Kagaznama

Commercial Lease Deed (Pattanama)

At a glance

Price
Free
Stamp duty
Duty is on rent, not premises value, banded by term differently in each jurisdiction.
Registration
Compulsory — s.107 TPA/s.17(1)(d) for year-to-year, over a year, or yearly rent leases.
Witnesses
TPA doesn't require attestation (s.107 needs only execution by both parties) but both offices expect two witnesses, adults, not parties.

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Also called

  • Commercial Lease Agreement
  • Registered Lease Deed
  • Lease Deed for Commercial Premises
  • Pattanama
  • Patta Nama
  • Patta
  • Kirayanama
  • Kiraya Nama

When you need it

A registered lease of commercial premises in Punjab or Chandigarh, over one year — Mohali IT City/Sector 66, Ludhiana industrial belt, a GT Road godown, a Chandigarh SCO, or Industrial Area Phase I/II. Fixes rent/escalation, the annual average rent stamp duty is based on, deposit/deductions, lock-in, notice, use, repairs, insurance, assignment, reinstatement.

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For exclusive possession, year-to-year, over a year, or at yearly rent (s.107 TPA; s.17(1)(d) Registration Act). Punjab: Sub-Registrar of the tehsil, via igrpunjab.gov.in. Chandigarh: Sub-Registrar, 30 Bays Building, via revenue.chd.gov.in. Two points run opposite ways. Chandigarh is rent-controlled whatever the rent (East Punjab Urban Rent Restriction Act 1949 via the 1974 Extension Act — Vasu Dev Singh v. UoI, SC, 7 Nov 2006, quashed the Rs 1,500 exemption); expiry alone doesn't recover possession, needing a s.13 ground before the Rent Controller. A 6 May 2026 MHA notification tried extending a different statute; the High Court kept it in abeyance (29 May 2026) — confirm before signing. Punjab runs the other way for non-residential premises let on/after 30 Nov 2013: s.3(2), Punjab Rent Act 1995 lets contract terms govern, bars other-law litigation, penalises breach. UNSETTLED s.4 QUESTION: s.4(1)-(2) requires a covered letting to use the Schedule I Form, registered at flat Rs 1,000, notwithstanding the Registration Act — arguably the right instrument here, not this deed's ad valorem duty; whether Article 35 duty even applies to a Schedule I agreement is unresolved. Settle with the Sub-Registrar first. Three exits avoid the question: s.3(1)(c) (building completed on/after 30.11.2013, under 15 years old), s.3(1)(f) (unconveyed authority allotment), s.1(2)/s.2(o) (outside notified urban areas). Not for: residential letting; a coworking seat/managed office (no interest passes); a kiosk/hoarding licence (no exclusive possession); agricultural land; bare land for the tenant to build; a franchise; or a letting by GMADA/GLADA/PUDA/Estate Officer/CHB itself. A year or less at no yearly rent isn't compulsory under s.17(1)(d) — but eleven months saves nothing in Chandigarh (no sub-one-year band) or Punjab where the Rent Act applies (s.4(2) applies whatever the term). No lock-in: either party may terminate on notice from day one.

Whether you can fill this in here

You can fill this in here

You can fill this one in on this site, and read the whole draft on screen before you decide anything about it. It is a carefully drafted template; it is not advice about your own facts.

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See stamp duty, registration and witnesses

What follows is written for Punjab and Chandigarh. It states the position there rather than describing how it varies, so the amounts below are the ones that apply — worth confirming at the sub-registrar’s office, because rates change. If the property is anywhere else in India, none of this is yours.

Stamp duty

Duty is on rent, not premises value, banded by term differently in each jurisdiction. All figures checked 6 Sep 2026 (undated tables). PUNJAB: under one year 4% of annual rent; one-five years 8% of average rent; five-ten years 3%; ten-twenty 3% of twice it; twenty-thirty 3% of three times; thirty-99 3% of four times. Reg fee 1% (twice on the ten-twenty band), facilitation Rs 500, pasting Rs 200, mutation Rs 600. The 8% one-five-year band looks like a departmental error (higher than neighbours) — confirm at the counter. Ask whether s.4(2)'s Rs 1,000 fee displaces the 1% (see registration note). E-stamp via SHCIL before execution. CHANDIGARH: up to five years 2% plus 3% on the refundable security deposit only, never advance rent (not on advance rent); five-ten 3% plus 3%; ten-twenty 3% of twice plus 3%; twenty-thirty 3% of three times plus 3%; thirty-100 3% of four times plus 3%. Reg fee 1% capped Rs 10,000 plus Rs 20 pasting. No sub-one-year band. The 3% on the deposit bites hard — a Rs 50,00,000 deposit adds Rs 1,50,000 alone; settle who bears it, and whether escalation top-ups attract more. BOTH: no family/gender concession. A duplicate is separately chargeable (Article 25). Under-stamping: deficiency plus penalty fall on whoever the deed names, and it's impounded until paid.

