This will be the third extension to the lease agreement in 2015 alone
The New Delhi Municipal Council (NDMC) has granted another three-month extension to Tata Group’s Indian Hotels Company for the Taj Mansingh Hotel.
In the council meeting held on October 27, the council decided to extend the lease for a period of three months as work on the auction pro-cess is underway, officials close to the development said.
The current lease extension expires on October 31.
In June this year, the civic agency had appointed SBI Capital Markets as a transaction adviser for auctioning the property.
The advisers are expected to guide the entire auctioning process, from conceptualising the plan to handing it over and till the signing of the final documents.
This will be the third extension to the lease agreement in the year 2015 alone and the ninth one after the expiry of the
original lease agreement in 2011.
The land on which the hotel is located belongs to NDMC which was leased to IHCL for 33 years for running the hotel on a revenue-sharing basis, with IHCL paying 17.5% of the gross revenue.
The lease is on a temporary extension since October 2011.