Nashik: Corporate houses ask landlords to reduce rentNASHIK: Corporate houses have started negotiating with their landlords to reduce the rent of the leased properties owing to the economic slowdown caused by the ongoing Covid-19.

According to Maharashtra Chamber of Commerce, Industry & Agriculture (MACCIA), 90% of the corporate houses have shown their inability to pay the current rent and have demanded reduction in rent by around 30%.

Some of the corporate houses have demanded waiver of rent for the lockdown period, while some have decided to close their outlets/showrooms to reduce losses.

The lease rates for 1,000 sqft properties in various parts of the city are in the range between Rs 75,000 and Rs 1.5 lakh per month.

“All businesses have been badly affected due to lockdown following outbreak of Covid-19. Hence, they (business houses) have now approached the landlords and started negotiations to reduce the rent,” Umesh Wankhede, chairman of the MACCIA, said.

“Some big brands have also decided to shut down some offices or outlets in the city, while others are insisting waiver of rent for three months at least as they could not do business during lockdown period,” said Wankhede.

An official from a mobile network company said, “We have decided to close one outlet in prime area of the city area of the city due to losses we are incurring daily due to lockdown. The rent of that commercial property is around Rs 1.5 lakh per month.”

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