Following the state government’s decision to waive off rent for two months during the lockdown period, the city corporation is in the process of identifying the shops and other establishments functioning in its buildings and on land that will benefit from the initiative.
“The state government has decided to waive off monthly rent of the government-owned buildings for two months – April and May – to lessen the burden on people who had taken a huge hit due to the lockdown,” a corporation official said.
The government order was released two weeks ago. “Subsequently, the corporation directed zonal assistant commissioners to identify the shopkeepers and other contractors who are functioning from its land and buildings and did not operate during the two months. The process is expected to complete within a month,” the official said.
“Once the identification process is completed, the report will be submitted to corporation commissioner P Kumaravel Pandian, who is also the special officer during the absence of the local body council, for approval.”
Over 3,000 shops are functioning from the corporation-owned shopping complexes and buildings in the city. The civic body earns Rs 19 crore as rent per year. The corporation has also leased out its buildings and land where slaughter houses, markets, parking lots, gyms, cloak rooms and toilets are functioning. It earns close to Rs 5 crore as lease a year from the facilities.
“The arrears is close to Rs 15 crore. We seal the shops if the keeper fails to pay the rent for two to three years,” the official added.