The ultimate guide to Deemed Conveyance & CIDCO.

The presence of CIDCO in the state is growing. It is imperative that housing societies coming under the purview of CIDCO to convey the land in the favour of cooperative housing society. Despite the fact that it is the developer’s responsibility to convey / transfer the land in the co-operative housing society or the deed of apartment in accordance with the provisions of the Apartment Act, but in most of the cases, developers are unwilling to do so. In terms of saving time and money, obtaining a Deemed Conveyance from a CIDCO joint registrar is preferable than taking legal action against the developer. Consumers can also seek redressal in court for recovery of expenses incurred on Deemed Conveyance.

Required Documents:

1. Application in prescribed Form VII
2. Society Registration Certificate / Deed of Declaration
3. Copy of Agreement of One Flat member with Builder
4. Index II of all the flat members and electricity bill or tax receipt in case of unsold flats
5. List of flat members
6. Agreement to Lease with CIDCO
7. Copy of Development Rights / Power of Attorney given to Builder by Villagers / Society / Owner
8. Copy of Occupancy Certificate or Self-declaration
9. Copy of Commencement Certificate
10. Format of Proposed Deed of Assignment/ Unilateral Conveyance Deed
11. Resolution passed in the meeting for Deemed Conveyance
12. Architect’s Certificate
13. Copy of Sanctioned Master Layout plan
14. Court Fee Stamp Rs. 2000/-
15. Affidavit
16. Indemnity Bond
17. Notice given to Builder & Landowner
18. Verification
19. Bandha-patra

The proposal should be submitted to the joint registrar along with the documents

Benefits of Conveyance i.e. lease of the plot:

1. The object of the Co-operative Housing Society is fulfilled when the Society’s name is incorporated on 7/12 Extract.
2. It is easy to sell a flat and to obtain a loan for a flat.
3. By executing the deemed conveyance i.e lease of the plot, the Society gets a clear and Marketable title of the land.
4. The Mortgage process becomes easy.
5. In order to take advantage of the increased Floor Space Index (FSI), financial benefits can be obtained by sanctioning additional construction and constructing more.
6. Funds can be raised by purchasing TDRs and constructing more floors.
7. Millions of rupees can be raised by erecting mobile towers or billboards on the building.
8. The Cost of a flat increases.
9. The builder cannot revise the sanctioned Master Layout Plan.
10. The Society can get the rights for re-development of the building only when the deemed conveyance is executed.

CIDCO Transfer Fee:

CIDCO is divided into 2 parts: developed and underdeveloped. Charges for CIDCO transfers have been determined by CIDCO. The Co-operative Housing Society will acquire Lease Hold rights of the plot after paying the CIDCO transfer fee.

In the case of an apartment, each unit holder’s name can be incorporated on the 7/12 Extract / Property Card. The Deed of Conveyance, i.e Deed of Apartment, should be registered as soon as possible, and one’s name incorporated  to the 7/12 Extract / Property Card.

What is the responsibility of the Flat Owner?

The builder must register the Co-operative Housing Society within four months if 51% of the flats in the project or building are sold. If the builder fails to register the Co-operative Housing Society, the 51% flat owners should join together and register the Co-operative Housing Society without the cooperation of the builder. The Co-operative Housing Society’s name should be incorporated to the 7/12 Extract / Property Card.

In a project with only two to four flats, the owners of the flats can form a company or partnership and convey the land in the name of the company.

Deemed Conveyance ​In case of apartment:

If Deed of Apartment has not been executed and registered by the builder in favour of the respective flat owner, one might be obtained Deemed Conveyance Order from the CIDCO Joint Registrar by following the above-mentioned method.

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