Landholders now have the power to extend the lease duration for non-residential land plots without seeking permission from the Ministry of National Planning, Housing, and Infrastructure, as was previously required.
However, landholders must conduct an assessment that specifies the benefits received by residents of the island or city from the investments made on the land plot, as well as the works to be conducted on the land plot that will contribute to the government’s development plan during the extended lease period. The assessment should also outline how the land plot has been utilized.
Furthermore, the previous rule that limited leaseholders to only one extension has been nullified. Instead, landholders must specify the maximum number of extensions they are willing to provide in the bid announcement.
The Ministry also has the authority to adjust the lease rate in the extension agreement, based on the current market.