Lease price of the pharmacy premise at the National Cancer Institute in Kyiv has raised in 4 times as a result of the e-auction on lease contract extension
On November, 26, 2020, it was held the online e-auction on extension a contract of the pharmacy premise lease with an area of 20.1 sq.m which is on a balance of the National Cancer Institute in Kyiv.
The lot starting price was of UAH 4 694.16. It raised in 4 times – up to UAH 20 300 as a result of the online bidding where four participants took part. This amount will be a rent payment per month under the new contract.
It is to be noted that the last month’s payment a tenant paid under previous contract was of UAH 2 785.04. Now, the rent payment per month raised in 7 times under the new contract.
Under the lease conditions, the premise has restrictions on targeted use. Only pharmacy could be located at the indicated area. The new lease contract is concluded for 4 years and 11 months.
The current tenant participated in the bidding and was raising the price proposal during three rounds. In particular, at the third round, he made proposal of UAH 20 200.
The State Property Fund of Ukraine reminds that according to the Lease Procedure of the State and Municipal Property, while extension lease contracts, current tenants have preferential right on lease contract extension.
This means that it is enough for current tenants to participate in e-auction on lease contract extension and to make closed price proposal which has to be not less than the starting rent payment (Clause 149 of the Lease Procedure of the State and Municipal Property). There is no sense to raise the stakes how the current tenant did in this e-auction.
Despite these mistakes, to realize the preferential right of the contract extension, the current tenant has to accept to pay for the pharmacy premise rent UAH 20 300 per month. That’s what the highest price proposal of the bidding’s winner was.
In another case, in the event of disagreement with a price set during e-auction, the right to conduct lease contract transfers to the online bidder’s winner which has 3 working days to sign the protocol and 20 working days from the day next after creation the protocol on e-auction results to conduct lease contract.
For the first time new lease regulation gave effective guarantees on protection current tenants’ preferential right to extend their lease contracts, while ensuring transparency of the process and opening equal opportunities to participate in e-auction for all those who wish.