Karnataka Notifies New Apartment Law, Introduces 75% Consent Rule for Redevelopment

Karnataka Apartment Ownership and Management Act, 2026: What Changes for Homeowners?

The Karnataka government has notified a new law to regulate apartment ownership and management, bringing residents’ associations, maintenance charges, redevelopment and builders’ responsibilities under a common legal framework. The Karnataka Apartment (Ownership and Management) Act, 2026, received the Governor’s assent on October 9, marking a significant change in the regulation of apartment communities across the state.

The legislation applies to projects comprising more than eight apartments, subject to specified exemptions. It replaces two existing laws dating back to 1972: the Karnataka Ownership of Flats Act and the Karnataka Apartment Ownership Act. Associations registered under the earlier legislation will be recognised under the new framework.

75% Consent Required for Redevelopment

One of the key provisions concerns apartment redevelopment. Alterations, reconstruction or rebuilding that affect the building or the number or area of apartments will require consent from at least 75% of apartment owners. Prior approval from the competent planning or local authority will also be necessary, wherever applicable.

The provision establishes a consent threshold for major changes affecting apartment buildings, making owners’ participation central to redevelopment decisions.

New Rules for Builders and Apartment Associations

The Act requires promoters to submit a project declaration to the competent authority within 60 days of receiving the occupancy certificate. The declaration must contain details of apartments and owners’ proportionate, undivided interests in the land and common areas. Non-compliance can attract a penalty of ₹1 lakh or more.

For existing projects where apartments have already been allotted, sold or transferred, applications to register the owners’ association must be submitted within three months of the Act’s commencement. The competent authority, yet to be announced, is expected to issue registration certificates within 60 days of receiving compliant applications.

Two-Year Committee Terms and Dispute Resolution

Executive committees of apartment associations will have a maximum term of two years. Members who have served two consecutive terms cannot be elected or nominated for the immediately following term. If elections are not held before a committee’s term expires, the competent authority may appoint an administrator to facilitate the process.

The law also provides a dispute-resolution mechanism covering maintenance charges, association penalties, undivided shares, financial management and disputes involving developers and owners. Appeals can be filed before designated appellate authorities.

Additional development potential arising from changes in floor space index, floor area ratio or planning regulations will belong collectively to apartment owners, with allocation linked to their respective private areas.

The implementation of the new law will depend on the appointment of the competent authority and the framing of model bye-laws, which will shape how apartment associations operate under the revised framework.