News

Changes to the Retail Leases Act

The Retail Leases Amendment Act 2020 (Vic) came into effect on 23 September 2020 (except for Division 2 of Part 3).

This Act changes the obligations of landlords and tenants of retail leases. Changes have been made to the provisions relating to:

  1. Essential Safety Measures: A landlord will be able to agree with a tenant to pass on these costs;
  2. Disclosure Statements: A landlord needs to provide a disclosure statement earlier and provide a more detailed disclosure statement on renewal;
  3. Security Deposits: Must be returned within 30 days;
  4. Cooling-off: A tenant has a 14-day cooling off period after exercising an option to renew, and;
  5. Early rent reviews: A tenant can seek a market rent review before exercising an option to renew.

These changes apply to current leases and new leases.

Contact Sarah Ward, Accredited Specialist Commercial Tenancy, for advice on retail leasing.