The NSW Government will re-introduce the Mandatory Code of
Conduct for Commercial Leasing to mandate rent relief for eligible
tenants impacted by COVID-19.
A Hardship Fund comprising $40million of grants will also be
established to provide individual grants of up to $3,000 for
certain commercial or retail landlords who provide rent waivers to
their tenants of at least the value of the grant and any land tax
relief that the landlord is eligible for under other measures.
The new enabling Regulation will remain in place until 13
January 2022 and landlords will be required to negotiate rent
relief having regard to the Mandatory Code of Conduct. That Code
requires landlords to provide rent relief in proportion to their
tenant's decline in turnover. At least 50% of the relief
granted must be in the form of rental waivers, and the balance can
be by way of a deferral of rent.
