M3M Jewel resale

M3M Jewel is on MG Road, in Sector 25, Gurugram. M3M's own project list files it as ongoing — retail and office both — which is the plain way of saying it is not finished. Everything on this page follows from that.

It matters more in commercial than in housing. Someone buying a flat off a plan is buying a place to live and can wait for it. Someone buying a shop is buying a stream of rent that depends on shoppers who do not exist yet, in a scheme whose tenant mix is not fixed, beside competitors who have not opened. You are not buying a shop. You are buying a claim on one, and a forecast about the building it will sit in.

What is on sale here

M3M describes M3M Jewel as six levels carrying retail, dining, wellness, an entertainment zone and office space, with an eighty-five-metre frontage on MG Road. Third-party listings add a food court, a multiplex and service apartments. We could not confirm those from the developer or from HARERA, so we do not repeat them as fact.

What that means for you is unglamorous: find out precisely which product the allotment you are being offered is for. A ground-floor retail unit, an upper-floor office suite, a food-court seat and a licensed or virtual space are four different assets with four different risk profiles, and in an unbuilt scheme a listing can describe all four with the same three words. Ask for the allotment letter and read what it says the unit is. Ask whether it is bare shell.

Under construction changes the transaction

Because no unit here has been registered to an owner yet, a resale is almost certainly not a registry. It is a transfer of the allotment through the developer, and that has consequences worth knowing before you negotiate rather than after:

• The developer is a party to your purchase and can decline it. Its no-objection certificate is the transaction.
• Transfer charges are set by the developer, not the state, and on commercial units they are usually higher than on a flat. Get the schedule in writing before you agree a price.
• The promoter company on record is not M3M India itself. M3M's own page names a separate company as developer and promoter. Establish which entity issues the NOC.
• You inherit the seller's payment position. Find out what has been paid and what is still due. Outstanding demands come to you.

Ask for the seller's original allotment letter, the full payment ledger and the developer's transfer schedule before you pay a token amount. In an under-construction commercial transfer these three documents are the deal.

Assured returns, in a building that has not opened

This is where commercial buyers lose the most money, and an unfinished scheme is where the risk is sharpest.

We publish no assured-return, guaranteed-rental or lease-guarantee figure for M3M Jewel. Two things are worth getting right. Assured returns are not illegal in India — where a builder has signed one, regulators have treated it as an enforceable obligation and ordered payment. But an assured return is not a feature of the shop. It lives in an MoU or addendum between the developer and the original allottee, and we can find no authority saying it automatically follows the unit to a resale buyer. Treat it as transferring only if that document is assigned to you and the developer's transfer endorsement names it, in writing.

Where a return depends on something not yet built, the honest description is a forecast, not a yield.

The address

MG Road is one of Gurugram's older commercial spines, and unlike most of the newer retail corridors it has a metro on it — the MG Road station on the Delhi Metro's Yellow Line is on this stretch. For retail, a working metro station is worth more than almost any amenity, because it delivers people who did not drive.

The other side of an established address is that it is established. There is existing retail on MG Road with years of trading history, and a new scheme has to take custom from it rather than create custom from nothing. Spend an evening on the road and look at what is busy and what is not. That tells you more about the catchment than any projection.

What it costs beyond the price

CAM is charged monthly once the scheme opens, ordinarily on the chargeable or super area rather than the carpet, and in an air-conditioned mall it is a real running cost. In an unopened scheme it has not been set. Ask what the developer is indicating, and treat it as an indication.

GST behaves differently from residential. A unit in a building without an occupancy certificate is treated differently from a completed one, and a transfer of an allotment raises questions of its own. Have a chartered accountant look at the specific transaction before you sign.

Stamp duty and registration are paid to the state when the unit is eventually registered — usually later, and usually by you.

Where we do not hold an answer, we say so and go and find it rather than filling the gap. If anything here is wrong, tell us and it is corrected or removed the same day.