Many flat owners in Guwahati are in dilemma as to what will happen to their property after it completes its life span; complications arise when many do not get occupancy certificates even after taking possession
Ownership of flats should be clear and builders should stop claiming ownership of terrace and visitors parking space after all the flats are sold; flat owners should not occupy flats without occupancy certificates.
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Imagine owning a flat in the bustling city of Guwahati. It’s an investment, a home, and a valuable asset that will last a lifetime, but what happens to the flat 100 years from now? The future of flat ownership, inheritance, and property rights is a topic that often gets overlooked in the excitement of real estate investment. With many residential buildings on the verge of reaching a century or more in age, this question is becoming more pertinent than ever.
Most flats, especially in cities like Mumbai, Kolkata, and Delhi, are constructed with a lifespan of around 75 to 100 years. After this period, the structure may deteriorate, requiring either substantial renovation or complete redevelopment. However, the real challenge lies in the legal and ownership complexities that arise as the years pass. In many cases, flats are sold as leasehold properties, meaning that the land on which the building stands is leased for a certain number of years—often 99 or 999 years. Once this lease period expires, the ownership of the land reverts to the original landowner unless an extension or renewal is negotiated. In the case of freehold properties, where the flat owner also owns a portion of the land, the ownership doesn't necessarily expire. However, the structural integrity of the building may become an issue. Local governments or housing societies often step in to determine whether the building can still be inhabited or if redevelopment is necessary. In such scenarios, the ownership of the flat may be renegotiated, and in some cases, residents are relocated during reconstruction.
A source in Assam Real Estate and Infrastructure Developers' Association (ARIEDA) talking to GPlus said, “In Assam the flats or apartments are not sold on lease, all are outright sale.”
Ownership of a flat doesn't just vanish when the original owner passes away. Instead, the property is typically transferred to the legal heirs, as outlined in a will or according to the law of succession. This process may seem straightforward, but as the property ages, complications arise.
In many countries, flats can be inherited by the owner’s children, spouse, or other designated heirs. However, if the flat is in a leasehold building nearing the end of its lease term, the value of the inheritance may be uncertain. Heirs may have to negotiate with the landowner or the housing society for an extension of the lease or face the possibility of losing the property.
In India, most flats are part of cooperative housing societies. When the original owner passes away, the legal heirs must become members of the society and take on the responsibilities associated with the property. This includes paying maintenance charges, participating in society decisions, and ensuring that the flat complies with local regulations. In cases where the building is old and requires redevelopment, heirs may find themselves negotiating with developers and other society members to ensure they receive a fair deal.
A senior official of Real Estate Regulatory Authority (RERA) talking to GPlus said, “Till now there is no apartment in Assam which underwent redevelopment because of structural defect or because the structure was old,” adding that in future it will happen. The official further said that till five years the builders are responsible for repair of structural defect legally, thereafter the flat owner repairs if any structural defect is observed. The official said that but for buildings aged around 100 years where redevelopment is required there is no legal framework. The official said the framework has to be worked on by the local authorities at the earliest.
For buildings that reach 100 years or more, redevelopment becomes a pressing issue. Structural integrity, safety, and modern living standards all come into play. Redevelopment can take several forms. “In some cases, residents of a housing society may pool their resources to redevelop the building themselves, either by hiring contractors or forming a partnership with developers. This allows them to retain ownership of their flats and ensure that the redevelopment process meets their needs,” said the official.
More commonly, housing societies partner with developers who take over the redevelopment process. In exchange, the residents may receive newly built flats in the redeveloped building, often with additional amenities or larger living spaces. In some cases, developers may compensate the owners with money or alternative accommodations during construction.
However, redevelopment comes with its own set of challenges. Disputes may arise among residents over the terms of the redevelopment agreement, compensation, or the design of the new building. Legal complications can further delay the process, leaving residents in limbo for years.
Ranel Das, a prominent architect of Guwahati and the member of Architect Association, Assam, talking to GPlus said, “Like human beings, buildings also have a life span and after 70 to 100 years buildings have to be redeveloped,” adding in an apartment the society or all the flat owners are the owners and after 100 years if the third generation do not have money can get the value of the land owned by him or her. He explained that if an apartment has 10 flats, all 10 owners are also the owners of the land. “The value of land will only appreciate, never depreciate, therefore the flat owner if at that time does not have money can sell his portion of land,” adding that even the builder hired at that time will have his conditions and may design the proposed redevelopment in such a way that the flat owners may get new flats with a reduced size. “If the society redevelops the building at own cost the previous size may be retained but it will be expensive,” said Das.
Governments are becoming increasingly involved in managing the future of aging buildings. In India, for example, the Maharashtra government has introduced policies to streamline the redevelopment of old buildings, particularly in Mumbai, where many buildings are approaching the 100-year mark. These policies aim to protect residents' rights while encouraging developers to take on redevelopment projects.
In some countries, governments have introduced stricter regulations for buildings over a certain age, requiring periodic inspections to ensure they meet safety standards. If a building is deemed unsafe, the government may order its demolition or redevelopment, often forcing the owners to vacate.
For many flat owners, the flat is more than just an investment—it's a home filled with memories. The prospect of losing it or being forced to relocate due to redevelopment can be emotionally challenging. Furthermore, the financial implications of redeveloping a flat or negotiating a lease extension can be significant, particularly for heirs who may not have anticipated these costs.
The value of a flat may decrease as the building ages, especially if redevelopment is on the horizon. For heirs inheriting an old flat, this can mean unexpected financial burdens, from legal fees to renovation costs. On the other hand, redevelopment can sometimes increase the value of a property, particularly if the new building includes modern amenities.
Owning a flat may seem like a long-term investment, but as buildings age, the complexities of property rights, inheritance, and redevelopment come to the fore. While the process of transferring ownership to heirs may seem straightforward, the realities of maintaining or redeveloping a century-old building can be daunting. Legal, financial, and emotional considerations all come into play, making it essential for flat owners and their heirs to plan for the future.
A retired IAS officer who has closely worked with building permissions and regulations talking to GPlus said, “If the ownership of any flat is clear, there will not be any problem during redevelopment,” adding that in many apartments the ownership of the flat owners is not clear. The officer explained that many flat owners are not provided with occupation certificates even after paying the entire cost of the flat.
Another official from RERA said, “Till the OC is not received they (flat owners) do not own the flat,” adding that after selling all the flats the builder should not claim ownership of the terrace or the visitors’ parking space. The official said that there are so many complaints against builders selling visitors’ parking space. After all the flats are sold the society should frame the rules of the apartment.
Ranel Das said that without issuing OCs, builders should not and legally cannot allow flat owners to occupy flats for living. “Authorities should be strict,” said Das.
The story of a flat doesn’t end after 100 years. Instead, it opens a new chapter—one that involves careful negotiations, strategic planning, and, often, a reimagining of what "home" means in a changing urban landscape.
