For our property clients, these are challenging times and we are here to make sure that you receive appropriate support. We have outlined below an area of immediate concern which we encourage you to review and contact us if you require further advice.
Leases
We have already seen landlords and tenants suffering from the negative impact of Covid-19. Some tenants are not able to pay rent and have asked for a reduction/abatement and some landlords have had trouble keeping up with their mortgage and loan repayment.
It is a good time now to review your lease and/or loan agreement to understand your current position and what you can do to keep your business afloat (if you are a landlord) or to remain in your rental property (if you are a tenant).
Although all agreements should be considered on their own merit, there are generally helpful covenants in your leases or loan agreement that will offer relief during unexpected circumstances occurring through neither party’s fault.
The big 4 banks have also extended assistance to businesses and individual who have trouble paying back their loans and mortgages.
Further, the State and Federal Government have been discussing on legislating temporary relief package for tenants and landlords. We are following these developments closely and will be in a position to advise you on the details once these measures have been carried out.
