Section 3 in Bihar Buildings (Lease, Rent and Eviction) Control Rules, 1983
3.
(i)The Controller may determine the fair rent of a building either on the application by the landlord or by the tenant in possession of the building or on his own motion as also on the application of the landlord or prospective tenant.(ii)In determining the fair rent the Controller shall take into account the following factors:-(a)The prevailing rates of rent in the locality for the same or similar accommodation in similar circumstances at any time during the twelve months preceding the date of his order;(b)The increased cost of repairs required to be made in the building;(c)The amenities, general or special provided in the building;(d)The compound or the open land attached to the building;(e)The type of construction and the location of the building, and the nature of tenancy, i.e., whether it is for residential purpose or for business purpose, etc;(f)The municipal tax or corporation tax of the building;(g)Any lawful agreement entered into by the landlord and the tenant.(iii)The Controller in determining the fair rent shall follow the provisions of the Act and apply the rules in accordance with them and in case of any doubt or conflict the provisions of the Act shall invariably prevail in determining the fair rent.(iv)The Controller shall fix fair rent after due enquiry and after duly giving notice to the parties concerned and after providing them the opportunity of being heard.(v)If at any time after the first fixation of standard rent the market price of the land and the cost of construction increases by more than twenty-five per cent on the basis of the value of the land and the cost of construction estimated at the subsequent prevailing market rates, then the landlord shall be entitled to have the monthly rent increased by an amount not exceeding one-twelfth of the seven half per cent of the additional increase in the original market price of the land and the cost of construction from the date as may be determined in the manner prescribed subject to a maximum of fifty per cent of the original standard rent.(vi)If at any time after the standard rent is fixed under the provisions of the Act any addition, improvement or alteration (not being repairs) is effected at the landlord's expenses which was not taken into consideration in fixing the standard rent, then the landlord shall be entitled to have the monthly rent increased by an amount not exceeding one-twelfth or seven-half percent per annum of the cost of such addition, improvement or alteration with effect from the date on which the addition, improvement or alteration was completed.
