HOW CAN A STAR RATING SYSTEM FOR BUILDINGS DECIDE RENT INCREASES?

The proposed plan is to allow landlords to determine rent and any subsequent increases based on the building’s rating.

A 4-star rating offers landlords greater flexibility to set the rent range, while lower ratings require them to increase within a certain range. Older buildings need to do so based on factors such as quality, age of the property, availability of facilities, etc.

WHEN CAN RENT VALUATION RESULTS BE APPLIED

The rent valuation can come into effect only when a property is vacant or becoming vacant. This is why there have been more cases of landlords asking for their existing tenants to vacant, serving them notices to do so. Some tenants have even received 12-month notices.