Terms of the lease
The lease document is a contract outlining the terms of possessing a property for a specified time at an agreed rent. There are some differences in leases depending on the type of business, location of the premises and the length of tenancy.
For your protection and to minimise litigation and disputes, we will thoroughly check the lease before you sign.
The terms of a lease are negotiable. Leases are prepared by the Landlord’s solicitors and consequently, are in favour of the Landlord. When acting for tenants, we request amendments to the lease so the lease is fair to both parties.
The Retail Shop Leases Act applies if you rent a premises where five or more shops are in one complex or the business usage is predominantly retail as defined in the act. The act prohibits the landlord from recovering legal costs for preparation of lease documents, mortgagee consent fees and land tax recovery. The retail shop lease legislation sets mandatory minimum standards for retail shop leases in Queensland and offers tenants more protection than standard commercial leases. The legislation covers topics such as:
1. Disclosure obligations
2. Turnover rent
3. Options to extend,
4. Outgoings payable
5. Rent review
6. Relocation and demolition procedures
Our experience includes warehouse spaces, medical centres, shopping centres (i.e Westfield), strip retail shops and office spaces where we have acted for both landlords and tenants. We will clearly explain the process, thoroughly examine the lease and other associated documents and assist you in achieving the best terms possible to allow you to have the best opportunity to make your business a success.
Retail Lease disclosure:
There are two disclosure requirements under the act.
1. Lessee disclosure statement: We will explain all your obligations in relation to the lease so that you can declare that you are able to meet all financial obligations as you are required to provide the declaration to the Lessor (landlord).
2. Lessor disclosure statement: The Landlord has a legal requirement to disclose mandatory information to the Lessee.