Lease Agreement Template Western Australia

COMMERCIAL LEASE AGREEMENT (WESTERN AUSTRALIA)

1. DOCUMENT CONTROL & METADATA

• Document Title: Standard Commercial Lease Agreement (Western Australia)
• Effective Date: [Effective Date, e.g., 01 November 2023]
• Version: 4.2-WA
• Jurisdiction: State of Western Australia (Governed by the Commercial Tenancy (Retail Shops) Agreements Act 1985 [if applicable] and general property law of WA).

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2. OFFICIAL NOTICE & LEGAL DISCLAIMER

• Legal Counsel Notice: This document is a template intended to serve as a foundational legal instrument for commercial property leasing within the State of Western Australia. Commercial leasing is subject to complex statutory frameworks, including retail tenancy legislation where applicable.
• Independent Advice Warning: Parties execute this instrument acknowledging that the drafting counsel strongly recommends obtaining independent legal, financial, and taxation advice prior to execution. Modifications may be required based on the specific classification of the Premises (Retail vs. Non-Retail Commercial).

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3. PARTIES & DEFINITIONS

3.1 The Parties

1. Lessor (Landlord): [Full Legal Name of Lessor / Company Name], ACN/ABN: [Insert ACN/ABN], of [Registered Office Address] (herein referred to as the "Lessor").
2. Lessee (Tenant): [Full Legal Name of Lessee / Company Name], ACN/ABN: [Insert ACN/ABN], of [Registered Office Address] (herein referred to as the "Lessee").
3. Guarantor (If Applicable): [Full Legal Name of Guarantor], of [Residential/Registered Address] (herein referred to as the "Guarantor").

3.2 Key Definitions and Variable Terms

• Premises: The real property situated at [Street Address, Suburb, State, Postcode], including all fixtures, fittings, and improvements thereon, more particularly described in Item 1 of the Schedule.
• Permitted Use: [Specific description of business operations, e.g., Professional Office / General Retail] and for no other purpose.
• Term: A period of [Number] [Years/Months], commencing on [Commencement Date] and expiring on [Expiration Date] (the "Term").
• Holding Over: Tenancy at will following expiration, subject to Clause 5.
• Base Rent: $, payable [Monthly / Annually] in advance.
• Rent Review Mechanism: [Insert mechanism, e.g., Fixed 3% increase annually / CPI].
• Security Deposit / Bank Guarantee: $, equal to [Number] months' rent plus GST.
• Outgoings Proportion: [Percentage, e.g., 10%]% of the total building outgoings as detailed in Schedule 2.

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4. OPERATIVE CLAUSES & TERMS

1. GRANT OF LEASE

1.1 The Lessor leases the Premises to the Lessee for the Term, subject to the reservations, covenants, conditions, and stipulations contained in this Agreement. 1.2 The Lessee accepts the Premises in its current physical condition as of the Commencement Date, barring any latent structural defects notified to the Lessor in writing within fourteen (14) days of entry.

2. RENT AND PAYMENT OBLIGATIONS

2.1 The Lessee shall pay the Base Rent to the Lessor, clear of any deduction, set-off, or counterclaim, by way of electronic funds transfer (EFT) to the nominated bank account of the Lessor on or before the first day of each calendar month. 2.2 If any rental payment is outstanding for more than seven (7) days, the Lessee shall pay interest on the overdue amount at the rate of [Insert Rate, e.g., 10%]% per annum calculated daily from the due date until the date of actual payment. 2.3 The Lessee shall pay all Goods and Services Tax (GST) applicable to the rent and outgoings concurrently with those payments.

3. OUTGOINGS

3.1 The Lessee shall pay the Outgoings Proportion relating to the operation, maintenance, security, cleaning, council rates, water rates, insurance premiums, and management of the building/complex as itemized by the Lessor. 3.2 Outgoings statements shall be provided by the Lessor to the Lessee on a [Quarterly / Annual] basis, with reconciliation occurring at the end of each financial year.

