Commercial Leasing and Retail Leases Specialists
As experienced commercial leasing lawyers we have extensive experience providing legal advice on commercial lease agreements. We are able to provide expert legal services to tenants and landlords on all aspects of reviewing and drafting commercial leases and Retail Leases http://www8.austlii.edu.au/cgi-bin/viewdb/au/legis/vic/consol_act/rla2003135/.
Whether the premises you’re looking to lease is a warehouse or factory or you are leasing a retail shop or cafe entering a commercial lease or retail lease is a serious commitment. A lease is a legally binding document and as a business owner you’ll be bound by it for years to come. So, it’s important to get it right.
There plenty of pitfalls to be aware of when negotiating a lease and whether you’re a tenant or a landlord. We can help you navigate this complex space. We understand the importance of ensuring the lease reflects the agreement which has been reached between the landlord and the tenant. A lease creates legal rights and obligations for both the; landlord and the tenant in land that’s being leased so the terms of the lease must be right.
In Victoria to be able to give expert legal advice and to achieve the best possible results a leasing lawyer must understand the Common Law (link to Wikipedia) the Property Law Act http://www8.austlii.edu.au/cgi-bin/viewdb/au/legis/vic/consol_act/pla1958179/ and Retail Leases Act http://www8.austlii.edu.au/cgi-bin/viewdb/au/legis/vic/consol_act/rla2003135/ . But equally, your lawyer must have extensive experience and understand the competing interests of landlords and tenants. As experienced commercial lease lawyers we understand these factors and are ready to advise either landlords or tenants on how to negotiate a lease that protects your legal interests.
What do landlords and tenants you need to consider when negotiating a new lease?
When drafting a lease agreement for clients there are a wide range of things to think about.
As a general statement, commercial lease transactions have two stages.
The initial lease negotiation
The first stage is the initial negotiation. it’s critical that the initial agreement for lease also known as an offer to lease or heads of agreement for a lease for commercial property accurately records the understanding of the parties.
Key clauses when drafting or reviewing a lease
The second stage is the preparation of the formal lease document. This will be based on the initial offer to lease.
Regardless of whether you’re a landlord or a tenant or whether the lease is simple or complex careful attention must be given to issues such as:
- Has an offer to lease been entered into and if it has is it binding.
- What are the tenants make good obligations at the end of the lease.
- Is the lease for retail premises and governed by the Retail Leases Act.
- Does the Disclosure Statement comply with the Retail Leases Act?
- Is the rent review or market review mechanism appropriate for the sort of lease.
- In addition to rent are all outgoings to be charged recoverable. Do the outgoings include capital works or expenses, occupational health and safety compliance or expenses not related to your tenancy?
- What is the lease term?
- Is the tenant is entitled to a minimum 5-year term.
- The terms of any personal guarantees bank guarantees of security bonds that may be required.
- The period during which a tenant must exercise an option to renew the lease.
- Has a prelease condition report been prepared?
- Does the tenant intend to undertake works or a brand-new fit out?
- Are there mandatory trading hours?
- Does the intended use by the tenant comply with or require a Planning Permit?
- Does the tenant need any licenses to run their business?
Regardless of whether you’re a landlord or tenant or whether the lease is for a restaurant, an office a factory, a warehouse or retail shop our experience means we’ll give you the right advice.