The Maharashtra Real Estate Regulatory Authority (MahaRERA) has ruled that a real estate project cannot be partially deregistered on the grounds of financial non-viability.

The order came after Nagpur-based Moraj Infratech Pvt. Ltd. sought deregistration of the residential component of its mixed-use project in MIHAN-SEZ, citing zero bookings and viability concerns. While rejecting the plea, the regulator clarified that once registered, a project must proceed in its entirety as per the Real Estate (Regulation and Development) Act, 2016, though it permitted the developer to make corrections to remove the residential portion from the registration records.

According to the submissions, the commercial section of the project, comprising 37 units, was already substantially completed, with a part occupancy certificate (OC) granted on December 29, 2023.

Out of these, 35 units had been sold, 32 agreements for sale executed, and possession had been handed over to buyers. In contrast, the residential wing had seen no bookings, prompting the developer to seek deregistration of the partial residential segment of the project. The developer also submitted that he had completed 35% of the work on the residential building.

In an order dated September 19, 2025, MahaRERA rejected the plea, stating that once a project is registered, it cannot be deregistered partially.

According to MahaRERA, once a project is registered under Section 5 of the Real Estate Regulatory Act, a grant for registration is an acknowledgement by the authority of the developer’s intent to start and complete a project, wherein the premises for which registration is sought would be handed over to the buyers.

The MahaRERA said that when a project registration number is given to a project, the project must then proceed and take a course as defined in the said Act. Finally, tangible premises should be delivered to the home buyers/allottees as promised. The grant of a project registration number is not a hypothetical exercise for complying with some statistical documentation.

MahaRERA rejects partial deregistration, but allows correction

The MahaRERA, in the order, said that “Deregistration of part of a project registration cannot be made possible as there is no such thing as partially deregistering a part and keeping the remaining part valid and subsisting. Hence, the said deregistration application is rejected.”

However, the RERA authority allowed the developer to make corrections for the deletion of the residential building.

In this regard, the order stated, “In order to protect the interests of the allottees of the said project, the Authority shall at this stage refrain from passing any order with regard to deregistration of the said project in toto or partially.”