4. SECURITY DEPOSIT AND BANK GUARANTEE

4.1 Upon execution of this Agreement, the Lessee shall provide the Security Deposit or an unconditional Bank Guarantee issued by an Australian trading bank in favor of the Lessor as security for the due and punctual observance of the Lessee’s obligations. 4.2 The Lessor may draw upon the Security Deposit to remedy any default, breach of covenant, or unpaid outgoings by the Lessee, following which the Lessee must replenish the deposit within seven (7) business days of written notice.

5. USE OF PREMISES

5.1 The Lessee shall use the Premises strictly for the Permitted Use and shall comply with all relevant Western Australian statutes, local government bylaws, and planning approvals. 5.2 The Lessee shall not permit any noxious, offensive, or illegal trade or activity to be conducted on the Premises.

6. MAINTENANCE, REPAIRS, AND ALTERATIONS

6.1 The Lessee shall, at its own expense, keep and maintain the interior of the Premises in good, clean, and tenantable repair (fair wear and tear excepted). 6.2 The Lessor shall be responsible for the structural maintenance of the building, including foundations, exterior walls, and roof structures. 6.3 The Lessee shall not make any structural alterations, additions, or fixations to the Premises without obtaining the prior written consent of the Lessor, which consent shall not be unreasonably withheld.

7. INSURANCE AND INDEMNITY

7.1 The Lessee shall, at its own expense, maintain public liability insurance for a minimum coverage of $20,000,000 per single occurrence, noting the interest of the Lessor. 7.2 The Lessee occupies the Premises at its own risk and indemnifies the Lessor against all claims, losses, damages, liabilities, and legal costs arising from any injury, loss, or damage occurring on the Premises, except to the extent caused by the gross negligence or willful default of the Lessor.

8. DEFAULT AND TERMINATION

8.1 If the Lessee:

• (a) Fails to pay Base Rent or Outgoings for fourteen (14) days after becoming due;
• (b) Breaches any other essential term or covenant of this Agreement and fails to remedy same within fourteen (14) days of receiving written notice; or
• (c) Enters liquidation, external administration, bankruptcy, or makes an assignment for the benefit of creditors, then the Lessor may, at its absolute discretion, re-enter the Premises, forfeit the Term, and terminate this Agreement without prejudice to any antecedent claims or rights.

9. GOVERNING LAW

9.1 This Agreement shall be governed by, construed, and enforced in accordance with the laws of the State of Western Australia, and the parties submit to the exclusive jurisdiction of the courts of Western Australia.

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5. SIGNATURES & ACKNOWLEDGMENT BLOCK

SIGNED by the Lessor in the presence of:

_____________________________________
Witness Signature

_____________________________________
Witness Name (Print)

_____________________________________
Lessor Signature / Authorized Representative

_____________________________________
Title / Capacity

_____________________________________
Date

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SIGNED by the Lessee in the presence of:

_____________________________________
Witness Signature

_____________________________________
Witness Name (Print)

_____________________________________
Lessee Signature / Authorized Representative

_____________________________________
Title / Capacity

_____________________________________
Date

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(If applicable)
SIGNED by the Guarantor in the presence of:

_____________________________________
Witness Signature

_____________________________________
Witness Name (Print)

_____________________________________
Guarantor Signature

_____________________________________
Date

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6. STEP-BY-STEP EXECUTION GUIDE

1. Verification of Facts: Populate all bracketed fields ([...]) in Sections 3 and 4 with verified corporate, financial, and spatial data. Ensure compliance with Western Australian retail tenancy thresholds if the premises fall under the Commercial Tenancy (Retail Shops) Agreements Act 1985.
2. Execution Formalities: Print two (2) original counterparts of this document. Ensure all execution blocks are signed by duly authorized officers (pursuant to Section 127 of the Corporations Act 2001 (Cth) if corporate entities are involved) in the presence of independent adult witnesses.
3. Stamp Duty & Registration: Check current Western Australian RevenueWA requirements regarding the assessment and notation of transaction duties (if applicable) and register the lease at Landgate WA if the term (including options) exceeds three (3) years.
4. Post-Execution Management: Deliver one fully executed counterpart to the Lessee, retain the original counterpart and original Bank Guarantee in the Lessor's secure records, and institute a calendar tracker for Rent Reviews and Term Expiration dates.