A Worli Flat Just Leased for Rs 28.5 Lakh a Month. What Luxury Owners Can Learn From the Terms

Big rent numbers make headlines. For owners of premium flats, the more useful part is underneath: how the deal was structured. A recent Worli lease is a good template, because the details are on public record.

What were the terms of the Three Sixty West lease?

According to the Free Press Journal, citing Zapkey transaction data, a flat in Tower B of Three Sixty West on Dr Annie Besant Road, Worli was leased under a leave and licence agreement registered on 28 September:

• Size: 6,831 sq ft, with four car parks.
• Rent: Rs 28.5 lakh a month in year one, Rs 29.92 lakh in year two, Rs 31.42 lakh in year three.
• Term: 36 months, about Rs 10.78 crore in total rent.
• Security deposit: Rs 1.71 crore.
• Tenant: a company, IVL Dhunseri Petrochem Industries.

By my arithmetic, that's about Rs 417 per sq ft per month, an escalation of almost exactly 5% a year, and a deposit equal to six months of first-year rent.

Why do luxury flats in Mumbai often go to company leases?

At this level, the tenant is usually a company housing a senior executive. Companies like registered, long agreements with predictable escalation, and owners like a corporate balance sheet behind the rent. The trade-off is paperwork: companies deduct TDS, ask for clean title documents and often want the flat furnished to a specification.

What should a corporate lease agreement include?

• Fixed escalation, like the 5% a year here, written as figures, not a formula to argue over later.
• A deposit set in months of rent, with clear refund terms.
• A lock-in period for both sides, and a notice period after it.
• Who pays what: society maintenance, property tax, repairs above a limit, and parking charges.
• A handover inventory with photos, which protects both sides at exit.