Q.
How to calculate the premium on renewal of lease?
A.
There are two types of premium on lease.
- Premium on conversion of category of land use during alienation or at a later date.
- Premium on extension of lease upon renewal, usually when lease is left less than 10 years.
Premium upon conversion of category is discussed in below posts.
2011 Q7 Calculation of premium on land
2013 Q5 Factors affecting premium on land alienation
Premium on land conversion
Premium on lease extension for Selangor and Kuala Lumpur
Renewal of land lease for Sarawak
Here, we discuss the premium calculation for extension of lease or renewal of lease.
Above list is obtained from The Edge Property "I bought a leasehold property. Should it matter?"
Ref:
Link above.