Karnataka has released the draft Apartment (Ownership and Management) Bill, 2026, to modernize housing governance. The proposed law mandates structural safety audits for buildings over 30 years old and streamlines land ownership transfers. These changes aim to improve safety standards and provide clearer rights for apartment owners regarding common areas and redevelopment.
The Karnataka government has released the draft Karnataka Apartment (Ownership and Management) Bill, 2026, marking a significant attempt to update housing regulations that have remained largely unchanged for over 50 years. This draft is set to replace the existing Karnataka Apartment Ownership Act, 1972, and the Karnataka Ownership Flats Act, 1972, addressing long-standing complexities in urban property management and resident rights.
New Safety and Maintenance Mandates
One of the most notable features of the draft bill is the introduction of mandatory structural stability certifications. Apartment buildings that cross the 30-year mark will be required to undergo a professional structural audit. Following the initial inspection, complexes must obtain recertification every five years to ensure ongoing safety. This requirement reflects growing concerns regarding the maintenance of aging housing stock in rapidly growing urban centers like Bengaluru. Under the proposed framework, residents' associations will be primarily responsible for the management and maintenance of these common facilities.
Clarifying Ownership and Dispute Resolution
Beyond safety, the bill seeks to resolve long-standing disputes between developers and homebuyers. It clarifies the legal transfer of project land and common areas to apartment owners, a process that has historically faced delays. To handle grievances, the government has proposed a two-tier dispute resolution mechanism, granting appellate authorities powers similar to civil courts.
The legislation also targets transparency in the calculation of the undivided share of land (UDS), a frequent point of legal friction. Furthermore, the bill aligns several provisions with the Real Estate (Regulation and Development) Act (RERA). Developers will be required to assist in the formal registration and formation of allottee associations within three months of reaching a 50% booking threshold.
Redevelopment and Compensation Framework
For older housing societies where land conveyance has not been completed, the bill introduces a concept of deemed conveyance. It also establishes a clear path for redevelopment, which would require the consent of at least 75% of the apartment owners. To protect the rights of those who may disagree, the draft includes a provision requiring compensation to dissenting owners equivalent to at least twice the prevailing market value of their property.
As the government currently invites public feedback, investors and property owners may monitor how the final version of this bill balances the interests of developers with the rights of residents. The implementation of these rules, particularly regarding structural audits and the redevelopment consent threshold, will be the next key factor to watch, as they may influence future maintenance costs and project viability across the state.