Govt advises State RERAs to grant 4-month extension for real estate projects hit by West Asia crisis

Noida, August 19, 2026: The Ministry of Housing and Urban Affairs (MoHUA) has issued an advisory to all the State Real Estate Regulatory Authorities (RERAs) to extend the RERA project for four months for eligible real estate projects, in response to the disruption caused by the ongoing situation in West Asia. The advisory published on July 31, 2026, aims to offer some relief to projects that are now experiencing delays due to material shortages and disruption to the global supply chain.

The current ‘West Asia crisis' has negatively impacted the world supply chain and led to a shortage of construction materials, which has also impacted the timely execution of real estate projects, MoHUA said. The government cited an Office Memorandum from the government of Finance's Department of Expenditure dated April 29, 2026, which used the Force Majeure provision to describe the ongoing West Asian crisis as "war."

The recommended RERA project extension applies to the registration and project completion dates of eligible projects. It will only be applicable to registered projects that were originally completed or revised projects that were already extended by the deadline of February 28, 2026. The Centre has also stated that the State RERAs should issue a common order for the eligible projects for uniform implementation to avoid individual applications.

The relief is in terms of the provisions of the Real Estate (Regulation and Development) Act, 2016, under the heading‘ Force Majeure’. Under Section 6, registration for projects can be extended in situations where war disrupts the normal development of a project, such as during the war. Section 7(3) also provides for the regulatory authority not to revoke a registration for a project, subject to appropriate conditions.

The Centre has already recommended a few State RERAs to implement the steps. Haryana RERA has announced a four-month extension for projects that were impacted by the disruption and are eligible to apply for it. MahaRERA has also declared that the eligible registered projects in the state will be eligible for an extension of four months, with the condition mentioned by the regulator. Tamil Nadu RERA (TNRERA) has also extended the qualifying real estate projects impacted due to disruptions caused by the West Asia situation by four months. These decisions demonstrate that some state regulators have already converted the Centre's guidance into state-level orders and offered more time to the affected projects for eligible developers to finish their projects.

The Centre's advisory and analysis of its applicability to the respective projects under the State RERA's are being reviewed by other State RERAs. The implementation periods could differ from one to the other depending on the decisions and formal orders of the corresponding regulators.

The transfer will ease some of the pressures on developers facing material deficits and construction lags due to the West Asia crisis. However, for homebuyers, projects that are the subject of the extension may have revised completion and possession dates.