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ARTICLE · 20 MARCH 2017

Is your industrial tenant a retail tenant?

Clayton Utz
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A lease of "industrial" premises was found to be a retail premises lease subject to protections in the Retail Leases Act.

AustraliaReal Estate and Construction
Andrew Norman
Andrew Norman
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A lease of "industrial" premises used for a storage business in an industrial zone has been found to be a retail premises lease subject to the many protections in the Retail Leases Act.

In what many might consider a surprising decision, the Victorian Supreme Court held that a lease of "industrial" premises was a retail premises lease, with the tenant entitled to the protections under the Retail Leases Act 2003 (Vic) (CB Cold Storage Pty Ltd v IMCC Group (Australia) Pty Ltd [2017] VSC 23).

The Act applies to "retail premises" which means "premises that ... under the terms of the lease relating to the premises, are used, or are to be used, wholly or predominantly for ... the sale or hire of goods by retail or the retail provision of services".

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