What Is KREAT? Karnataka Real Estate Appellate Tribunal (2026 Guide)
Understand what KREAT, the Karnataka Real Estate Appellate Tribunal is, how it protects homebuyers, when to approach it, how to file an appeal, penalties on builders. Updated 2026.
Quick Summary: (TL; DR)
KREAT is Karnataka Real Estate Appellate Tribunal (KREAT) is the highest appellate body under the RERA Act in Karnataka.
Established on January 3, 2020 under Section 43 of the RERA Act, 2016, it hears appeals against orders passed by KRERA (Karnataka Real Estate Regulatory Authority) and the Adjudicating Officer.
Any homebuyer or builder dissatisfied with a KRERA order can appeal to KREAT within 60 days.
Appeal fee is ₹5,000. KREAT orders carry the force of a civil court decree. Builders who defy KREAT orders face imprisonment up to 3 years and fines up to 10% of the project cost.
What Is KREAT (Full Form)?
KREAT stands for Karnataka Real Estate Appellate Tribunal. It is a court like panel which is established by the Government of Karnataka under Section 43(1) of the Real Estate (Regulation and Development) Act, 2016.
KREAT is not the first point of complaint, it is the appellate layer above KRERA. A homebuyer first files a complaint with KRERA or the Adjudicating Officer. If either party is dissatisfied with that decision, they can appeal to KREAT.
Authority | Role | Who Goes Here First |
KRERA | First-level regulatory authority receives complaints, issues orders | Homebuyer with a builder dispute |
Adjudicating Officer (AO) | Hears compensation claims for delays, false ads, structural defects | Homebuyer seeking monetary compensation |
KREAT | Appellate body hears appeals against KRERA and AO orders | Either party dissatisfied with KRERA or AO order |
High Court of Karnataka | Further appeal against KREAT orders | Either party dissatisfied with KREAT order |
KREAT's territorial jurisdiction extends to the whole of Karnataka.
Full Form of KREAT: Karnataka Real Estate Appellate Tribunal
Official Website of KREAT: https://rera.karnataka.gov.in/aboutKREAT
Helpline: 080-41624455,41692244
Adress: It is headquartered at Silver Jubilee Block, Unity Building, CSI Compound, 3rd Cross, Mission Road, Bengaluru - 560027.
Also Read: What is RERA Certificate, Meaning, Download, Verification Process.
What Is the Composition of KREAT?
Member | Qualification |
Chairperson | Sitting or retired Judge of a High Court |
Judicial Member | Person with judicial background |
Technical / Administrative Member | Person with technical or administrative experience in real estate |
All three must be present for KREAT to hear appeals. The chairperson heads the bench and the final order is passed collectively.
What Is the RERA Act in Karnataka?
The Real Estate (Regulation and Development) Act, 2016 is the central legislation that governs all real estate transactions in India. Karnataka implemented it through KRERA which was established in July 10, 2017 making it one of India's earliest states to operationalise RERA fully.
Key protections the RERA Act gives every homebuyer in Karnataka:
Protection | What It Means |
Mandatory project registration | Any project above 500 sq metres or 8 units must be RERA-registered before any sale |
70% escrow account | 70% of all buyer payments deposited in a dedicated account usable only for that project's construction |
Carpet area pricing | Builders must charge only on carpet area not inflated super built-up area |
10% advance cap | Builder cannot demand more than 10% of property cost before signing the sale agreement |
5-year structural defect liability | Builder must fix defects reported within 5 years of possession at no cost |
Timely possession | If delayed, buyer gets SBI MCLR + 2% interest per month or full refund with interest |
Plan deviation protection | Builder cannot deviate from approved plans without consent of two-thirds of allottees |
Also Read: 12,772 Complains Registered against KRERA, How to Verify Property Legally Before Buying?
Why Is RERA Approval Important for Homebuyers?
Buying from a RERA-registered project gives you:
Benefit | Detail |
Legal protection | Buyer can file a complaint and get compensation through KRERA or KREAT |
Fund safety | 70% of your money sits in an escrow and the builder cannot divert it |
Verified project details | Approved plans, land title, and quarterly progress reports are publicly accessible on rera.karnataka.gov.in |
Compensation for delays | Delay interest at SBI MCLR + 2% per month, compounded monthly |
Refund rights | Full refund with interest if the project is delayed and the buyer chooses to exit |
Buying from an unregistered project means none of these protections applies.
