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Home / Cities / TMC to revise rents of prime properties

TMC to revise rents of prime properties

cities Updated: Jan 18, 2020 00:32 IST

The rents for Thane Municipal Corporation’s properties which are in huge demand will be revised. TMC has decided to stop renting, selling or transferring most of its properties at subsidised rates. The revision of rent and categorisation is aimed at generating more revenue for the corporation.

The civic properties include transit camps, conference halls, community halls, theatre halls, libraries among others. TMC has come up with a formula to categorise the properties into four different classes, A, B, C and D with A being the property at prime location while D being the one in slums or less in demand.

It will also increase the rent of the properties by 10% every year.

The proposal to revise the rates will be tabled in the general body meeting to be held on January 20. The formula is based on marking the property on parameters such as its location, accessibility, road width and amenities.

An official from estate department said, “As per the resolution of 1999-2000, TMC properties were given on lease for 11 years to various agencies with a fixed rent for all the properties irrespective of the area. The rent increased by 10% every year. The lease of most of the properties has ended. As per the norm, an expression of interest is supposed to be floated to re-lease the property as per the current market value.”

Most of these properties are still maintained or used by the same old agencies. The estate department has decided to review all properties, categorise them and revise their rates as per a new formula.

The official said, “Every property is not profitable. Ram Ganesh Gadkari Theatre is more in demand while Dr Kashinath Ghanekar theatre is less popular as it is far away from the station. But, the properties’ rate is the same. We will out all properties in different categories and have different rates for each of them.”

TMC will mark properties according to the area —if it is in slum area, residential area, industrial area, commercial area, top floor or lower floor, the width of the road outside the property and the amenities of the properties.

The rent for properties in A category will be 50% of the ready reckoner (RR) rate, B category rent will be 40% of RR, C category 30% of RR and D category properties will have rent, 20% of its RR rate.