When flat buyers form a co-operative housing society in Maharashtra, many assume that the registration certificate makes the society the owner of the plot. It does not. Until a conveyance deed is registered and mutated in the revenue records, the Property Card (in city survey areas) or 7/12 extract (in revenue villages) continues to show the original landowner or the builder as the holder of the land.
Across Mumbai, Thane, Navi Mumbai and Pune, thousands of buildings over 30 years old are ready for redevelopment but cannot sign a bankable development agreement or raise a project loan because the builder never transferred the land title. Deemed conveyance is the statutory remedy that fixes this without requiring the builder's signature.
Conveyance vs deemed conveyance: the legal rule
A regular conveyance deed is a tripartite or bipartite transfer document signed voluntarily by the builder (promoter) and the original landowner in favour of the registered housing society or apartment owners' association.
Two statutes set the deadline:
- MOFA, 1963 (older and non-RERA projects): Under Section 11(1) of the Maharashtra Ownership Flats Act, 1963 read with Rule 9 of the MOFA Rules, 1964, if the flat sale agreements do not specify a date, the promoter must execute the conveyance within 4 months from the date the co-operative society or company is registered.
- RERA, 2016 (registered projects): Under Section 17 of the Real Estate (Regulation and Development) Act, 2016, the promoter must execute a registered conveyance deed in favour of the association of allottees within the period specified under local rules, or within 3 months from the date of issue of the occupancy certificate if no local period is specified.
When the promoter fails to execute the conveyance within the statutory timeline — whether because the firm dissolved, partners are in dispute, or the builder is holding back the plot hoping to capture future FSI or redevelopment rights — Section 11(3) of MOFA lets the society apply to the Competent Authority (the District Deputy Registrar of Co-operative Societies, appointed under Section 5A) for a unilateral deemed conveyance certificate.
Why lenders insist on conveyance before redevelopment
Whether your society chooses self-redevelopment funding or appoints a builder who needs developer redevelopment project finance, every bank, housing finance company and NBFC conducts a 30-year title search before sanctioning or disbursing funds.
Here is why lack of conveyance stops a loan:
- No mortgageable land title: In a project loan, the plot and the future building are mortgaged to the lender. Under the Transfer of Property Act, a society cannot mortgage land whose title still sits with a builder or landowner on the Property Card or 7/12 extract.
- FSI, TDR and planning approvals: Loading additional FSI, purchasing TDR and obtaining the Intimation of Disapproval (IOD) or building permission and Commencement Certificate (CC) require clear proof of the society's right to redevelop the plot.
- Published nodal-bank conditions: Under the state's 29 August 2023 self-redevelopment framework, nodal lenders such as Mumbai District Central Co-operative Bank explicitly list conveyance in the society's name as a prerequisite before project loan sanction and escrow creation.
- Future vertical property cards: Even under Maharashtra's proposed vertical property card framework, individual flat entries on the land record depend on the underlying plot first being conveyed from the promoter to the society.
The 8 core documents under the 22 June 2018 GR
Historically, societies struggled to collect 12 to 25 builder-held documents. By a Government Resolution dated 22 June 2018, the Co-operation Department simplified the procedure and reduced the mandatory filing list on the MahaSahakar portal to 8 core document sets:
| No. | Document requirement | Where the society gets it |
|---|---|---|
| 1 | Application in Form 7 with a ₹2,000 court fee stamp | Generated on the MahaSahakar portal after passing a general body resolution |
| 2 | Society registration certificate | Society's records (or a certified copy from the Deputy Registrar's office) |
| 3 | Latest 7/12 extract or Property Card (within 3 months) and village Form 6 mutation entries | MahaBhumi portal, Talathi office or City Survey Officer (CTS office) |
| 4 | List of all flat/shop members with flat numbers, carpet areas and share certificate details | Society's statutory register of members (I-Register and J-Register) |
| 5 | Registered flat sale agreements and Index II (at least 1 full registered agreement with builder-buyer clauses, plus Index II copies of all members showing stamp duty and registration) | Members' individual flat files or Sub-Registrar search copies |
| 6 | Copy of the legal notice served on the promoter demanding conveyance under MOFA | Sent by the society or its advocate before filing Form 7, with postal acknowledgement |
| 7 | Development agreements, Power of Attorney and title chain between the original landowner and builder (if available with the society or referenced in the flat sale agreements) | Annexures to members' flat agreements or Sub-Registrar certified copies |
| 8 | Approved building plan and Occupation Certificate (OC) — OR a self-declaration if the builder never obtained an OC | Municipal corporation building proposal records, or the society's prescribed undertaking |
What if the building does not have an Occupation Certificate (OC)?
One of the most important reliefs in the 22 June 2018 GR is that the absence of an OC or Building Completion Certificate cannot be used to reject a deemed conveyance application. If the society has taken possession and is paying municipal taxes, it can submit a self-declaration undertaking to bear any compounding charges or municipal liabilities required to regularise the OC later (often resolved when the building goes in for redevelopment).
