In a landmark judgment strengthening the rights of cooperative housing societies, the Bombay High Court has ruled that deemed conveyance cannot be restricted only to the footprint of a building or its plinth area. Instead, it must also include surrounding land, common amenities, access roads, recreational areas, and open spaces that are necessary or incidental to the beneficial enjoyment of the property.
The ruling came while deciding a petition filed by Rashesh Cooperative Housing Society in Bhayandar West, which challenged an order limiting its deemed conveyance rights only to the built-up portion of the building.
Background of the Case
The dispute arose after the District Deputy Registrar (DDR), Cooperative Societies, Thane, granted deemed conveyance to the society in October 2023 but restricted it only to the building’s plinth area.
The housing society argued that the developer, Shreeji Developers, had failed to execute the conveyance deed despite the society being formed in 2015.
After the matter was remanded by the High Court, the society renewed its claim seeking:
- Conveyance of the building area.
- Common amenities attached to the project.
- Proportionate undivided rights in open spaces and recreational grounds.
However, the DDR again rejected the request, prompting the society to approach the High Court for relief.
Society Relied on 2018 Government Resolution
Appearing for the petitioner, counsel argued that under the Government Resolution issued in June 2018, housing societies are entitled not only to the structure but also to associated facilities essential for the enjoyment of the property.
These include:
- Open spaces.
- Common amenities.
- Internal access roads.
- Recreational grounds.
- Proportionate undivided rights over common areas.
The society claimed conveyance over 3,987.16 square metres along with proportionate rights in a 703.62 square metre recreational ground, whereas the developer sought to restrict the conveyance to only 1,050 square metres.
High Court Says Conveyance Is Not Limited to Building Footprint
Justice Amit Borkar, while allowing the petition, observed that housing societies are entitled to areas that are appurtenant or annexed to the building and are necessary for its proper use.
The court categorically rejected the narrow interpretation that conveyance should be confined only to:
- Building columns.
- Staircases.
- Plinth area.
- Structural footprint.
Instead, the judgment recognised that surrounding infrastructure and open spaces form an integral part of residential use.
Development Control Regulations Play a Key Role
The High Court further observed that Development Control Regulations (DCRs) are crucial while determining the extent of land to be conveyed.
According to the court, planning regulations prescribe several mandatory components required for the proper functioning of a residential building, including:
- Front, side and rear setbacks.
- Distance between buildings.
- Internal roads.
- Amenity spaces.
- Recreational ground reservations.
- Parking areas.
- Drainage corridors.
The court remarked that these planning requirements define how a building can legally exist and therefore must be considered while deciding conveyance rights.
Court Recognises Rights Over Common Open Spaces
The High Court held that land linked to the use and enjoyment of the building under planning laws may constitute part of the housing society’s appurtenant entitlement.
However, the extent of such rights would depend on:
- Approved layout plans.
- Applicable development regulations.
- Rights of other buildings within the larger project.
This interpretation ensures that societies receive the land necessary for effective use of the property without adversely affecting legitimate rights of neighbouring structures.
Relief Granted to Rashesh Cooperative Housing Society
After examining the sanctioned plans and relevant regulations, the High Court concluded that Rashesh Cooperative Housing Society is entitled to:
- Conveyance of 2,201.56 square metres of land, and
- An undivided proportionate right in the common recreational ground measuring 703.62 square metres.
The court directed the District Deputy Registrar to:
- Issue a fresh deemed conveyance certificate.
- Incorporate the additional land and common areas.
- Complete all consequential actions within eight weeks.
Significance of the Judgment for Housing Societies
The ruling has far-reaching implications for cooperative housing societies across Maharashtra.
The judgment clarifies that:
- Deemed conveyance should not be limited to the building footprint alone.
- Housing societies are entitled to surrounding land and common facilities that are necessary for beneficial enjoyment of the property.
- Development Control Regulations must be considered while determining conveyance rights.
- Open spaces, recreational grounds and internal infrastructure may form part of the conveyance depending on sanctioned layouts and planning laws.
The decision is expected to strengthen the legal position of thousands of housing societies seeking conveyance from developers.
Conclusion
The Bombay High Court’s ruling marks an important step in protecting the interests of cooperative housing societies by recognising that ownership rights extend beyond the physical structure of a building.
By affirming that common amenities, open spaces and appurtenant land are integral to beneficial enjoyment of residential property, the judgment reinforces the objective of ensuring complete and meaningful conveyance to housing societies rather than limiting ownership to mere built-up areas.
