As far as I know, even though the builder has the GPA over the area, he/she isn’t authorised to sell the property. According to the judgement by the Supreme Court of India categorically invalidates the sale of a property through GPA. The GPA holder can only carry out tasks that are assigned by the owner. However, it excludes selling of property.
So, I think, the builder cannot sell the undivided left over land even if he has a GPA over the property. All the selling rights are reserved with the owner(s).
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Let us first understand the term - Undivided Share of Land or the UDS.
UDS in real estate means the share of land owned by you when you purchase a flat in an apartment society. When you buy a flat, you are essentially paying for two things:
1.The actual flat where you will stay
2. The proportionate share of the land on which the whole property is built.
Important thing to note is that it is the land prices that will appreciate over time, the prices of constructed building will only depreciate with time owing to wear and tear. Now imagine scenarios where there is a natural calamity and the whole building collapses, or the government acquires the land for some project and decides to give compensation to the flat owners. The amount of compensation you will get will depend on the share of land you own.
The sum of all UDS will be equal to the the total area on which the project is built. The amount of UDS you will own will be proportionate to the square feet area of your flat. E.g if an apartment society is built on 5000 sq ft area of land, and has 200 flats of equal size each. Then each flat owner will own 5000/200 =25 sq ft or 0.5% of the total land each.
In some cooperative housing societies, where owner of the land/building are also the shareholders, UDS may be in the name of the society as well.
In apartment systems, undivided share of land can be owned by the flat owners only. Even though the builder may have general power of attorney, he will have no rights to keep a share of land in his name as per the law.
Hence as a buyer of the property, you should check the agreement copy well during the registration process. There will be a page " Details of Undivided Share of Land" , read it carefully, read how much land you own as a percentage of total land or the actual square feet area. If needed, take the help from a layer, as well.
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Can undivided left over land can be claimed by the builder who has gpa for development and sale of flats?
Hey everyone, I’m in a bit of a dilemma and looking for help. A month ago, I bought a flat in a project where the builder had a General Power of Attorney for development and sale. Now, there’s a piece of undivided leftover land within the property that wasn’t clearly marked for any flat or amenity. The builder is now trying to claim it for their use. My question is, is it allowed legally? Isn’t GPA limited to development, not ownership?
Suresh
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2020-11-18T07:56:15+00:00 2025-08-18T15:17:35+00:00Comment
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