Tenant problem

If the shop is also your property then you can ask him to vacate and proceed

If your tenant is ready to vacate, then it is ok.  But if he refused to vacate, you have to file a eviction suit against him in the court.  It may take 2 to 3 years.  Better you settle with him by giving some amount to vacate immediately. Put some pressure by local political leaders.  This will save your court fee and Advocate fees and precious time.  For further doubts contact my email. 

That tenant is not ready to vacate my shop. So I decided
to construct in rest of my land apart from that shop. What problems
can that tenant create during my construction?

If you are constructing in your own space, the tenant has no say and he cannot take any action.

apply for demolition online from corporation website

If you have trouble makers as tenants are in real trouble your life is ruined as there is 0 ptoyrcyion for the landlord in India judiciary people are struggling for 30 years with 0 results and 0 progress the tenant is fully protected by law and can can enjoy the property without paying any rent its his right Indian law . I learn t this the hard way after many years in courts the orders can be set aside in just 1 sheet of paper please never give more than 3-6 months lease agreement..

u will end up spending more than the rent and spend weeks months years decades  in courts

https://drive.google.com/open?id=0B--Jc2ljka1oM3lYTFNqNmo4Smc

https://drive.google.com/open?id=0B--Jc2ljka1oMzM5M0hRcElZTzQ