City Reports

Builders Can’t Scrap Allotted Shops for Bigger Showrooms, RERA Appellate Tribunal

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May 1, 2025, 4:39 pm

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Jaipur: In a decision that could have a far-reaching impact on Rajasthan’s real estate sector, the Rajasthan Real Estate Appellate Tribunal has ruled that builders cannot scrap already allotted small shops in commercial buildings to construct larger showrooms. The ruling upholds the rights of shop buyers and sends a strong signal against arbitrary changes to approved building plans.

The case involved a petition filed by Vikas Agarwal, which was dismissed by the tribunal. The bench, comprising Presiding Officer Yudhishthir Sharma and member Rajendra Vijayvargiya, said that merging smaller units into a large showroom without approval amounts to unauthorised modification. The tribunal held that this practice violates the sanctioned building layout and goes against the norms set by the Real Estate Regulatory Authority (RERA).

The bench remarked that such changes are not merely administrative lapses but clear attempts to sideline the rights of those who invested based on the original design. It said builders cannot override the interests of buyers who trusted the layout promised at the time of purchase.

The tribunal also clarified that any structural change, such as combining several shops into a showroom, requires permission from the regulatory body. By emphasizing this, the tribunal reinforced the importance of adhering to original project blueprints, especially in commercial or mixed-use developments.

First published: May 1, 2025