Registration

Compulsory — s.107 TPA/s.17(1)(d) for year-to-year, over a year, or yearly rent leases. Present within four months (s.23), four more on fine (s.25); inadmissible under s.49 if unregistered. PUNJAB — THE SECTION 4 FEE FORK: Sub-Registrar of the tehsil (S.A.S. Nagar for IT City/Mohali), via igrpunjab.gov.in, photographs/Aadhaar/PAN. Published table: 1% of annual rent plus Rs 500 facilitation — but s.4(1)-(2), Rent Act 1995 requires a covered non-residential letting on the Schedule I Form at flat Rs 1,000, notwithstanding the Registration Act, so this deed and its 1% duty may be wrong where the Act applies (Article 35 applicability also unresolved). Settle in writing before engrossing; s.50 appeals don't reach s.4(2) disputes. Where s.3(1)(c)/(f) or the urban-area limit exempts the premises, this deed and the pattanama fee are simply correct. CHANDIGARH: Sub-Registrar, 30 Bays Building — 12-1pm presentation, 3-5pm registration, 9-11am collection. Fee 1% capped Rs 10,000 plus Rs 20 pasting. Copy count is unsettled for leasehold sites (checklist covers freehold only) — ask when booking; clause 22.6 accommodates more. No jamabandi/mutation for sector property — title is the Estate Officer's allotment file, auto-mutation since 2025 means everything must be right at the counter (Manimajra/lal dora areas use a fard instead); prior Estate Office permission may be needed to let (50-day NOC, Right to Service, 30 March 2026). Deeds executed outside India for Chandigarh need Finance Department embossing.

Notarisation

Not an alternative to registration — a notarised but unregistered lease over a year still fails s.49; adds nothing where registration follows, normally skipped. Use the notary for surrounding papers: board resolution/authority letter, title/vacant-possession affidavit, an allottee-lessor's indemnity, mortgagee no-objection, head-lease residue confirmation, permitted-use undertaking. A POA used to execute/present needs s.33 authentication (registering officer, magistrate, or abroad: notary plus consular attestation) BEFORE execution — an unauthenticated power gets refused at the counter, delaying registration. Chandigarh: also needs Finance Department embossing if executed abroad. Chandigarh Estate Office now accepts notarised affidavits over Executive Magistrate attestation, except where specifically required otherwise.

Witnesses

TPA doesn't require attestation (s.107 needs only execution by both parties) but both offices expect two witnesses, adults, not parties. Chandigarh adds a real qualification: under para 127, Punjab Registration Manual, the FIRST witness must be known to the Sub-Registrar (councillor/gazetted officer/advocate in sectors; Lambardar/Sarpanch/Member Panchayat rural), both known to each other — a driver and neighbour get turned away. Executant/claimant photographs affixed. Punjab: two identifying witnesses with photo ID, captured in NGDRS. What gates registration is attendance: both executants in person with photo ID/PAN, photographed, thumb impressions; a company through its authorised signatory with board resolution; an absent executant needs a s.33-authenticated POA.

Request Stamp Paper

Sample preview — placeholder answers, not your data

COMMERCIAL LEASE DEED

This Commercial Lease Deed (this "Deed") is made at Chandigarh on 3 April 2026.

BETWEEN

Sethi Estates Private Limited, an individual, of House No. 1204, Sector 33-C, Chandigarh 160020, PAN AABCS1234K, acting through Harpreet Kaur Sethi, Director, authorised by board resolution dated 4 March 2026 (the "Lessor", which expression includes its successors in interest and permitted assigns);

AND

Northline Analytics Private Limited, an individual, of Plot No. 8, Phase 8-B, Industrial Area, S.A.S. Nagar (Mohali) 160055, PAN AAECN5678L, acting through Rohit Nair, Director, authorised by board resolution dated 6 March 2026 (the "Lessee", which expression includes its successors in interest and permitted assigns).

The Lessor and the Lessee are each a "Party" and together the "Parties".

