Can a Promoter sale, transfer or assign the project to another promoter after getting it registered?

Yes. The Promoter can transfer or assign the project to a third party. However if he is transferring his majority rights and obligations in the project it is subject to following conditions:

  • Prior written consent of two-thirds of the allottees excluding the promoter
  • Prior written consent of the Authority

Such transfer shall not affect the allotment or sale by the erstwhile promoter

The new promoter will have to independently comply with all the conditions of the Act, Rules and the obligations under the Agreements for Sale entered into by the erstwhile Promoter.

The period of registration of the project will not be extended due to such transfer and the new promoter will be responsible for consequences due to breach of the Act, Rules or Agreement for sale or delay in the project.

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