Mumbai, 19 June 2025 – The Maharashtra Real Estate Regulatory Authority (MahaRERA) has directed Godrej Properties to refund ₹6.21 crore paid by six homebuyers across seven apartments in the Godrej RKS residential project located on the former grounds of Raj Kapoor Studios (RK Studios), with no interest. The ruling stems from a final order dated 29 May 2025, following booking cancellations citing Covid-related financial hardship .
| Total Property Value | Paid Amount | Units | Homebuyers |
|---|---|---|---|
| ₹28.80 crore | ₹6.21 crore | 7 flats | 6 individuals |
🚩 Details of Each Complaint
- Five Buyers Seeking Refund
- Each held a registered Agreement for Sale (AFS) for individual flats.
- They requested refunds after receiving cancellation notices stating entire forfeiture of sums paid.
- MahaRERA found these buyers defaulted on contractual payments per Section 19(6) of RERA and, as promoter fulfilled possession, they were not eligible for refunds under Section 18 maharera.maharashtra.gov.in+13hindustantimes.com+13timesofindia.indiatimes.com+13maharera.maharashtra.gov.in+7maharera.maharashtra.gov.in+7timesofindia.indiatimes.com+7.
- One Buyer Purchasing Two Flats
- Bought two units under one buyer, also issued termination notice.
- MahaRERA validated cancellation under Section 11(5).
- Ordered refund of entire ₹6.21 crore paid, to be processed within 60 days as per agreement indiatoday.in+1deccanherald.com+1deccanherald.com+5hindustantimes.com+5aurumproptech.in+5.
🔔 MahaRERA’s Key Directives
- Refund Timeline: ₹6.21 crore to be refunded within 60 days, no interest.
- Cancellation Deeds: Buyers must sign these within 30 days of refund.
- Promoter Rights: Godrej may proceed with cancellation under RERA if non-compliance by buyers continues indiatoday.in+5hindustantimes.com+5aurumproptech.in+5deccanherald.com+3aurumproptech.in+3m.economictimes.com+3.
🎬 Legacy of Raj Kapoor Studios
Raj Kapoor Studios once stood on this very Chembur site, founded in 1948 by Bollywood legend Raj Kapoor. Known as RK Studios, it was the birthplace of cinematic classics including Awaara and Bobby. A devastating fire in September 2017 gutted the studio, prompting the Kapoor family to sell the 2.2-acre property to Godrej Properties in May 2019—reported for around ₹180 crore .
Godrej’s Godrej RKS project aims to pay homage to the site’s iconic past by transforming it into premium residential towers coupled with luxury retail spaces, seeking to balance heritage and modern needs hindustantimes.com+6thestatesman.com+6timesofindia.indiatimes.com+6.
📌 Why It Matters
- Buyer Responsibility: Homebuyers cannot defer contractual payments citing Covid and expect full refunds.
- Contractual Clarity: Agreements and termination clauses hold firm if promoters meet obligations and buyers default.
- Historic Revival: The project reflects a milestone in redevelopment—housing modern homes where legends once filmed.
💬 Expert Commentary
“Since the allottees defaulted on their obligations by failing to make timely payments … the authority finds they are not entitled to relief under Section 18.”
— MahaRERA Chairperson Manoj Saunik maharera.maharashtra.gov.in+7aurumproptech.in+7m.economictimes.com+7homesindiamagazine.com+4thestatesman.com+4indiatoday.in+4maharera.maharashtra.gov.in+9hindustantimes.com+9timesofindia.indiatimes.com+9.
🔭 Looking Ahead
While MahaRERA affirmed contractual integrity and refund timelines, the spotlight remains on how restoration of RK Studios’ legacy and full project delivery will connect with buyers and Mumbai’s cultural narrative.
