RENTAL rates for state-owned property in Yangon Region need oversight as they are lower than the rates in the market, said MP Daw Aye Aye Mar during a parliamentary discussion on the Budget Bill in the Yangon Region Hluttaw yesterday.
Private companies were allowed to lease public recreation areas and state-owned property at low prices, said the representative for Lanmadaw Constituency.
The Yangon City Development Committee leased land plots in Myakyuntha Park, a state-owned property, to Max Myanmar (6.87 acres), Eden (4.72 acres), Inya Palace Co Ltd (1.83 acres), Magic Land (13.86 acres), Nay La Pwint (2.60 acres), Myanmar Golden Star (4.15 acres), Good Shan Brothers (7.79 acres) and Rya Ji (1.38 acres), according to a report by the Yangon Region Hluttaw finance, planning and economic committee.
The eight companies got 60-year leases for the plots with a monthly payment of K1 million per acre. The leases began on 1 April 2013.
According to the report, other private companies were also granted leases on state-owned property at low prices under long-term contracts.
The report called for rent increases on the state-owned properties and buildings starting next fiscal year, pointing out that the YCDC received just K13.8 billion from leases of state-owned land plots and K56.6 billion from state-owned apartments this fiscal year.
Officials from the Yangon Region government are scheduled to address the report at the Yangon Region Hluttaw session on 28 March.