The Karnataka Assembly on Friday passed the Karnataka Apartment (Ownership and Management) Bill, 2026, aimed at creating a clearer legal framework for apartment ownership, management of common areas and redevelopment of ageing buildings.The Bill provides for the formation of Residents’ Welfare Associations under the new law and lays down rules for the transfer and management of common areas and facilities from builders to apartment owners.It also introduces a dispute-resolution mechanism, with competent authorities at the gram panchayat, municipal and municipal corporation levels.A key provision concerns redevelopment of old buildings. Reconstruction can be undertaken if 75% of apartment owners approve it. If an owner refuses, an independent mechanism will assess the property’s value, with compensation of twice the assessed value before the property can be acquired for reconstruction.Bengaluru Development Minister Krishna Byre Gowda said existing laws dating back to 1972-73 and the RERA framework did not adequately address the complexities of modern apartment living.
What is the Bill?
The Karnataka Apartment (Ownership and Management) Bill, 2026 seeks to replace the fragmented framework governing apartment ownership and management with a single legal framework. It defines ownership of individual apartments and undivided shares in common areas, while laying down rules for the maintenance and transfer of shared facilities.The Bill also provides for Residents’ Welfare Associations to be formed under the new law and creates designated authorities to settle disputes. A key provision covers redevelopment of ageing or structurally unsafe buildings, allowing reconstruction if 75% of owners approve it. Owners who refuse can have their property acquired through a prescribed mechanism after an independent valuation, with compensation set at twice the assessed value.