RECITALS

A. The premises described in Schedule I are referred to in this Deed as the "Premises". The Premises are situated at S.A.S. Nagar (Mohali), in the State of Punjab. The Lessor is the absolute owner of the Premises.

B. The Lessee has requested a lease of the Premises for its business, and the Lessor has agreed to grant one on the terms set out below.

C. The Parties intend this Deed to create a lease within the meaning of s.105 of the Transfer of Property Act, 1882, transferring to the Lessee the right to exclusive possession of the Premises for the Term, and not a licence.

D. The Term of this lease exceeds one year and reserves a yearly rent. The Parties accordingly execute this Deed as a registered instrument, as s.107 of the Transfer of Property Act, 1882 requires, and shall have it registered under s.17(1)(d) of the Registration Act, 1908.

E. Three provisions of this Deed each identify the place in which the Premises lie — Recital A and Schedule I, the stamp duty computation in clause 22.2, and the rent statute identified in clause 24.1. The Parties confirm that they have read those three provisions together before executing this Deed and that each of them describes the same jurisdiction, and they acknowledge that a deed which names one jurisdiction in Schedule I and another in the stamp clause will be refused at the registering office.

NOW THIS DEED WITNESSES as follows.

  1. 1. DEFINITIONS

1.1 "Commencement Date" means 4 April 2026.

1.2 "Term" means the period stated in the Grant clause.

1.3 "Rent" means the monthly rent stated in the Rent clause, as escalated from time to time under this Deed.

1.4 "Rent Commencement Date" means the Commencement Date, unless a rent-free fit-out period is stated in the Rent clause, in which case it means the date stated there.

1.5 "Security Deposit" means the deposit stated in the Security Deposit clause, as topped up under clause 4.6.

1.6 References to a statute are to that statute as amended or re-enacted, and include a statute as extended to the place where the Premises are situated. Headings do not affect interpretation. The singular includes the plural.

What this document is for

A landlord and a business tenant use this for a REGISTERED lease of commercial premises for a term of more than a year — an office in Mohali IT City, an industrial shed on the GT Road belt, a Chandigarh SCO taken for back-office use, a godown. Unlike a short residential letting, a commercial lease of this length is written to go on the public record from the start, not to avoid it.

It fixes the rent and how it escalates over the term, the security deposit and what it may be adjusted against, who insures and who repairs what, the lock-in and notice periods, what the tenant is and is not permitted to do with the space, whether subletting or assignment is allowed, and what condition the premises must be handed back in when the lease ends.

Before you use this — two things to check

The one decision to make before anything else on the form is which rent-law position actually governs these premises — Punjab runs two different rent statutes split by the date of letting and a fifteen-year exemption for newer buildings, and Chandigarh's own rent legislation reaches a tenanted building regardless of the rent paid. Get that answer right first, because the stamp duty band, the registration route and even whether a notice can end the lease at all all follow from it.

Separately, there is a real commercial trap in how Punjab bands its stamp duty by term length, worth knowing before the commencement and expiry dates are fixed: a term of one to five years attracts 8%, while a term under a year attracts only 4% and a term of five to ten years attracts only 3%. On identical rent, a lease drafted to run five years can cost close to three times the stamp duty of one drafted to run six years or more — a fact about how the bands fall, not a reason to prefer one term over another.

Stamp paper and registration

Stamp paper needed

Yes

Typical stamp duty — Punjab

8% of the annual average rent for a one-to-five-year term — confirmed correct, not a table error, even though it sits above both the band just below it (4%, under a year) and the one just above it (3%, five to ten years). Verified at the Sub-Registrar, SAS Nagar (Mohali), September 2026.

Typical stamp duty — Chandigarh

Also banded by term, but with an extra charge alongside it: 2% of the annual average rent for a term up to five years, PLUS a separate 3% on the refundable security deposit — never on advance rent (not on advance rent) — and that 3% applies at every band, not only the shortest one. Longer terms rise to 3% of two, three or four times the annual average rent for the five-to-ten, ten-to-twenty and twenty-to-thirty year bands, still with the 3% deposit charge on top. Source: the Chandigarh Administration's fee table, checked 6 September 2026.

Registration at the Sub-Registrar

Yes — Compulsory for a lease of this kind — over a year, year-to-year, or reserving a yearly rent, under section 107 of the Transfer of Property Act, 1882 and section 17(1)(d) of the Registration Act, 1908. Punjab has one open question worth raising at the tehsil counter before you engross the deed: whether a covered non-residential letting should instead go on the Punjab Rent Act's own Schedule I form at a flat Rs 1,000 fee, rather than the department's ordinary 1% lease-registration fee.

