Odisha Apartment Ownership Act, 2023: Understanding Key Points
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Odisha Apartment Ownership Act, 2023 is a new set of laws that govern administration of apartments in Odisha. The Odisha Apartment Ownership Act, 2023 replaces the Orissa Apartment Ownership Act, 1982, rather than amending it. The 2023 Act brings in a new framework, aligning it with RERA. The Odisha Apartment Ownership Act, 2023 is applicable to all residential and commercial apartments. However, it does not apply to standalone houses or individual properties.
Key Objectives of Odisha Apartment Ownership Act, 2023
- Odisha Apartment (Ownership and Management) Act, 2023 modernises the previous legal framework for apartment ownership.
- This Odisha Apartment Ownership Act aims to bring transparency in the real estate sector.
- This Apartment Ownership Act of Odisha clarifies ownership rights and responsibilities of associations and promoters.
- It offers a good framework for management of common areas.
Key Features of Odisha Apartment Ownership Act, 2023
- Odisha Apartment (Ownership and Management) Act, 2023 mentions clear definitions of ‘apartment’, ‘promoter’, ‘Association of Allottees’ and ‘common areas’.
- This Act mentions rights and duties of apartment owners and their roles in maintenance and AOA activities.
- Odisha Apartment Ownership Act states various steps for management of common areas.
Benefits of Odisha Apartment Ownership Act, 2023
- Odisha Apartment Ownership Act, 2023 provides a clear idea of apartment ownership and the use of common areas.
- Apartment Ownership Act of Odisha ensures that owners are getting to enjoy their living environment.
- Odisha Apartment (Ownership and Management) Act, 2023 offers legal protection to property owners.
- The Act helps property owners by providing clear directions for AOA participation and activities.
- These laws can assist a property owner with sale and transfer of apartments.
- This Ownership Act provides necessary instructions on formation of Association of Allottees.
- It provides authority to owners to make collective decisions on maintenance of common areas.
- The Act guides the association to maintain a well-managed community. It leads to an increased value of the apartments.
Who is The Owner of The Apartment?
According to the Odisha Apartment Ownership Act, 2023, anyone to whom an apartment is sold, allotted or transferred by a promoter. Owners will have exclusive ownership of the property and access to common areas and various facilities. They are allowed to transfer their apartments using sale, lease, mortgage, gift and exchange.
Documents That Promoters Will Need For the Transfer
- Occupancy certificate
- Odisha RERA registration certificate
- Apartment owners’ registration or AOA certificate
- Registered declaration
Things to Know About The Declaration
- Who Can Submit the Declaration?
- Promoters must submit the declaration to the Competent Authority
- The AOA can tender the declaration if the promoter fails to do so.
- What Should The Declaration Contain?
- Details of the land. Whether it is freehold or leasehold.
- Approval of the project plan by the Competent Authority.
- Breakdown of common areas and facilities (percentage ownership).
- Mode of undivided interest calculation in common areas.
- Rules on modifications and transfer of ownership.
Responsibilities of Promoters
Odisha Apartment Ownership Act, 2023 lays down specific guidelines for promoters. Some of them are:
- Handing over documents like lease certificates, approved plans, insurance papers, etc.
- Transferring unpaid amounts received from allottees, advance, security deposits, etc.
- Rectifying structural flaws or any kind of similar defects.
- Taking care of common areas and facilities till the Association of Allottees comes into formation.
Duties of Apartment Owners
Apartment owners form an association and ensure proper maintenance of the building. These are some of their duties:
- To follow the bye-laws made by the Association of Allottees.
- They can use common areas and other facilities according to the AOA approved bye laws.
- The owners are not supposed to encroach on the rights of the others.
- To avoid improper use of service areas and the basement. However, they can use the parking space for its actual purpose.
- Individual owners are responsible for the maintenance of their apartments.
- No one has the permission to make any alteration to the property except minor internal modifications.
- They must take care of the walls, drains and pipes of their respective apartments.
- No one has the right to put up any kind of sign-board or publicity material in common areas.
- People are not supposed to change the paint of the exterior part of windows or outer walls. They require a written approval from the AOA for this purpose.
Things You Need to Know About The Association of Allottees
- The formation of an Association of Allottees is mandatory to carry out responsibilities as mentioned under RERA and this Act.
- The promoters and allottees must come together to form an AOA.
- Promoters must ensure the submission of application by AOA to the Competent Authority.
- There must be only one Association of Allottees and not more than that.
- An AOA that is registered under Odisha Apartment Ownership Act, 2023 must represent the owners at every forum.
- Any allottee can become a member of the association. They will have voting rights.
- Once a majority of the apartments are sold, the promoter must hand over control to the AOA. The promoter is not a permanent member unless they continue to hold unsold apartments.
Conclusion
The Odisha Apartment Ownership Act, 2023 is a guideline for apartment owners and promoters from Odisha. This law is applicable for every kind of building except for the ones that the Government owns. These sets of regulations present clear guidelines for promoters, apartment owners and AOA. Its objective is to promote collective responsibility of all stakeholders.
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Frequently Asked Questions
1. What is the Odisha Apartment Ownership Act, 2023?
Odisha Apartment Ownership Act, 2023 is a legal framework to govern the management of apartments in multi-unit buildings in Odisha.
2. What is a Declaration?
According to this Apartment Ownership Act of Odisha, it is a document that promoters file to the Act’s provisions.
3. Is the registration of an apartment necessary?
Yes, it is necessary that owners register their apartments with the Registration Department for legal transfer of the property.