Publications - COVID-19
Further updates on Commercial Leasing
17 January 2022
The Covid pandemic continues to impact on commercial and retail leasing. The NSW Government recently passed two pieces of amending legislation to the Retail & Other Commercial Lease (Covid-19) Regulation 2021 (NSW), being the Retail & Other Commercial Leases (Covid-19) Amendment (Impacted Lessees) Regulation 2021 (NSW) (available here) and the Retail & Other Commercial Leases (Covid-19) Regulation (No 2) 2021 (NSW) (available here), published on 1 and 3 December 2021 respectively.
The new legislation preserves the eligibility requirements for “impacted lessees” so that those eligibility requirements will continue until the end of the “prescribed period”, which is 13 January 2022, despite JobSaver Payments ending on 30 November 2021.
This means that, after 30 November 2021, if a lessee would have otherwise qualified for a 2021 JobSaver Payment or 2021 Covid-19 Micro-business grant (if those payments were still available) then that lessee must still be considered to comply with the eligibility requirement under the legislation.
The existing legislative rent relief scheme is otherwise preserved and the newly amended. regulations allows tenants to continue to seek rent relief from Landlords so that rent relief negotiated is applicable retrospectively for the “prescribed period” of 13 July 2021 to 13 January 2022 (despite the prescribed period now having ended). Please see our earlier update on commercial leasing for further information about the rent relief scheme. In the present Omicron environment, we predict this legislation will be given an extended effect past 13 January 2022 and any future potential amending regulations will likely have retrospective application.
Some assistance (although not great) continues to be available to impacted Landlords. More information about the support packages offered by the NSW Government is available here.
Where can I find more information?
If you would like help with understanding your rights and obligations as an agent, landlord or tenant, or if you require assistance with any other legal matters, please contact us.
For more of our COVID-19 legal alerts, updates and publications, including the impact of COVID-19 on matters relating to commercial property, please click here. Alternatively call us on +61 2 9233 7299.