When Can You Appeal to KREAT?
KREAT hears appeals only after KRERA or the Adjudicating Officer has already passed an order. You cannot approach KREAT directly as a first-time complaint.
Situation | Appropriate Forum |
Builder delayed possession | File complaint with KRERA first |
Compensation claim for delay, false ad, or defect | File with Adjudicating Officer first |
Dissatisfied with KRERA or AO order | Appeal to KREAT within 60 days |
Dissatisfied with KREAT order | Appeal to Karnataka High Court within 60 days |
The 60-day rule is strict. Appeals filed after 60 days of receiving the KRERA or AO order must be accompanied by an application explaining the delay. KREAT may condone the delay if the reason is valid but it is not guaranteed.
How to File an Appeal with KREAT ?
Step 1: Go to the RERA Karnataka e-filing portal at rera.karnataka.gov.in
Step 2: Register as an appellant using your name, email ID, and mobile number
Step 3: Log in and select "File Appeal Form R" under the KREAT section
Step 4: Fill in the appeal form also including the KRERA or AO order number, date of order, and grounds of appeal
Step 5: Upload the following documents:
Document | Details |
Authenticated copy of KRERA / AO order | The order you are challenging |
Copies of all documents relied upon | Sale agreement, payment proofs, correspondence |
Index of documents | Numbered list of all attached documents |
Step 6: Pay the appeal fee of ₹5,000 online through the portal as. of May 2026
*check the latest prices on the government website at rera.karnataka.gov.in
Step 7: Submit the e-filing
Step 8: Print the Memorandum of Appeal with all annexures in triplicate
Step 9: Submit the physical copies at the KREAT filing counter or send by registered post
Step 10: If filing through an advocate, submit a signed Vakalath with the advocate's enrolment number, email ID, and mobile number at the filing counter
What Penalties Can KREAT Impose on Builders?
KREAT orders carry the force of a civil court decree under Section 57 of the RERA Act. Non-compliance by a builder after a KREAT order triggers severe consequences:
Non-Compliance Type | Penalty Under Section 64 of RERA Act |
Builder ignores KREAT order | Imprisonment for a term which may extend up to 3 years |
Continuing default | Fine for every day during which such default continues, which may cumulatively extend up to 10% of the estimated cost of the real estate project |
Both imprisonment and fine | The court may impose both imprisonment and the cumulative fine simultaneously |
KREAT can also transmit its orders to the local civil court for executions the civil court enforces the KREAT order as if it were its own decree.
What Is the RERA 70% Account Rule?
The 70:30 rule under Section 4(2)(l)(D) of the RERA Act is one of its most critical financial protections:
Account | What It Is | How It Can Be Used |
70% account (escrow) | Dedicated bank account for each project | Only for land cost and construction expenses of that specific project |
30% account | Builder's discretionary funds | Any business expense |
Withdrawals from the 70% account require a certificate from a registered architect confirming construction progress matches the withdrawal amount, plus a CA certificate and an engineer's certificate. This three-way certification prevents fund diversion.
Are RERA Projects Safe in Karnataka?
Compared to pre-RERA projects its been significantly safer. Here is the comparison:
Factor | Pre-RERA (before 2017) | Post-RERA (2017 onwards) |
Fund protection | None, builder used buyer money freely | 70% ring-fenced in escrow |
Delay accountability | Only civil court years of litigation | KRERA complaint for 60-day resolution target |
Plan deviations | Common, no legal recourse | Banned without two-thirds allottee consent |
Pricing transparency | Inflated super built-up area pricing | Carpet area pricing only |
Structural defects | Buyer bore all costs | Builder liable for 5 years from possession |
RERA-registered projects in Karnataka are not risk-free, delays still happen but buyers have enforceable legal rights that did not exist before 2017.
Conclusion
KREAT is the legal safety net that sits above KRERA for giving homebuyers and builders a structured, time-bound appellate process that does not require years of civil court litigation. For a homebuyer in Karnataka, understanding this three-tier system , KRERA for first complaints, KREAT for appeals, and the High Court after that, is the difference between knowing your rights and not knowing them.
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