Retail & Commercial Lease Law
Retail and commercial leases in New South Wales are governed by a separate set of rules and regulations to conventional residential leases.
Whether you are the owner of a commercial property, or you’re looking to lease a commercial or retail premises, it’s important to understand the nuances of commercial leases.
In Australia, the legislation that governs retail and commercial leases differs from state to state. The size, intended use of the property, age of the property, and location of the property will all play a role in determining the terms of the lease. For both parties, understanding the requirements of the lease and ensuring that a binding contract exists is essential for protecting the best interests of both the landlord and tenant.
Our accessible, fixed-fee pricing model ensures that you only pay for work that is completed, not time spent watching the clock. Our experienced and knowledgeable team provides guidance and representation for a range of matters including contracts, negotiation, mediation, and litigation.
Types of Commercial Leases That We Handle
Commercial Leases
We provide advice and guidance for a range of commercial leases including office, mixed use properties, hotels, retail, warehouses, showrooms and large format retail, medical and consulting, and much more. From drafting and reviewing initial commercial leases, to assistance with negotiation and terms of the lease, options to renew, and subletting, we provide tailored guidance and support for both landlords and tenants.
Industrial leases
Legal support for industrial leases across a range of properties including warehouses, factories, and large-format commercial premises. Our team can review, advise, negotiate, dispute, and finalise the terms of your lease to secure the best outcome.
Retail Leases
In New South Wales, retail lease agreements are regulated by the Retail Leases Act 1994 (NSW). The Retail Leases Act 1994 will be applicable for all premises with a lettable square meterage of less than 1,000 and for businesses that operate a retail shop business. For retail lease agreements that fall outside of these parameters, it’s especially important to understand and additional obligations that may be imposed by landlords.
Bespoke Legal Advice for Commercial & Retail Lease Agreements
It is important for both tenants and landlords to understand their responsibilities and protect their best interests when negotiating the terms of a commercial and retail lease agreements.
Heathfield Grosvenor Lawyers provide specialist legal guidance for both retail and commercial lease agreements in New South Wales. We have experience across all types of commercial and retail lease agreements including Gross Lease, Modified Gross Lease, Net Lease, Single Net Lease (N Lease), Double Net Lease (NN Lease), Triple Net Lease (NNN Lease), Absolute Net Lease, Percentage Lease – just to name a few.
Get in touch with our team for tailored support across a range of contract, negotiation, dispute resolution, and litigation matters pertaining to both commercial and retail lease agreements in Sydney.
Our Commercial Law
Chris was originally admitted as a solicitor in England & Wales and worked in London for an award winning and highly regarded firm established in 1881.
Tass is a lawyer with over 30 years experience. He has been a solicitor, a barrister and an industrial advocate.
Rebecca Campbell
Rebecca is a Senior Lawyer practicing in commercial and civil litigation.
Frequently Asked Questions
What should I look for when reviewing a commercial lease?
Key areas include rent and review mechanisms, outgoings obligations, permitted use, make-good requirements, assignment and subletting rights, and demolition clauses. Each can have significant financial consequences if overlooked before signing.
What is a make-good obligation in a commercial lease?
A make-good clause requires the tenant to restore the premises to their original condition at lease end. This can be costly if fit-out works were undertaken. The scope of make-good obligations should always be negotiated before the lease is signed.
What is the difference between a retail and commercial lease in NSW?
Retail leases are governed by the Retail Leases Act 1994 (NSW) providing greater tenant protections including mandatory landlord disclosure and restricted outgoings. Commercial leases are primarily governed by the contract itself with fewer mandatory protections.
Can a landlord increase rent during a lease in NSW?
Yes, subject to the rent review mechanism in the lease. Common methods include fixed percentage increases, CPI-linked reviews, or market rent reviews. The Retail Leases Act imposes specific restrictions on certain review types for retail leases.
Do I need a lawyer to sign a commercial lease?
You are not legally required to, but it is strongly advisable. Commercial leases are complex documents with long-term financial implications. HG Law reviews and negotiates commercial and retail leases across NSW on a fixed-fee basis.
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