3 March 2026
A commercial lease is often the single largest commitment a small business makes. In Western Australia, retail tenants get extra protection under the Commercial Tenancy (Retail Shops) Agreements Act 1985 — but only if you know your rights and act within the timeframes.
Does the Act apply to you?
The Act generally applies to retail shop leases below a certain floor area and to premises used wholly or predominantly for the sale of goods or the supply of services by retail. If it applies, several protections are built in automatically and can't be removed by the lease, even if the document says otherwise.
Key protections to know
Among the most important protections: you must be given a disclosure statement and a tenant guide before entering the lease; the landlord can't pass on certain costs unless they were properly disclosed; and there are limits and processes around rent reviews and outgoings.
- A disclosure statement before you commit
- Minimum five-year terms in many cases (including options)
- Rules about how rent reviews can be calculated
- Limits on recovering undisclosed outgoings and certain fees
Before you sign
Read the disclosure statement against the lease, understand the full cost (rent plus outgoings, not just the headline figure), check the make-good obligations at the end of the term, and get advice on anything you don't understand. Small changes negotiated up front are far cheaper than disputes later.
This article is general information only and is not legal advice. Laws change and every situation is different — please contact KD Legal for advice tailored to your circumstances.