Commercial due diligence should be completed before the token payment becomes difficult to recover. Use a lawyer, architect and tax adviser when the transaction or intended business is material.
Legal and title
Obtain the title chain, development agreement or power of attorney where relevant, encumbrance information, seller authority, sanctioned plan, commencement permissions and details of pending litigation or security interests. Check the exact survey, building, phase and unit.
Technical and operational
Confirm carpet area, structural condition, fire compliance, access, parking, power, water, drainage, lifts, common areas, signage and permitted use. For an operating business, verify that the local authority and building rules allow the planned activity.
Commercial and financial
Review the Agreement for Sale or lease, maintenance and sinking-fund terms, property tax, utilities, GST treatment where applicable, stamp duty, registration, fit-out costs, rent assumptions and exit restrictions.
For a new project, cross-check the promoter's claims against the official MahaRERA record and the relevant PMC, PCMC or planning-authority approvals. Keep a written document checklist and record what remains outstanding.
Practical worksheet
Pune commercial yield example
For an illustrative total acquisition cost of Rs 1.20 crore and monthly rent of Rs 75,000, annual gross rent is Rs 9 lakh and gross yield is 7.5%. If vacancy and owner-paid costs reduce net income to Rs 7.8 lakh, net yield becomes 6.5%.
Calculation: Net rental yield = (annual rent - vacancy - owner-paid annual costs) / total acquisition cost x 100.
- Compare achieved rent, not only advertised rent.
- Inspect access during actual business hours.
- Model at least one vacancy period.
- Include fit-out and common-area charges.
Common questions
Questions property buyers ask
What should I check before buying commercial property in Pune?
Verify title, sanctioned commercial use, MahaRERA details where applicable, carpet area, fire and access requirements, parking, maintenance, fit-out rules, possession terms and realistic tenant demand.
How should I compare Baner, Balewadi, Hinjewadi and Kharadi?
Compare the locations using the intended occupier, peak-hour access, employee and customer catchment, public transport, parking, competing supply, achieved rent, vacancy and total occupancy cost.
How is commercial rental yield calculated?
Gross yield is annual rent divided by total acquisition cost. Net yield should also deduct vacancy, maintenance, property tax, repairs, insurance, brokerage and other owner-paid costs.
Primary references
Official sources to verify
Important: This guide is for general information and is not legal advice. Verify current requirements directly with MahaRERA and consult a qualified property lawyer before signing or paying.