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Legislative Assembly for the ACT: 2001 Week 3 Hansard (6 March) . . Page.. 712 ..

5

Proposed new clause 105A

Page 53, line 12-

After clause 105, insert the following new clause:

105A Preference to be given to existing tenant

(1) If the lessor proposes to re-lease the premises and the tenant wants to renew or extend the term of the lease, the lessor must give preference under this section to the tenant over other possible tenants for the premises, particularly if there is substantial goodwill in relation to the tenant's business at the premises.

(2) The lessor must assume the tenant wants a renewal or extension of the term of the lease unless the tenant has told the lessor in writing (otherwise than in the lease) within 12 months before the end of the term that the tenant does not want a renewal or extension.

(3) Unless the tenant has told the lessor within that 12 months that the tenant does not want to renew or extend the term of the lease, the lessor must begin genuine negotiations with the tenant for a renewal or extension of the lease-

(a) for a lease longer than 1 year-at least 6 months, and not longer than 12 months, before the end of the term of the lease; or

(b) in any other case-at least 3 months, and not longer than 6 months, before the end of the term of the lease.

(4) The lessor must not offer to lease the premises to someone other than the tenant unless it would be substantially more advantageous to the lessor to lease the premises to the other person rather than renew or extend the term of the lease.

(5) However, the lessor is not obliged to prefer the tenant under this section if-

(a) the lease is for premises in a shopping centre and the lessor reasonably wants to change the tenancy mix within the whole precinct of the shopping centre; or

(b) the tenant has breached the lease substantially or persistently; or

(c) the lessor-

(i) does not propose to re-lease the premises within a period of at least 6 months after the end of the term of the lease; and

(ii) needs vacant possession of the premises during that period for the lessor's own purposes (but not to carry on a business of the same kind as the business carried on by the tenant at the premises).

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Clause 132

Page 63, line 13-

Omit the clause, substitute the following subclause:

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