Queensland Commercial Lease Guide (Australia)

Commercial Lease Guide for Queensland

A practical, tenant-focused guide to Queensland commercial leases — not legal advice.

Last reviewed: May 26, 2026 by the BizLeaseCheck Editorial Team

Not legal advice. Use this as a checklist and discuss with a qualified Australian professional.

What to know before you sign

Queensland retail leases are governed by the Retail Shop Leases Act 1994 (RSLA). Section 21B sets a 5-year minimum term, and section 22 requires a Disclosure Statement at least 7 days before lease signing. Solicitor and financial advice certificates are mandatory in many situations.

Land tax cannot be recovered from retail tenants in Queensland — section 7 makes this clear. Office, industrial and large-format retail leases sit outside the RSLA and operate as fully commercial agreements.

Major markets

Where commercial activity concentrates.

Brisbane CBD
Fortitude Valley
South Bank
Gold Coast
Sunshine Coast
Cairns
Townsville

Common lease types

Typical structures and what to watch.

Retail shop lease under the RSLA — disclosure + 5-year minimum
Office lease (commercial; CPI/fixed/market review combinations)
Industrial / logistics lease (net + outgoings, 5–10 year terms)
Agreement to Lease (binding pre-lease commitment)

Cost drivers

Items that often create surprise bills.

Outgoings (council rates, water, building insurance, repairs — land tax excluded for retail)
10% GST on rent and outgoings
Annual CPI or fixed % reviews; market review at option exercise
Bank guarantee 3–6 months gross rent + outgoings + GST
Make-good and reinstatement at end of term
Promotion levy in shopping centres

Key things to watch in Queensland

Every Australian state and territory has its own Retail Leases Act framework. Here are top issues we see for tenants in Queensland:

Retail Shop Leases Act 1994 (QLD)

Queensland regulates retail leases under the Retail Shop Leases Act 1994. Section 21B imposes a 5-year minimum term and section 22 requires a Disclosure Statement at least 7 days before signing. Solicitor and financial advice certificates are also mandatory in many cases.

Land Tax Not Recoverable

Queensland prohibits landlords from passing land tax to retail tenants under s.7 of the RSLA. Confirm the outgoings definition explicitly excludes it.

QCAT for Retail Disputes

The Queensland Civil and Administrative Tribunal (QCAT) handles retail tenancy disputes, usually after mediation through the Queensland Small Business Commissioner.

Negotiation checklist

Disclosure Statement under s.22

The landlord must give a Disclosure Statement at least 7 days before signing. The tenant must give a Tenant Disclosure Statement in reply. Use the landlord’s disclosure as the binding outgoings baseline — material misstatements give termination rights.

Refuse any land tax recovery

Section 7 prohibits recovery of land tax from retail tenants in QLD. Audit your outgoings statement and reject any line item that includes or re-labels land tax.

Lawyer and financial advice certificates

Many QLD retail leases require certificates from a solicitor and accountant confirming the tenant has received advice on lease terms and financial impact. Don’t sign these as a formality — use the certificate process as a real review.

Ratchet clauses are banned (s.36)

Retail lease rent cannot be ratcheted on a market review. For non-retail leases (office, industrial), negotiate this out manually — a ratchet is one-way risk.

Bank guarantee with capped drawdown

Cap landlord drawdown rights to defined monetary defaults, require notice before drawdown, and set a hard return deadline (30–60 days post-expiry and make-good).

Define make-good and avoid "original condition"

Push back on shell/original condition make-good. Negotiate to "good repair and condition" with reasonable wear and tear and attach a photographic Schedule of Condition at handover.

Option to renew — 6 months notice typical

Confirm the option notice window (often 6 months) and review mechanism. Diary the exercise date the day you sign — missed options extinguish entirely.

Common landlord traps

Uncapped outgoings: Council rates, water, insurance and repairs can escalate without a cap — and in some states, land tax sneaks in disguised as another line item.
Aggressive make-good: "Base building" or "original condition" make-good is the most expensive end-of-lease surprise — define the standard precisely.
Missed option notice: Renewal options typically require strict written notice (often 6 months). Late exercise extinguishes the option entirely — diary the date at signing.
Bank guarantee without return deadline: Open-ended landlord drawdown rights and no clear post-expiry return deadline can leave your guarantee locked up indefinitely.

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Official resources

Retail Shop Leases Act 1994 (QLD)Queensland Small Business Commissioner Queensland Civil and Administrative Tribunal (QCAT)Business Queensland — leasing a shop

Other regions

Frequently asked questions

Does the Retail Shop Leases Act apply to my Queensland lease?

It applies to "retail shops" of less than 1,000 sqm used wholly or predominantly for retail business defined in Schedule of the Act. Some categories (large-format, certain professional services) are excluded — confirm coverage early.

Can my QLD landlord pass on land tax?

Not for retail leases — s.7 prohibits land tax recovery from retail tenants. Office and industrial leases can include land tax unless negotiated out.

What is the typical bank guarantee in Brisbane?

Three to six months gross rent (rent + outgoings + GST) is typical. Negotiate amount, drawdown triggers, and post-expiry return timeline.

Does BizLeaseCheck provide legal advice?

No. BizLeaseCheck flags common QLD lease risks but is not legal advice. Use it alongside a qualified solicitor — particularly for the mandatory lawyer’s certificate.