What Is a 90-Year Commercial Concession?
ISBT Kaushambi — Fully Explained

The single most common question about ISBT Kaushambi (Omaxe BeTogether) is about the 90-year concession: "What exactly does it mean? Is it like a lease? Can I sell the unit? What happens after 90 years?"

This article answers all of those questions in plain English — no legal jargon, no marketing spin.

What Is a Commercial Concession?

A concession is a government-granted right to use and commercially exploit a specific piece of land or infrastructure for a defined period. It is used extensively in infrastructure projects globally — airports, highways, bus terminals, ports.

In India, the PPP (Public Private Partnership) model typically grants a private developer a concession to develop and operate government-owned land in exchange for:

• Developing the infrastructure (building the project)
• Sharing a portion of revenues with the government body
• Returning the asset (land) to the government at concession end

At ISBT Kaushambi, UPSRTC (UP state government) owns the land, and Omaxe Limited has been granted a 90-year concession to develop and operate the BeTogether Courtyard commercial complex on it.

Concession vs Leasehold vs Freehold — Clear Comparison

What the 90-Year Concession Means for You as a Buyer

Your Unit Is Registered in Your Name

This is the first concern most people have. The answer: yes. Both Business Suites and Studio Apartments at ISBT Kaushambi are registered in the buyer's name. You receive a registered sale deed/allotment letter for your specific unit.

Full Commercial Rights for 90 Years

During the concession period, you have full commercial rights to your unit — use it, lease it, give it to a hotel operator, use it as your office. The commercial rights are real and legally enforceable.

The Concession Is Transferable

You can sell your unit at any time during the 90-year period. The buyer takes on the remaining concession term. This is exactly how standard leasehold property works. There is a market for resale — buyers in the secondary market purchase the unit along with the remaining concession rights.

It Is Inheritable

The concession rights pass to legal heirs. This makes it a valid long-term wealth transfer asset — particularly relevant for NRI investors and those planning for the next generation.

The 90-Year Term — What Happens at the End?

This is the question everyone eventually asks. Honest answer:

• At the end of 90 years, the land (but not the structure) reverts to UPSRTC
• The Builder-Buyer Agreement will specify what happens to the structure and whether renewal rights exist
• Government-owned infrastructure concessions are almost universally renewed in practice — UPSRTC has a direct interest in maintaining a functioning commercial hub at the terminal
• 90 years from project start puts the concession end well into the 22nd century

To put the 90-year horizon in perspective: India's leasehold property system operates on similar timelines. DDA leasehold properties in Delhi operate on 99-year leases — most are renewed as a matter of course. The practical risk of a 90-year concession expiring without renewal for an operational commercial complex is low — but it is a risk that should be understood and accepted.

Government Backing — Why UPSRTC Matters

The UPSRTC (Uttar Pradesh State Road Transport Corporation) is a state government entity. Several important implications:

• UPSRTC cannot "disappear": Unlike a private landowner, a state government body cannot dissolve, go bankrupt, or abandon the concession without legal and political consequence.
• The bus terminal continues operating: UPSRTC's core business — operating the bus terminal — is unaffected. The terminal generates daily footfall regardless of property values. This protects the commercial viability of the location throughout the concession.
• PPP structure adds oversight: The concession agreement is a formal government document, subject to UP government oversight and audit. Omaxe's obligations are defined and monitored.

RERA Exemption — What It Means

ISBT Kaushambi is RERA-exempt because it is a government PPP project. UPSRTC is a state government body. Under RERA provisions, projects developed in partnership with government bodies under PPP agreements are exempt from mandatory RERA registration.

This does not mean there is no regulation — it means the regulatory framework is the PPP agreement and state government oversight rather than RERA. For buyers, the key document to review is the Builder-Buyer Agreement, not a RERA registration number.

Due Diligence Checklist for the Concession

Before booking, ask Saurabh for and review these documents:

1. The PPP Concession Agreement between Omaxe and UPSRTC — confirms the 90-year term, transferability terms, and UPSRTC's obligations
2. The Builder-Buyer Agreement (BBA) — your specific agreement with Omaxe; read the possession clause, force majeure, and what happens at concession end
3. The Unit Allotment Letter format — confirms your unit's registration structure
4. For Studio Apartments: the Hotel Management Agreement structure — confirms the pre-lease and rental management terms

Saurabh shares all of these documents before any payment is made. No documentation is withheld during the due diligence phase.

Frequently Asked Questions — 90-Year Concession

Can I take a home loan on a concession-based property?

Commercial property loans (not home loans — these are commercial units) are available from most nationalised and private banks for PPP concession projects from listed developers. Your bank will independently verify the project documentation. Several buyers at Omaxe BeTogether have secured commercial property loans — Saurabh can share which banks have done due diligence on this project. A home loan (residential) is not applicable since these are commercial units.

Is a 90-year concession transferable to my children?

Yes — the concession rights are inheritable and transferable. Your children inherit the unit along with the remaining concession period (just as leasehold property works). The concession registration in your name can be transferred to legal heirs. You can also gift or sell the unit to any buyer during your lifetime — the remaining concession term transfers with the unit.

Can I use the unit as security for a business loan (LAP)?

Loan Against Property (LAP) on concession-based commercial units is possible but bank-dependent. Some banks accept PPP concession registrations as collateral; others require freehold or standard leasehold. Confirm with your banker — Saurabh can introduce you to bankers who have worked on this project's documentation.

What documentation do I get at registry (possession)?

At possession, you receive a registered allotment/sale deed for your specific unit, issued by Omaxe and registered with the relevant sub-registrar. This document records the unit number, floor, area, and your rights under the concession. You also receive Omaxe's possession letter. These are your title documents for the concession period.

How is the 90-year concession different from DDA leasehold property in Delhi?

DDA leasehold operates on a lease from Delhi Development Authority — the DDA leases land to buyers for 99 years. The ISBT Kaushambi PPP concession is structurally similar: UPSRTC (the landowner) has granted the concession to Omaxe (developer), who then registers individual units with buyers. Both involve government-owned land; both are time-bound but renewable in practice; both are transferable. The key difference is DDA leasehold has now been largely converted to freehold under Delhi government policy — no such general conversion policy applies to PPP concessions, which are project-specific agreements.

Is this the same as "leasehold" listed on property websites?

Functionally similar, but technically different. Leasehold typically means a direct lease from a government authority to a buyer. PPP concession means the government (UPSRTC) granted rights to Omaxe (private developer), who then registered commercial units with buyers under the PPP framework. Property portals sometimes list such units under "leasehold" for search purposes. The legal document governing your rights is the Builder-Buyer Agreement and the PPP Concession Agreement — these take precedence over any portal classification.

Disclaimer: This article is for informational purposes only and does not constitute legal or investment advice. Concession terms are subject to the specific agreements between Omaxe and UPSRTC. Always review documentation with a qualified legal advisor before purchasing.