Real estate is a crucial sector in India, contributing significantly to the country's economic growth. The real estate market in India is governed by a set of laws and regulations that aim to ensure transparency, fairness, and accountability in property transactions. These laws cover various aspects of real estate, including property ownership, development, leasing, and taxation. This article provides an overview of the key real estate laws and regulations applicable in India.

1. The Real Estate (Regulation and Development) Act, 2016 (RERA):
   RERA is one of the most important laws governing the real estate sector in India. It was enacted to regulate the real estate market and protect the interests of homebuyers. Under RERA, all real estate projects must be registered with the regulatory authority, and developers are required to provide detailed information about the project, including project status, layout plan, and completion schedule. RERA also mandates the establishment of a regulatory authority in each state to oversee the implementation of the Act and resolve disputes between developers and homebuyers.
    
2. The Transfer of Property Act, 1882:
   The Transfer of Property Act governs the transfer of property in India. It defines the various ways in which property can be transferred, such as through sale, gift, or lease. The Act also lays down the rights and obligations of parties involved in property transactions and provides for the registration of property documents to ensure their legal validity.
    
3. The Indian Stamp Act, 1899:
   The Indian Stamp Act governs the payment of stamp duty on various documents, including property transactions. Stamp duty is a state subject, and the rates may vary from state to state. The Act also specifies the types of documents that require stamp duty and the penalties for non-payment or underpayment of stamp duty.
    
4. The Registration Act, 1908:
   The Registration Act governs the registration of documents, including property documents, in India. It mandates the registration of certain documents to ensure their legal validity and enforceability. The Act also provides for the establishment of registration offices and the appointment of registrars to oversee the registration process.
    
5. The Real Estate Investment Trusts (REITs) Regulations, 2014:
   REITs are investment vehicles that allow investors to invest in income-generating real estate properties. The SEBI (REITs) Regulations, 2014 govern the establishment and operation of REITs in India. The regulations specify the eligibility criteria for REITs, the requirements for the public offering of REIT units, and the obligations of REITs towards investors.

In India, a real estate transaction needs to consider the following factors:

• The transferor's ability under contract and law to transfer the intended property or interest;
• The transferee's ability to lawfully and contractually acquire and use the proposed property or interest for the intended purpose of acquisition; and
• Legal prerequisites and limitations on the use and transfer of the proposed property or interest.

• The laws passed and the policies established by the following bodies govern the Republic of India, which is a federation of 28 States and 8 Union Territories:
• Congress on matters pertaining to the Union List (such as taxes on income that does not include agricultural income and taxes on the asset capital value that does not include agricultural land).

What are common ownership structures for ownership of commercial real estate?

Common ownership structures for ownership of commercial real estate are:

• Direct ownership by one or more individuals/entities as owners / joint owners (with or without an express agreement between co-owners on the mode of utilization and devolution of the asset).
   
• Co-operative societies, in which allottees of plots/premises on the property held by the co-operative society are members. Here, title to the entire property including common areas like internal roads vests in the co-operative society, whereas members of the society are allottees of demarcated premises. The property or the building is managed by the society from contributions from members in accordance with its bye-laws.
   
• Limited Liability Companies ("LLCs"), in which allottees of plots/premises on the property held by the limited company are shareholders. Here, title to the entire property including common areas vests in the company, whereas shareholders of the company are allottees of demarcated premises. The property or the building is managed by the limited company from contributions from shareholders in accordance with its Articles of Association.
   
• Association of Apartment Owners / Condominium, in which ownership of individual apartments and their appurtenant common areas and facilities remains with the respective individual apartment owners. The property or the building is managed by the Association of Apartment Owners from contributions from apartment owners in accordance with its bye-laws.
   
• Limited Liability Partnerships ("LLPs") are also used for real estate investments, since the profits and losses of the LLP are assessed in the hands of the LLP itself and there is exemption from tax in the hands of its partners. Since November 2015, the government permitted FDI under the automatic route into LLPs operating in sectors where 100% FDI is allowed through the automatic route (including Construction-development projects, as explained in the response to question 3). But LLPs with FDI are not allowed to operate agricultural/plantation activity or "real estate business" (as defined in the response to question 3).
   
• A co-operative society is preferred as a common holding structure, as it promotes participation by the members in decisions regarding management of the common asset in a democratic manner with one member having one vote, though majority rule can sometimes be a disadvantage.

Conclusion
The real estate sector in India is governed by a comprehensive set of laws and regulations that aim to promote transparency, fairness, and accountability in property transactions. These laws cover various aspects of real estate, including property ownership, development, leasing, and taxation. It is essential for developers, homebuyers, and investors to be aware of these laws to ensure compliance and avoid legal issues in real estate transactions.