Section 3A in The Bombay Rents, Hotel and Lodging House Rates Control Rules, 1948
3A. Increase in the rent of premises on account of improvements etc. special additions.
- If at the instance of a local authority, a landlord is required to execute the work of any special additions to premises or special alterations made therein or additional amenities provided to the premises or an account of improvements or structural alterations made under clause (a) of sub-section (2) of the said section 9 and after obtaining a certificate from the local authority that such works are completed in conformity with its requirements, an amount not exceeding fifteen per cent per annum of the expenses incurred (hereinafter referred to "as the amount of permitted increase") may be added to the rent, in the following manner, namely :(1)Where any such work is carried out by landlord in the premises occupuied by one tenant only with consent of such tenant and is for the benefit of such tenant, the whole amount of permitted increase may be added to the rent of such premises.(2)When any such work is carried out at the instance of a local authority(i)for the benefit of any two or more tenants in any premises, or(ii)for the proper upkeep, stability and other requirements of any premises taken as a whole, the amount of permitted increase shall be allocated to the tenements in such premises in proportion to their respective annual rental values.Explanation.-For the purposes of this rule, the expression "rental value" means the annual rent for which any tenement is actually let and when any tenement is not let, the rent for which such tenement might reasonably be expected to be let from year to year.(3)Where the rent is payable by the month, the amount of permitted increase which may be added to such rent per month shall be the quotient obtained by dividing the amount of permitted increase under clause (1) or (2) by twelve.(4)If the aforesaid work is carried out by the tenants of the tenements at their own expenses with the permission of the local authority and the expenses thus incurred are deducted or recovered from the rent, the landlord may add the same to the rent in the aforesaid manner.]
