Retail Tenancies Reform Regulations 1998

i Retail Tenancies Reform Regulations 1998 S.R. No. 82/1998 TABLE OF PROVISIONS Regulation Page 1. Objectives 1 2. Authorising provisions 1 3. Commencement 2 4. Revocations 2 5. Definition 2 6. Prescribed forms 2 7. Sharing of operating expenses 2 __________________ SCHEDULES 5 SCHEDULE 1—Notice of exercise of option to renew lease 5 SCHEDULE 2—Notice to tenant of structural changes to building 6 ═══════════════ NOTES 7 -- 1 of 8 -- 1 STATUTORY RULES 1998 S.R. No. 82/1998 Retail Tenancies Reform Act 1998 Retail Tenancies Reform Regulations 1998 The Governor in Council makes the following Regulations: Dated: 30 June 1998 Responsible Minister: LOUISE ASHER Minister for Small Business SHARNE BRYAN Clerk of the Executive Council 1. Objectives The objectives of these Regulations are— (a) to prescribe certain forms for the purposes of section 15 of the Retail Tenancies Reform Act 1998; (b) to prohibit a landlord from obtaining payment from a tenant for certain specified items of expense; (c) to prescribe the manner in which certain specified items of expense may be calculated and apportioned to a tenant. 2. Authorising provisions These Regulations are made under sections 15(1), 15(2)(d), 21(5) and 49 of the Retail Tenancies Reform Act 1998. -- 2 of 8 -- S.R. No. 82/1998 Retail Tenancies Reform Regulations 1998 2 3. Commencement These Regulations come into operation on 1 July 1998. 4. Revocations (1) The Retail Tenancies Regulations 19871 are revoked. (2) The Retail Tenancies (Exemption) Regulations 19912 are revoked. (3) Despite their revocation, the Regulations referred to in sub-regulations (1) and (2) continue to have effect for the purposes of any continuing application of the Retail Tenancies Act 1986 as provided by the Retail Tenancies Reform Act 1998. 5. Definition In these Regulations "Act" means the Retail Tenancies Reform Act 1998. 6. Prescribed forms (1) The form prescribed for the purposes of section 15(1) of the Act is set out in Schedule 1. (2) The form prescribed for the purposes of section 15(2)(d) of the Act is set out in Schedule 2. 7. Sharing of operating expenses (1) For the purposes of section 21(5)(a) of the Act, a landlord is prohibited absolutely from obtaining payment from a tenant by way of contribution to shared operating expenses for the following classes of items of expense— (a) expenditure of a capital nature not occasioned as a consequence of the failure by the tenant to observe or perform obligations under the lease; r. 3 -- 3 of 8 -- S.R. No. 82/1998 Retail Tenancies Reform Regulations 1998 3 (b) management fees or commissions in relation to rent collections; (c) insurance premiums in respect of insurance for loss of profits; (d) amounts on account of land tax (or property taxes in the nature of land tax) in excess of the amount that would be payable— (i) if the parcel of land on which the retail premises are situated; or (ii) whether or not the retail premises are separately assessed or valued with respect to land tax (or property taxes in the nature of land tax), where the retail premises comprise part of a building, if the parcel of land on which the building is situated; or (iii) whether or not the retail premises or the parcel of land on which any building of which the retail premises comprise part are separately assessed or valued with respect to land tax (or property taxes in the nature of land tax),where the retail premises are within a retail shopping centre, if the parcel of land on which the retail shopping centre, or the complex of which the retail shopping centre forms part, is situated— were the only land owned by the landlord; or (e) contributions by a landlord to a merchants' association, promotion fund or other similar fund; or (f) interest and charges on money borrowed by the landlord. r. 7 -- 4 of 8 -- S.R. No. 82/1998 Retail Tenancies Reform Regulations 1998 4 (2) For the purposes of section 21(5)(b) of the Act— (a) the calculations for the apportionment to a tenant of classes of items of expense, other than those prohibited by sub-regulation (1), shall be based on the total floor area of the retail premises as a percentage of the total of floor areas of all the retail premises in respect of which the expenses are incurred; (b) expenses incurred in respect of common areas are deemed to be incurred in respect of the total of floor areas of all the retail premises in the retail shopping centre. __________________ r. 7 -- 5 of 8 -- S.R. No. 82/1998 Retail Tenancies Reform Regulations 1998 5 SCHEDULES SCHEDULE 1 Regulation 6(1) Retail Tenancies Reform Act 1998 NOTICE OF EXERCISE OF OPTION TO RENEW LEASE (Section 15(1) of the Retail Tenancies Reform Act 1998) I (tenant) operating the business of and trading as hereby give notice to (landlord) in respect of premises situated at that I hereby exercise my option to renew the lease for those premises for a term beginning on (which is immediately after the end of the current term) and continuing until pursuant to section 15(1) of the Retail Tenancies Reform Act 1998. Date: Signed: being a tenant entitled to exercise this option under section 15(1) of the Retail Tenancies Reform Act 1998. NOTE 1: Before signing this notice the tenant should read section 15 of the Retail Tenancies Reform Act 1998 to see whether or not there is an entitlement to exercise the statutory option and what that entitlement is. NOTE 2: Attention is also drawn to section 15(3) of the Retail Tenancies Reform Act 1998 regarding the need to exercise the statutory option not less than 90 days before the current term ends. NOTE 3: Attention is also drawn to section 15(7) of the Retail Tenancies Reform Act 1998 concerning an assignee's entitlement. __________________ Sch. 1 -- 6 of 8 -- S.R. No. 82/1998 Retail Tenancies Reform Regulations 1998 6 SCHEDULE 2 Regulation 6(2) Retail Tenancies Reform Act 1998 NOTICE TO TENANT OF STRUCTURAL CHANGES TO BUILDING (Section 15(2)(d) of the Retail Tenancies Reform Act 1998) To: (Tenant(s)) of (Retail Premises) Please take notice that at the end of the current term the premises are to be— *(i) demolished; or *(ii) substantially repaired, renovated or reconstructed and the repair, renovation or reconstruction cannot be carried out practicably without vacant possession. *(Delete whichever is not applicable) Your lease is unable therefore to be renewed at the end of the current term. Signed (Landlord) Date NOTE: Attention is drawn to section 15(2)(d) of the Retail Tenancies Reform Act 1998 which requires that this notice must be given to the tenant not less than 90 days before the current term ends. ═══════════════ Sch. 2 -- 7 of 8 -- S.R. No. 82/1998 Retail Tenancies Reform Regulations 1998 7 NOTES 1 Reg. 4(1): S.R. No. 245/1987. 2 Reg. 4(2): S.R. No. 56/1991. Notes -- 8 of 8 --