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Tenant Not Adhering to Lease Terms ( Attached ) - Considering Eviction Before Lease Ends
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Hi Reddit community,

I'm dealing with a tenant issue at my commercial property in Gurugram, and I'm considering eviction due to ongoing non-compliance with the lease terms. The lease expires in August 2024. I'd like to know the best approach to this situation, specifically whether a "Notice of Cure" is still necessary or if I can proceed directly to a termination letter.

Background:

My tenant, a technology company, has been leasing my commercial space since 2015.

As per Clause 1.6, the rent was supposed to escalate every three years. In April 2020, despite the lease terms, the rent was not increased from INR 60.5/sq ft to INR 66.5/sq ft due to market conditions, and later reduced to INR 45/sq ft during the pandemic.

Current Issue:

The market has since recovered, and as per the lease, the current rate should be INR 73.20/sq ft. I've attempted to negotiate a return to the pre-COVID rate of INR 60.5/sq ft , which is much near or at the actual market rate, but without success. On January 3, I personally visited the tenant and asserted the need to revert to the pre-COVID rent. They asked for a day to respond but never did, and instead continued paying the reduced rent. My property is being devalued directly due to my non-compliant tenant. The tenant has not responded to my phone calls either.

Relevant Clauses Breached:

Clause 1.6 (escalation of rent not adhered to)

Clause 3.2 (pertaining to the timely payment of rent)

Questions:

Given these breaches and the tenant's failure to respond even after a direct meeting, is a "Notice of Cure" as per Clause 7.2 still necessary, or can I proceed directly with issuing a termination letter?

What would be the right approach in this scenario, considering the lease ends in August 2024 but the tenant has repeatedly failed to adhere to the lease terms?

Based on the lease clauses, there doesn't appear to be a specific time period mentioned for a termination notice in the event of rent default or partial payment. What should be the duration of the termination notice period ?

Any advice on how to proceed with this situation would be greatly appreciated! Many thanks!

Lease clauses:
https://drive.google.com/drive/folders/1zlfKBLgIs7yhE9vxzug\_ag-s82Q4Sq46?usp=drive\_link

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9 months ago