When buying an apartment under the Maharashtra Apartment Ownership Act (MAOA), 1970, you not only acquire your individual apartment but also an undivided interest in the common areas and facilities of the building. This interest is a legal right that comes with ownership and cannot be separated from the apartment.
Computation of Undivided Common Interest
As per Section 6 of the Maharashtra Apartment Ownership Act:
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Percentage Mentioned in the Deed of Declaration
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Every apartment project must have a registered deed of declaration listing all apartments and their respective percentage of undivided interest in the common areas and facilities.
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Basis of Calculation
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The percentage is computed on the value of your apartment in proportion to the aggregate property value, considering:
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Carpet area of the apartment
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Market value of the apartment
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Limited common areas or exclusive amenities attached to the unit (like a private terrace or parking, if specified)
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Fixed and Binding Nature
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Once fixed in the deed of declaration, your percentage of undivided interest remains the same.
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It cannot be altered without the unanimous consent of all apartment owners and execution of an amended deed of declaration.
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Legal Implications of Undivided Interest
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This interest is inseparable from your apartment. Whenever the apartment is sold, transferred, mortgaged, or gifted, the undivided interest automatically transfers to the new owner.
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Common profits and expenses (like maintenance, insurance, and repairs of common areas) are calculated as per your percentage share.
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You cannot sell or encumber your undivided share in isolation without the apartment.
If a building consists of 10 apartments with varying sizes and market values, and your apartment is valued at ₹1 crore in a project valued at ₹10 crore, your undivided interest will typically be 10%, entitling you to the same proportion in common property and decision-making.
Conclusion
Before buying an apartment, review the deed of declaration to understand your exact share of undivided interest. This percentage affects your liability for common expenses, voting power in the association, and rights in redevelopment or compensation if the building is ever redeveloped.
