Shops Demolished By Municipal Corporation

My shop is situated at Valsad, Gujarat. In 1982, Valsad Collector has given this shop to us for lifetime taking money (which we have receipt and citi survey document which shows that this shop is registered at our name). In 1984, Valsad Municipal Corporation has kept this shop under the town planning scheme. In Oct. 2020, valsad nagarpalika have demolished our shops. Following which I have complained to the PMO office, that the property sold to us is demolished by Valsad Nagarpalika and we need an alternate shop for the same. The application was sent to Valsad Nagarpalika by PMO, to which he replied that the Valsad Nagarplaika will provide small shops but the cost of construction will be levied on us. In this situation, how should I react and what reply should I give to him in legal terms. Does he have authority to take money for construction, as the property demolished was legally sold to us?