General trade, lower rent mooted for subway booths
Sandeep Rana
Chandigarh, October 13
In an attempt to dispose of its vacant booths at the Sector 17/22 subway, which have been lying vacant for a long time, the MC has proposed to change their trade and reduce rent.
The booths were transferred to the MC by the UT Administration in 1997. These had remained occupied for a short period. After about two decades, the MC has now recommended changing the limited 13 trades of these booths, including STD-photostat and sale of music accessories, watches, shoes and flowers, to general trade (except excise vends and eatables as there is no provision of drainage there) to earn more revenue.
It has also been proposed that these vacant booths be put on e-auctions for a monthly licence fee of Rs 35,574 plus GST (105 X 338.80 per sq 11). Also the monthly rent be increased at the rate of 5% after every one year, instead of the current 50% increase after every five years. Several attempts of the MC to auction the shops have failed to elicit any response.
The MC General House in 2017 resolved that these shops be auctioned at the proposed reserve price on a leasehold basis for 99 years. Since the auction price was Rs 67.95 lakh per booth, no bids were offered.
After being transferred to the MC in 1997, these shops were rented out (for monthly levy) for a period of five years. However, due to the condition of increasing the rent by 50% after five years, the tenants surrendered/vacated the shops. Of the 14 shops, the possession of 13 is with the corporation. One is under litigation.
The MC House will take a call on the proposal at its meeting on Tuesday. Many other properties of the MC in Sector 17, 41, 39, Mani Majra and Mauli Jagran have been lying vacant for over a decade causing a huge loss of revenue.