Essentials for Commercial Property Leasing in Western Australia

Navigating commercial property leasing can be a complex and high-stakes process for business owners in Western Australia.

Whether you’re a landlord seeking to lease out a commercial property or a tenant searching for the right commercial space, having an experienced commercial property lawyer by your side can make all the difference.

Commercial leases often involve intricate legal language, long-term obligations, and financial commitments, making professional legal guidance crucial.

Legal advice for commercial property leasing

Lewis Kitson Lawyers have a team of highly experienced property lawyers, who have put together some key aspects to consider when leasing a commercial property in Western Australia:

1. Drafting and reviewing lease agreements

A commercial lease is a legally binding contract that governs the relationship between a landlord (also known as a lessor) and a tenant (also known as a lessee).

These agreements can be lengthy and filled with detailed clauses that may not be immediately clear. Our commercial property lawyers can help ensure that the lease agreement is fair, clear, and tailored to your specific needs.

Whether you are the landlord or the tenant, we can help you to:

• Review the terms to ensure they are fair and protect your interests.
• Identify any potentially harmful or ambiguous clauses that could lead to disputes down the road.
• Draft or negotiate specific terms that are advantageous to you, such as rent reviews, renewal options, and maintenance and outgoings responsibilities.

In Western Australia, laws and regulations surrounding commercial leases can be complex, and we can ensure that the agreement complies with applicable legislation.

2. Negotiating lease terms

Commercial leases often involve negotiations on several key terms, including rent, the lease duration, maintenance responsibilities, and the use of the property.

Without commercial lease legal advice, it can be challenging to know where you have room to negotiate or what terms might be detrimental in the long run.

Our experienced Perth commercial lease lawyers can:

• Advise you on what terms are typical in the market and what might be negotiable.
• Help you achieve a better outcome by leveraging our understanding of leasing laws and market trends.
• Ensure that you are not committing to terms that could cause financial or operational difficulties for your business.

Whether you are leasing as a tenant or offering a commercial property as a landlord, our commercial lease legal advice and guidance during the negotiation process can help you to secure the best possible deal.

3. Compliance with legal obligations

Commercial leases are governed by a variety of laws in Western Australia, including the Commercial Tenancy (Retail Shops) Agreements Act 1985, the Property Law Act 1969, and other local council regulations.

These laws are designed to protect both tenants and landlords, and failing to comply with them can lead to costly legal disputes.

We can help you ensure that your lease complies with applicable laws, including:

• Rent and outgoings: Understanding what charges can and cannot be passed onto tenants and how rent increases must be handled.
• Disclosure requirements: Ensuring that any required disclosures are made at the beginning of the lease and throughout the lease term.
• Dispute resolution: Helping you understand your rights and obligations if a dispute arises.

Our experienced team of commercial property lawyers can guide you through compliance issues to prevent misunderstandings or penalties in the future.

4. Managing disputes and evictions

Disputes may arise during the life of a commercial lease, whether over rental payments, maintenance issues, or other contractual breaches.

If you’re a landlord, you may need assistance with eviction processes, and if you’re a tenant, you may need help protecting your rights.

Our team can help with commercial property leasing advice, including:

• Mediation and dispute resolution: Providing expert guidance on dispute resolution without going to court, saving you time and money.
• Evictions and termination: Assisting landlords with legally terminating a lease if the tenant has breached the agreement, or helping tenants challenge an eviction if they believe it is unjust.
• Enforcement of lease terms: Helping both parties enforce the terms of the lease if one party is not meeting their obligations.

When assisting with disputes and legal enforcement, our Applecross-based team at Lewis Kitson Lawyers can help you avoid costly mistakes and streamline the process of commercial leasing in Western Australia.

5. Managing risks

Commercial leases can involve significant financial and legal risks. Without legal advice, you may inadvertently agree to terms that expose your business to unnecessary liability or financial loss.

We can help you identify potential risks, such as:

• Liability for repairs or property damage.
• Ambiguous clauses that may create future disputes.
• Restrictions on subletting or assigning the lease, which could limit your business flexibility.

Our experienced property lawyers can ensure that these risks are mitigated, giving you peace of mind and protecting your investment.

6. Providing long-term guidance

A commercial lease is often a long-term commitment—typically lasting several years. Over the course of the lease, circumstances may change. You may need to renegotiate terms, expand your business, or even terminate the agreement early.

We can provide ongoing commercial property legal advice throughout the lease term, helping you navigate:

• Lease renewals or extensions.
• Changes in market conditions or business circumstances that may require renegotiation of lease terms.
• Legal advice regarding your rights and obligations if you need to exit the lease or modify the agreement.

Our experienced team can provide the support you need throughout the life of the lease.

Protecting your commercial lease interests

Commercial property leasing can be a highly beneficial, yet risky, venture. If you’re involved in a commercial lease in Western Australia, contact Lewis Kitson Lawyers for expert commercial property legal advice and assistance.

Our team of experienced commercial lawyers is here to help you navigate the complexities of commercial property leasing and ensure that your business is set up for success.