The M.C. Shimla can lease out its land in accordance with the provision of section 157 of HPMC Act 1994. However, of late, the M.C. Shimla has been discouraging leasing out of its land. The land lease for in particular period of time, for particular individuals, and for particular purpose. Before, allotting such land the prior approval of the Govt. is sought. The HP lease rules 1994 the Govern the leasing out of the land. The M.C. Shimla charges lease money @ 80% the maximum rate of value. After allotment lease document is prepared.