New Karnataka Apartment Law Could Set a Strong Governance Model Across India

The proposed Karnataka Apartment (Ownership and Management) law could emerge as one of India’s strongest frameworks for regulating apartment communities, according to the Bangalore Apartments’ Federation (BAF). The federation has welcomed the proposed legislation, saying it could address several long-standing concerns surrounding apartment ownership, residents’ associations and the responsibilities of builders.

The proposed law seeks to replace Karnataka’s older apartment ownership framework, which dates back to 1972. The rapid growth of residential apartment projects, particularly in Bengaluru, has exposed gaps in the existing system relating to management, ownership of common areas, association formation and accountability of promoters.

One of the key features of the proposed framework is greater clarity over the formation and functioning of apartment owners’ associations. Promoters would be required to facilitate the creation and registration of an association within three months after a majority of apartments in a project have been allotted. This is expected to give residents greater control over the administration of their communities.

The legislation also seeks to strengthen promoter accountability. Obligations under the Real Estate (Regulation and Development) Act, or RERA, would continue even after management of a project is transferred to the residents’ association. Promoters would also not be allowed to retain control over common areas once the association assumes management.

Another significant provision is the recognition of a registered apartment owners’ association as a body corporate. This would provide associations with legal continuity and allow them to own property, enter into agreements and pursue legal action in their own name.

BAF has, however, stressed that the effectiveness of the new law will depend heavily on its implementation. The federation has highlighted the need for clear mechanisms governing the transfer of land and common-area rights from promoters to apartment owners. It has also called for statutory and deemed conveyance provisions to be time-bound and enforceable.

With Bengaluru witnessing rapid expansion of high-rise residential communities, the proposed legislation could have wider implications for urban housing governance. If supported by effective rules and enforcement machinery, the new framework could become a model for other States seeking to strengthen apartment ownership and community management.