Shimla MC raises rent by 20%, shopkeepers relieved

Shimla, July 30

The Shimla MC today decided in its monthly House to raise the rent of the shops by 20 per cent.

The MC had brought in a per square feet method to determine the rent of its shops in 2018. The shopkeepers, who had taken these shops on rent decades back and were paying Rs 300 to

Rs 500 per month, refused to pay the rent determined through per square feet method, as it had raised the rent significantly. Compared to it, the 20 per cent hike was a minimal rise, as the rent they were paying was low.

The MC, for the last three years, had not been able to recover rent from many shopkeepers. Following the discussions between the stakeholders to rationalise rent, the MC proposed to scrap the per square feet method and raise the rent by 20 per cent, which they had been paying in 2018. “Also, we have decided to fix the minimum rent of shops at Rs 500, and charge occupation charges from the shopkeepers who have covered extra area,” said MC Commissioner Ashish Kohli.

Inderjit Singh, Beopar Mandal president, called it a relief to the traders. However, a councillor asked, “A shopkeeper paying Rs 500 will now pay Rs 600. Is that rational in today’s time?” — TNS