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Pooja Sharma (Software Engineer)     16 April 2010

Lease a commercial property

Hi,

Here, I am talking about a small shop, purchased by my father for his livelihood after retirement . It is purchased by a famous builder through the property dealer. Installments are still going on but recently he got to know that builder has changed his mind and going to sell the whole floor, on which my father's and others shops are, to other famous personality and want us to leave the shop and offering the following options inturn:

1) Sell him back the purchased shop.

 2) Buy another shop/office on other floor and pay extra difference amount.

3) Give him our shop on lease to him for some years say 9 years.

 

My father neither wants to sell the shop nor he is in a position to buy another shop and pay the difference. Now he lefts with 3rd option but he is not sure what will happen after lease period. Will this shop be with him or not?

What could be the pros and cons  to give shop on lease? Can you please advice us?

Thanks in advance

Pooja Sharma

 



Learning

 3 Replies

bhagwat patil (Property due diligence 9422773303)     17 April 2010

actually ur father should get premium.

Bobby Mani T (Lawyer)     17 April 2010

Once you purchased a shop room no body, even its prior owner can compell you to sell it back.  In the case of lease; it is foolish to lease out a property.  Our Supreme court it self had opined that "fools build houses for wise men to live in"  (Justice Bhagwati) in Raval & Co v. K.G. Ramachandran, AIR 1974 SC 818.  Hence ruleout the question of letting out the property to anyone

It will be difficult to get the property back if you let it out to any one.  There after Rent Control Act will come into play and you will be forced to go on litigation for rest of your life

DEFENSE ADVOCATE.-firmaction@g (POWER OF DEFENSE IS IMMENSE )     18 April 2010

The best option is sell back and negotiate best price. All other options will keep you busy for resf of your life.


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