condition.
Therefore, in case of purchase of Unit in a Property constructed on a plot allotted under 12.5% GES to a Transferes, other than Co-Operative Housing Society, who may be builder or a Developer, the Purchaser will have the legal valid title only on receipt or Transfer NOC from CIDCO on payment transfer charges and as pointed out earlier, such approval is available from CIDCO only on the completion of the construction, issuance of Occupancy Certificate and execution of the Lease Deed, because till the execution of the Lease Deed, a Allottee or a Transferee has the licence only by way of an Agreement to Lease to take possession of the plot and to raise the construction thereon and it is, specifically, mentioned therein that the Agreement to Lease shall not be deemed as a demise in law in favor of an Allottee so as to the Licencee any legal interest therein until the Lease, as provided therin, execute.
In the ultimate analysis, a clear, legal and valid title is available to a Purchaser of Unit in such properties in the following cases :-
a. In a case of resale with the approval of CIDCO on payment of transfer charges.
b. In a case where a Co-Operative Housing Society has been formed and the membership of the purchaser to the Society has been approved by CIDCO on payment of transfer charges.
Only in these cases in finance is required to purchase a Unit, Mortgage NOC will be available from CIDCO in favor of the lending institution. Neverthless, an Allottee or a Transferee himself will have a valid legal title and the Mortgage NOC will be available from CIDCO, is such Allottee on the Transferee of such Plots needs finance from a financial institution to put up the construction thereon.
What are required documents for loan processing in case of Gaothan plots
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Respected Sir,
I am staying in a flat constructed on Gaotan land at Plot 360, Sec 19, Koperkhairne.
The MJ Developer’s (builder) is no more available in Navi Mumbai as he is absconding and also the orginal owner of the land Mr. Patil has passed away. We have the landowners copy of sale deed with the MJ developer’s builder and the other relevant copies of the property including the NMMC paid copies of property tax. However now we are unable to get a loan from banks or financial institutions due to lack of Triparties agreement.
Kindly suggest a path forward in this matter & the expenses/service charges incurred if any.
Regards,
Nitin Honavar
Dear Sir,we are staying in building constructed in 12.5 gaonthan scheme without tri-party agreemnet.Please let us know how to form housing society in the plot where we are not
getting any support from builder and land lord also.we have already given all charges for society formation and cidco transfer charges to builder.
Respected Sir, I am staying in a flat constructed on Gaotan land at Plot, Sec 19, Koperkhairne. The builder is no more available in Navi Mumbai as he is absconding and also the orginal owner of the land Mr. Patil has passed away. We have the landowners copy of sale deed with the Mangalmurti interprises builder and the other relevant copies of the property including the NMMC paid copies of property tax. However now we are unable to get a loan from banks or financial institutions due to lack of Triparties agreement. Kindly suggest a path forward in this matter & the expenses/service charges incurred if any. Regards, laxman
Thank you very much for nice information.
I have booked one flat in Kolegaon, Dombivli, The Building is constructed in Gavthan Land while demolishing Ordinary village Home. Agreement between Gavthan Land holder and buildier made in conditions of on share of flat 65% in builder & 35% Land Lord. Buildier taken permission for consturction from Land Loard & Grampanchayat. Not from MHRDA. I have one question can we able to creat legal society by removing direct power of Land Lord on Land. Can we transfer this plot to society name? if yes please give me procedure & Estimate Expenses. Please tel me my decesion of taking flat in this type of building is legaly ok or not. My Mobile No.9223357597
i want loan on gavthan plot
Any banker will give you loan on mortgage.
Sir, I have a flat to sell in gaothan plot. the society is registered and conveyance ideed is done. My husband is the second owner and is no more now. Now to transfer into the first owner’s name in cidco what is the procedure? In society share certificate it is transferred into my name.
I am going to purchase flat in nerul sector 6, plot no. 175 under 12.5 scheme. this aparment now convert into co-operative housing society limited & i am purhcase flat from society member and i also in process of loan for the same from the GIC.
please suggest me that this flat is suitable for purchasing
what is 12.5 scheme land
Sir,Before 6 months I had a 1rk flat in koperkharne sector 19 in gavthan area.total 19 flat is there and same land owner and builder is done agreement and also owner havind a 7 flat form the same building. Now we in action to build a sociaty so pls suggesst is possible to build a society and in future there is no any proble bu NMC
Hello Sir,
good Morning
Gaotan property is best in future
All people saying gaotan is riski proparty
Please tell me what is true
Thanks
Regards,
Nandini
Dear sir/madam, i want some information from NMMC town Plannind Dept, it regard they provide a NOC from mahanagerpalika for construction in Goathan plot in Ghansoli,
Actually i already purchase a property in Ghasoli, but i cant get the loan from bank, b’cuase of NOC, kindly help me for this……