South Australia Commercial Landlord Required Disclosures

The Retail and Commercial Leases Act 1995 (SA) places substantial disclosure obligations on commercial landlords. These requirements are designed to ensure that prospective tenants—often small business owners—receive clear, transparent financial information before committing to a long-term lease.

Disclaimer: This guide provides general legal information for educational purposes only and does not constitute legal advice. Always consult a licensed solicitor in South Australia for advice specific to your situation. Information last verified: March 2026.

1. The Mandatory Disclosure Statement

Before a retail shop lease is executed, the landlord must provide the prospective tenant with a disclosure statement in the prescribed form. This statement must be provided at least 5 business days before the lease is signed.

The disclosure statement must include comprehensive details such as:

• The proposed rent and how it will be reviewed during the lease term.
• A breakdown of all outgoings the tenant will be required to pay (e.g., council rates, strata levies, insurance, but NOT land tax).
• Details of any fit-out or "make good" requirements.
• Details about the building's structural condition (if known).
• Any current or pending legal proceedings affecting the premises.
• Whether the tenant will be required to join a marketing fund or merchants' association (in a shopping centre context).
• Demolition or renovation plans the landlord is aware of.

Consequences of Failure to Disclose

If the landlord fails to provide the disclosure statement, or if the statement contains a material misrepresentation, the tenant may be entitled to:

• Terminate the lease within a certain period after discovering the non-disclosure.
• Claim compensation for any loss suffered due to the landlord's failure to disclose.

2. The SA Retail and Commercial Leasing Guide

In addition to the disclosure statement, the landlord must provide the prospective tenant with a copy of the Retail and Commercial Leasing Guide published by the Small Business Commissioner.

This guide is a plain-language explanation of the rights and responsibilities of both parties under the Act, covering topics like rent reviews, outgoings, maintenance, and dispute resolution. The purpose is to ensure the tenant fully understands the legal framework before signing.

3. Renewal and Extension Disclosures

For retail shop leases, especially those in shopping centres:

• If the tenant has a preferential right of renewal, the landlord must begin renewal negotiations between 6 and 12 months before the lease expires.
• If a retail lease does not have a right of renewal, the landlord must provide written notice and reasons between 6 and 12 months before the lease expiry.

These long-lead-time disclosure obligations are designed to give tenants sufficient time to plan for the future of their business, whether that means negotiating a new lease, finding alternative premises, or winding down operations.

4. Outgoings Estimates and Audited Accounts

Each year, the landlord must provide the tenant with:

• An estimate of outgoings for the upcoming year.
• An audited statement of actual outgoings for the previous year, allowing the tenant to verify whether they were charged correctly and to receive a refund if they overpaid.

Best Practices for SA Commercial Landlords

1. Use the Prescribed Forms: The Small Business Commissioner provides standard disclosure statement templates. Using these ensures you don't accidentally omit required information.
2. Provide Documents Early: Don't wait until the last minute. Provide the disclosure statement and the Leasing Guide at least 7-10 business days before the proposed signing date.
3. Keep Records of Delivery: Obtain a signed acknowledgment from the tenant confirming they received the disclosure statement and the Leasing Guide. This is your evidence of compliance.

How Landager Can Help

Landager helps you manage your disclosure obligations effortlessly. Our platform stores disclosure statement templates, tracks the 5-business-day pre-signing deadline, and generates reminders for the 6-to-12-month renewal negotiation window, ensuring you never miss a critical disclosure deadline under the Retail and Commercial Leases Act.

Back to South Australia Commercial Laws Overview.