2
Friday, October 19, 1973
The amount of increase, other than that privately agreed between
the landlord and the tenant, will be determined by the Commissioner of
Rating and Valuation on application by the landlord for a certificate.
The increase will be the difference between the existing rent
and the fair market rent divided by the factor five, but not exceeding
21 per cent of the existing rent.
For example:
(1) Fair Market Rent
Existing Rent
Difference
11
tr
$900 per month excluding rates
$600
Er
EL
permitted increase
(2) Fair Market Rent
$300 5 = $60
$1,400 per month excluding rates
Existing Rent
Difference
$600
1
TI
#F
$8005 $160
=
FI
But 21 per cent of the existing rent ($600) is
$126. The permitted increase is $126.
The fair market rent will be that considered to be reasonable
at the time, taking all relevant rental information into consideration.
The landlord of premises not let on the date of enactment of the
legislation will be able to negotiate freely a rent with his tenant.
rent of premisca re-let after the enactment will however be limited to the
fair market rent as assessed by the Commissioner.
For subtenants, the rate of rent increase will generally follow
that paid by the principal tenant but again cannot exceed 21 per cent
of the existing rent except by agreement.
/However,