Retail Leases Comparative Analysis
For a retail landlord or retail tenant, retail tenancy legislation can be a minefield, a trap for young players and a downright headache. The fact that each State has its own Act (each inconsistent with the other, and each inescapable), makes life hard for everyone.
We have tried to make our job and yours easier by preparing a user-friendly analysis of retail tenancy legislation.
The analysis allows you to compare provisions of the legislation in one jurisdiction against legislation in other jurisdictions.
This update is current for all jurisdictions as at 1 January 2026.
Developments since 1 January 2025
In Queensland, the new Property Law Act 2023 (the New PLA), commenced on 1 August 2025. Whilst it does not materially amend the Queensland Retail Shop Leases Act, it supersedes the Property Law Act 1974 and is a significant overhaul aimed at updating the property laws in Queensland. Some key changes which landlords and tenants should be aware of include standard lease terms which will be implied in all commercial leases including retail leases (unless excluded), and changes to limitation periods from 12 years to 6 years for an action brought under a deed.
In South Australia, the prescribed rental threshold for exclusion from the application of the South Australian Act increased to $420,000 (ex GST) from 1 July 2025. The Statutes Amendment (Small Business Commission and Retail and Commercial Leases) Act 2024 (SA) introduced further changes from 1 July 2025, restructuring the dispute resolution process and excluding additional leases from the operation of the Act. It also extended the section 18(2) warranty exclusion of fitness for purpose to renewals and extensions of leases. The analysis below has been updated to include relevant changes.
In a move to crack down on the illicit tobacco trade, legislation has been passed in New South Wales, Queensland and South Australia giving landlords a statutory right to terminate a lease if a closure order against the tenant's premises is in effect. Each jurisdiction has a slightly different approach to notice periods and consequences. This analysis does not deal with these changes as they are not contained in the retail leasing legislation.
Further changes proposed or still on the table include :
In Tasmania, the Retail Leases Act 2022 (Tas), drafted to modernise Tasmania’s regulation of retail leases and being the first substantive review since 1998, was assented to on 14 December 2022. Section 88 of the new Act is already in force, so that the current Fair Trading (Code of Practice for Retail Tenancies) Regulations 1998 (Tas) referred to in this analysis are still to be taken to be regulations under the Act until they are rescinded. The rest of the new Act, and the new regulations which are still being developed, including provisions relating to disclosure requirements and the calculation and adjustment of rent, are due to commence on proclamation, which remains outstanding some 3 years after the initial date of assent. There have been discussions regarding potential amendments being made to the Act before it comes into force.
In Western Australia, the statutory review of the Commercial Tenancy (Retail Shops) Agreements Act 1985 report (officially tabled in Parliament in October 2024) has not yet produced an amending Bill. In New South Wales, the Retail Leases Amendment (Review) Bill 2025 [NSW] was introduced on 14 October 2025 to incorporate the first tranche of recommendations following a statutory review of the Retail Leases Act 1994 (NSW). If passed, consequential amendments to the Act will include:
clarification that premises used for an excluded use, but ancillary to operation of the retail shop and to which the same lease applies, will constitute a retail shop;
a requirement for the proposed lease to be available for inspection (and not only in the landlord's possession) before premises are advertised or offered for lease;
a termination right (within six months of lease commencement) for a tenant to whom an incomplete or misleading landlord DS was provided or to whom a landlord DS was not provided in accordance with the Act; and
omission of the excluded uses schedule (Schedule 1A), which we understand is proposed on the basis excluded uses will be governed by the regulations.
The changes to the Unfair Contract Terms regime are also relevant to retail leases, and landlords and tenants will need to take them into account in negotiations and dealings. The potential application of the ACCC Merger regime should also be considered.
Clayton Utz has extensive expertise in acting for landlords and tenants on retail tenancy matters and on shopping centre and commercial property acquisitions, joint ventures, sales and development matters generally.
If we can assist you in any aspect of retail or other developments or business arrangements, please refer to the Contacts page for the lawyers in your State.