Western Australia Commercial Landlord Required Disclosures

Disclosure is one of the most heavily regulated areas for commercial landlords in Western Australia, particularly for retail shop leases. The Commercial Tenancy (Retail Shops) Agreements Act 1985 (effective 1 September 1985) mandates comprehensive pre-lease disclosures designed to ensure tenants enter into leases with full knowledge of their rights and obligations.

Retail Shop Lease Disclosures

Pre-Lease Documentation Package

Before signing a retail shop lease, the landlord must provide the prospective tenant with three critical documents. Importantly, the Disclosure Statement must be provided at least 7 days before the lease is executed:

Disclosure Statement Contents

The disclosure statement must include (at minimum):

• The proposed rent and any rent review provisions.
• Details of outgoings the tenant will be required to pay (e.g., council rates, water rates, insurance, strata levies).
• Any fit-out or make-good obligations.
• Details of any existing or proposed alterations to the shopping centre or surrounding area that may affect the tenant's business.
• Any guarantees or indemnities required from the tenant.

Consequences of Non-Disclosure

If a landlord fails to provide the disclosure statement or provides one that is false, misleading, or incomplete:

• The tenant may terminate the lease within 6 months after entering into the lease.

• The tenant may seek compensation from the State Administrative Tribunal (SAT).
• The landlord may lose the right to enforce certain lease terms.

Annual Outgoings Statement

After the lease commences, the landlord must provide the tenant with an annual statement of outgoings reconciliation within a specified timeframe. The tenant's share of outgoings cannot exceed their proportionate share of the premises.

Non-Retail Commercial Lease Disclosures

For commercial leases that fall outside the Retail Shops Act, there are no statutory disclosure requirements beyond general obligations under the Australian Consumer Law (ACL) not to engage in misleading or deceptive conduct.

However, best practice dictates that landlords provide:

• A comprehensive heads of agreement or letter of offer detailing all financial obligations.
• Environmental or contamination reports (if applicable).
• Details of any planned building works or developments.
• Information about building services, access, and shared facilities.

Option to Renew Notifications

For retail leases with an option to renew, the landlord must notify the tenant of the option expiry date between 6 and 12 months before it falls due. Failing to provide this notification may result in the tenant's option period being extended.

How Landager Helps

The disclosure process for WA retail leases is extensive and time-sensitive. Missing the 7-day pre-lease deadline or providing an incomplete disclosure statement can expose you to lease termination and compensation claims. Landager's commercial lease platform helps you generate compliant disclosure statements, track the 7-day delivery requirement, and store all signed documentation securely—ensuring your disclosures are always complete and on time.

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