Step-by-step process: from application to Property Card mutation
Many societies stop after receiving the District Deputy Registrar's order and mistakenly believe their conveyance is finished. In fact, the process has 4 distinct stages, and the society becomes the recorded landowner only at the end of Stage 4.
Stage 1: MahaSahakar online application and DDR hearing
- Pass a general body resolution authorising office-bearers to apply for deemed conveyance and appoint a legal consultant or architect (for the area certificate) if needed.
- Serve a formal legal notice on the builder and original landowners giving them a final opportunity to execute conveyance voluntarily.
- Log in to the MahaSahakar portal, fill in the plot, developer and unit details, upload the 8 document sets, generate Form 7, and submit it to the District Deputy Registrar (DDR).
- The DDR issues notices to the promoter and landowners and holds hearings (usually 3 to 4 hearings). Under MOFA, the Competent Authority is expected to decide the application within 6 months of receipt.
- If satisfied that the promoter defaulted on its statutory duty, the DDR passes a reasoned Deemed Conveyance Order and issues a Certificate under Section 11(4) along with a unilateral conveyance deed signed by the Competent Authority on behalf of the defaulting promoter.
Stage 2: Stamp duty adjudication (Collector of Stamps)
Before the unilateral deed can be registered, it must be adjudicated by the Collector of Stamps.
- How stamp duty is calculated: If 100% of the flat owners in the society have registered agreements on which full stamp duty was paid at the time of purchase, the conveyance deed itself attracts only a nominal stamp duty (typically ₹100 to ₹500 on the conveyance instrument, subject to verification of every flat's Index II and stamp payment proof).
- What triggers extra duty: If a few older flats have unregistered agreements, under-stamped agreements or missing chain proofs, the Collector of Stamps assesses deficit stamp duty and penalty on those specific flats. Societies usually collect each member's Index II and registration receipt early so a single missing flat does not hold up the whole building.
Stage 3: Registration with the Sub-Registrar of Assurances
Within 4 months of execution/adjudication, the society presents the adjudicated unilateral conveyance deed and the DDR's certificate before the Sub-Registrar of Assurances, pays the registration fee, and obtains the registered deemed conveyance deed and Index II in the society's name.
Stage 4: Mutation on the Property Card or 7/12 extract
Registration alone does not automatically update the revenue record:
- Immediately after registration, the Sub-Registrar serves notice under Section 11(5) of MOFA to the promoter before mutating the society's name.
- The society submits an application with the registered deed to the City Survey Officer (CTS) (for a Property Card) or the Talathi / Tehsildar (for a 7/12 extract).
- After the statutory notice period (typically 15 to 30 days if uncontested), the revenue officer records a mutation entry placing the co-operative housing society's name as the holder of the land and building.
Only when your society's name appears on the Property Card or 7/12 extract is the deemed conveyance complete for banking and redevelopment purposes.
Common roadblocks in layout and multi-society plots
- Multi-building layouts: Where a builder constructed 4 or 5 societies on a single large plot without subdividing the land, the DDR does not grant the entire plot to one society. Instead, the architect prepares an architect's certificate apportioning the undivided share of land and FSI among the buildings according to their built-up area under the 22 June 2018 GR, or all societies on the layout apply together as a federation.
- Landowner vs builder mortgage: If the builder had created a project mortgage on the land that was never released through a No-Objection Certificate (NOC), the lender's charge will show up in the title search and must be resolved before a new redevelopment lender will take charge.
- Challenge by the builder: Under MOFA, there is no statutory appeal before a higher co-operative registrar against a Section 11 deemed conveyance order; aggrieved builders or landowners sometimes file a writ petition in the Bombay High Court (on process/natural justice) or a civil suit (on title disputes such as disputed FSI balance).
What your managing committee should do before inviting redevelopment tenders
- Pull a fresh Property Card or 7/12 extract today and check whether the society's name is recorded as the holder.
- Audit every member's flat file — collect the registered agreement, Index II and stamp duty proof for every flat and shop in the building.
- Start deemed conveyance at least 6 to 9 months before floating developer tenders — or make it Step 1 of our society self-redevelopment checklist.
- Run numbers early: Use our redevelopment feasibility calculator to estimate rehab cost, saleable area and project surplus once your architect confirms the plot area on the Property Card and physical survey.
How Biz Corp Solutions helps
We help housing societies and developers structure construction finance and project funding of ₹5 crore to ₹500 crore across Mumbai, Thane, Pune and Maharashtra. Before approaching banks or NBFCs, we review your project file — including conveyance status, Property Card / 7/12 mutations, society resolutions under the 2026 norms, and cash-flow feasibility — so your loan proposal passes legal and technical appraisal without avoidable delays.
This guide reflects Section 11 of MOFA 1963, Rule 9 of the MOFA Rules 1964, Section 17 of RERA 2016 and the Co-operation Department's Government Resolution dated 22 June 2018 as of October 2026. Verify current portal procedures and stamp duty adjudication requirements with the District Deputy Registrar's office and your legal adviser.