Retail Leasing
Retail lease rules
change the deal.
Advice for Victorian retail landlords and tenants on when the Retail Leases Act applies and how it affects lease documents, disclosure and disputes.
Retail Leases Act
The label on the lease is not enough.
A document called a commercial lease may still be a retail premises lease. The question depends on the premises, the permitted and actual use, the tenant and any statutory exclusions.
If the Retail Leases Act 2003 (Vic) applies, it can affect disclosure, lease preparation costs, outgoings, rent reviews, assignment, options, dispute resolution and whether some lease terms can operate as written.
The Act matters before signing, during the term and when a dispute arises. A landlord may need to provide the correct lease pack and disclosure at the right time. A tenant may need to understand which charges are recoverable, how rent reviews work and whether assignment or renewal rights have been properly handled.
We advise landlords and tenants on the threshold question first, then check the lease pack, disclosure statement, brochure, commercial terms and proposed process against the Act.
Threshold Question
First decide whether the Act applies.
The retail lease analysis is not a branding exercise. Offices, clinics, showrooms, hospitality premises, service businesses and mixed-use spaces can all raise retail lease questions. The answer may depend on the use, the tenant's business, the premises, the lease term and any exclusions.
Once the Act applies, some commercial assumptions change. Certain outgoings may not be recoverable, rent review clauses may need to operate within statutory limits, assignment has a prescribed process and many disputes must pass through the Victorian Small Business Commission before VCAT.
For Landlords
Confirm the regime before issuing documents, pricing outgoings, requiring security or refusing consent to assignment.
For Tenants
Check disclosure, recoverable outgoings, rent review, options, relocation, demolition and assignment before signing or responding to a dispute.
During The Term
The Act can affect rent review disputes, repair issues, outgoings reconciliations, assignment and renewal notices.
Disputes
Many retail leasing disputes require the VSBC process before VCAT, unless urgency or jurisdiction points to another forum.
Retail Lease Issues
What the Act can affect.
Retail leasing rules can override or regulate core commercial terms.
Disclosure
The correct lease, information brochure and disclosure statement should be provided at the right stage.
Outgoings
Recoverable costs, estimates, reconciliations and supporting information require careful treatment.
Rent Review
Market review mechanisms and rent review timing can be regulated by the Act.
Options
Landlord reminder notices and option deadlines can affect renewal rights.
Assignment
Consent to assignment and disclosure on business sale must be managed carefully.
Disputes
Many retail leasing disputes must go through the Victorian Small Business Commission before VCAT.
How We Help
Retail lease advice for both sides.
We apply the Act to the actual premises and documents, then advise on the immediate commercial consequence.
Act Applies Assessment
Assessing whether the Retail Leases Act 2003 (Vic) applies, including premises use, exclusions, tenant structure and mixed-use issues.
- Premises Use
- Statutory Exclusions
- Mixed Use
- Regime Advice
Disclosure & Lease Pack
Reviewing proposed lease documents, disclosure statements, information brochures, outgoings estimates and special conditions before signing.
- Disclosure Statement
- Information Brochure
- Lease Pack
- Outgoings
Retail Lease Disputes
Advising on outgoings, rent reviews, options, assignment, repair, make-good and VSBC or VCAT pathways where the retail lease relationship has broken down.
- VSBC
- VCAT
- Rent Reviews
- Assignment
Common Questions
Retail leases, answered.
The first question is whether the Act applies. The next is what that changes for the documents and process.
What is a retail premises lease?
It is a lease of premises that satisfy the statutory test under the Retail Leases Act 2003 (Vic), subject to exclusions. The analysis depends on the premises, use, tenant and surrounding circumstances.
Can an office lease be a retail lease?
Potentially. Some service businesses operate from office-style premises. The use and statutory definition matter more than the physical appearance of the premises.
What must a landlord give a prospective retail tenant?
The required material commonly includes the proposed lease, the current Retail Leases Information Brochure for Tenants and a disclosure statement. Timing and content should be checked before signing.
What changed on 1 July 2026?
For new Victorian retail lease negotiations beginning on or after 1 July 2026, landlords must provide the updated VSBC Retail Leases Information Brochure for Tenants.
Can a landlord recover land tax?
Retail lease outgoings are regulated. Whether a particular cost can be recovered depends on the Act, the lease, disclosure and the nature of the outgoing.
What if the disclosure statement is wrong?
Incomplete or misleading disclosure can create statutory rights and remedies. The consequence depends on the defect, timing and surrounding circumstances.
How are retail lease disputes resolved?
Many retail disputes require the Victorian Small Business Commission process before VCAT. Urgent or jurisdictionally different matters may need another path.
Can the landlord refuse assignment?
Consent may be refused only on permitted or reasonable grounds, depending on the lease and Act. The proposed assignee, financial capacity and disclosure material are usually central.
Do retail leases need a five-year term?
Minimum term rules may apply, subject to statutory exceptions and tenant certificates. The term and any options should be checked before signing.
Does the Act apply to a licence?
A document called a licence can still create lease-like rights depending on substance. The arrangement should be reviewed before assuming the Act does or does not apply.