Notary or witnesses

No notary needed for the lease deed itself, though useful for the papers that travel with it — a board resolution, a title or vacant-possession affidavit, a head-lease residue confirmation. Two witnesses attend registration, and Chandigarh again requires the first to fit its qualifying class.

What you will need before you start

  • Both parties' constitution — individual, company, LLP, partnership or HUF — and, for a company or LLP, the authority of whoever is signing for it
  • On what basis the Lessor is entitled to let — outright ownership, or an allotment or head lease that itself permits sub-letting
  • A precise description of the premises, its area, and how that area is measured — carpet, built-up or super area, since the basis is not always obvious from a floor plan
  • The rent, how it escalates over the term, and the security deposit figure
  • The exact commencement and expiry dates of the term, since the stamp duty band is worked out from that interval, not from a rounded number of years
  • Which rent-law position governs the premises in Punjab, or confirmation the letting is in Chandigarh

Common mistakes

  • Not settling which rent-law regime governs the premises before fixing the term — the stamp duty band, the registration route and even how the lease can be ended all follow from getting that answer right first.
  • Underestimating the Punjab one-to-five-year stamp-duty band because it looks too high next to the bands on either side of it — 8% is the verified, correct rate for that term, not a table error, and it can cost close to three times the rate charged just over five years.
  • Forgetting Chandigarh's separate 3% charge on the security deposit when budgeting the lease — it sits on top of the rent-based duty, not inside it, and it never reaches advance rent.

Questions people ask before using this document

Does a commercial lease in Punjab or Chandigarh have to be registered?

Yes, once the term is over a year, runs year-to-year, or reserves a yearly rent — section 107 of the Transfer of Property Act, 1882 and section 17(1)(d) of the Registration Act, 1908 both require it, and an unregistered lease of that kind cannot even be used as evidence of the tenancy. This template is drawn for exactly that registered, over-a-year case.

Why does the stamp duty jump so much for a one-to-five-year commercial lease in Punjab?

It looks like a departmental error next to the bands on either side of it, but it is not — 8% for a one-to-five-year term is correct, verified at the Sub-Registrar, SAS Nagar (Mohali), September 2026. A term under a year is charged at 4% and a term of five to ten years at only 3%, so the middle band genuinely costs more — on identical rent, close to three times what a term just over five years would cost. Budget for 8% if your lease falls in this band rather than assuming the figure is a misprint.

Does Chandigarh charge stamp duty on the security deposit for a commercial lease?

Yes, separately from the rent-based duty and at every term band — a further 3% on the refundable security deposit, never on advance rent (not on advance rent), on top of the 2% to 3% (rising with the term) charged on the annual average rent. On a large deposit this is a real, separate sum, and it is easy to under-budget by pricing only the rent side of the lease.

Can the tenant sublet the premises under a commercial lease?

Only if the lease says so. Assignment and sub-letting are matters this document sets expressly rather than leaving to be assumed — check the assignment clause the parties have actually chosen before treating subletting as available, and remember that a tenant's own right to let the space on can be no wider than what the landlord itself was entitled to grant.

What happens if the tenant stays on after the lease term ends?

That is addressed by this document's own holding-over provision rather than left open. But be aware of section 116 of the Transfer of Property Act, 1882 sitting behind it: a landlord who simply accepts rent after the term ends, without reserving its position, risks a court reading that as creating a fresh tenancy despite what the clause says — so act on the holding-over terms deliberately rather than by default.

Questions about this document

Does the Commercial Lease Deed (Pattanama) need stamp paper or stamp duty in Punjab and Chandigarh?

Duty is on rent, not premises value, banded by term differently in each jurisdiction.

See the full position on stamp duty, registration and witnesses
Does the Commercial Lease Deed (Pattanama) need registration in Punjab and Chandigarh?

Compulsory — s.107 TPA/s.17(1)(d) for year-to-year, over a year, or yearly rent leases.

See the full position on stamp duty, registration and witnesses
What does the Commercial Lease Deed (Pattanama) cost on Kagaznama?

Free.

Documents are free. Kits are free during our launch.

Does the Commercial Lease Deed (Pattanama) need witnesses?

TPA doesn't require attestation (s.107 needs only execution by both parties) but both offices expect two witnesses, adults, not parties.

See the full position on stamp duty, registration and witnesses

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