Why is leasehold not the same as lease?
the difference in the premium paid by the lessee, to the title paramount, at the time of the execution of the lease and the market value of the land prevailing at the time of the transfer.
Essentially, the rights of a lessee in relation to transfer of a leasehold property are limited. In the event of transfer (and in certain cases in the event of subsequent transfers) the title paramount would generally be entitled to claim and recover 50% of the unearned increment of the value in the land from the lessee. Further, the lessee will require the permission of the title paramount to transfer the property.
With the steady rise in property prices, the potential payment of 50% of unearned increment to the title paramount, became significant incentive to avoid its payment. The additional stamp duty and registration impact did not help matters and thus evolved the system of power of attorney sales.