If you are considering starting or purchasing a business and entering into or taking over a retail or commercial lease of premises then it is imperative to check that the local Council permits the business use under zoning laws. Otherwise, you may end up incurring substantial costs and not being able to operate at all.
The first step is to ask the landlord or any existing tenant of the premises for a copy of the Development Approval confirming that the proposed or current business use is allowed. If there isn’t one then you will have to lodge a Development Application with the Council. Please be aware that just because a tenant is conducting the same business as the one you intend, that is no proof that the use is permitted.
If it turns out that no Development Approval is forthcoming and a Development Application has to be lodged then you should obtain the Development Approval before entering into a new lease or make the new lease conditional upon the Development Approval being received within a certain amount of time, failing which you can terminate the lease. If you enter into a lease without having obtained the Development Approval in advance or do not have the protection of the said condition then you will be stuck with the lease and be liable for rent and other moneys under it without being able to operate your business!
Of course, the wise approach is to engage a lawyer to guide you though this and any other issues relating to a proposed lease.
September 2025