10.2 C
Saturday, April 20, 2024

Warsaw. Rents for commercial premises will increase by a maximum of 10 percent. City Hall: It’s less than inflation

Must read

- Advertisement -

The Mayor of Warsaw, Rafał Trzaskowski, signed an ordinance on the rules for the lease of commercial premises. According to it, the indexation of the rent will not be higher than 10 percent.

The order was signed on Wednesday. – Pursuant to the agreements concluded by tenants, rents should be revalorized in accordance with the change in the prices of goods and services, i.e. in fact increase in inflation. However, we have decided to take on some of these burdens. This is another help for tenants of municipal commercial premises – said Deputy Mayor Aldona Machnowska-Góra, quoted in the press release.

Rents will increase by a maximum of 10 percent

According to the capital city hall, during the pandemic in 2020-21, rent reductions in the amount of nearly PLN 75 million were granted and indexation in 2021 was abandoned. , entrepreneurs, non-governmental organizations and garage tenants.

- Advertisement -

“The decision on the 10% and not even 16% revaluation is due to the difficult situation of entrepreneurs. Due to high inflation, entrepreneurs are exposed to higher costs of running a business. Increases in energy and gas prices affect the deterioration of financial liquidity. These costs increase the prices of services provided to the residents of Warsaw,” the officials said.

The communiqué emphasized that without limited rent indexation, public benefit organizations, e.g. hospices, private schools and non-governmental organizations, would also be in a difficult situation. In the opinion of the town hall, the reduction of the valorization index will “constitute an anti-inflationary shield for both entrepreneurs and residents”.

Main photo source: Shutterstock (archive photo)

Source link

More articles

- Advertisement -

Latest article