Real Estate Sales FY26
Personal finance
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CNBC Awaaz20-12-2025, 08:14

Leasehold Property: Can Authorities Demand Extra Payments Later? Know Your Rights!

  • Properties in cities like Noida are often leasehold (90-99 years), not freehold.
  • Authorities generally cannot demand extra payments if the lease deed, based on a one-time premium, doesn't explicitly allow for future increases or annual rent.
  • The Transfer of Property Act, 1882, supports that a one-time premium can validate a lease without annual rent.
  • Noida offers annual or one-time lease rent; if the OTLR deed specifies no further fees, authorities cannot change it.
  • A Rajasthan High Court ruling affirmed that demanding extra payment without original provision is incorrect.

Why It Matters: Always meticulously review your lease deed; only written terms are legally binding for future payments.

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