Valuer update: Supreme Court upholds CB Cold Storage decision

A warehouse or storage facility lease is likely to fall under the Retail Leases Act 2003 (Vic)

In brief: As noted in my last Valuer Update, last month the Court of Appeal of the Supreme Court upheld the decision in IMCC Group v CB Cold Storage Pty Ltd. The effect of this decision is that a warehouse or storage facility lease is likely to fall under the Retail Leases Act 2003 (Vic) (Act), assuming that the lease is not to a public listed company, or the rent and outgoings exceeds $1 million per annum at the time the lease is entered into.

What you need to know:

• If you are valuing a premise that is leased as a storage facility or warehouse, you need to consider whether the lease is governed by the Act.