35Rent reviews generally

35 Rent reviews generally (1) If a retail premises lease provides for a review of the rent payable under the lease or under a renewal of the lease, the lease must state— (a) when the reviews are to take place; and (b) the basis or formula on which the reviews are to be made. (2) The basis or formula on which a rent review is to be made must be one of the following— (a) a fixed percentage; (b) an independently published index of prices or wages; (c) a fixed annual amount; (d) the current market rent of the retail premises; (e) a basis or formula prescribed by the regulations. Note to s. 35(2) amended by No. 82/2005 s. 19(1). (3) A provision in a retail premises lease is void to the extent that it purports to preclude, or prevents or enables a person to prevent, the reduction of the rent or to limit the extent to which the rent may be reduced. (4) However, subsection (3) does not apply to a provision that uses— (a) a basis or formula referred to in subsection (2)(a), (b) or (c); or (b) a prescribed basis or formula referred to in subsection (2)(e) that is also prescribed as a basis or formula to which subsection (3) does not apply. (5) A rent review is to be conducted as early as practicable within the time provided by the lease. If the landlord has not initiated the review within 90 days after the end of that time, the tenant may initiate the review. (6) A rent review provision in a retail premises lease is void if the lease does not specify how the review is to be made. S. 35(7) amended by No. 82/2005 s. 19(2). (7) If a provision in a retail premises lease that provides for a review of the rent payable under the lease does not comply with subsection (2) or is void under subsection (6), the rent is to be— (a) as agreed between the landlord and tenant; or S. 35(7)(b) amended by No. 16/2017 s. 37. (b) if there is no agreement within 30 days after the landlord gives the tenant, or the tenant gives the landlord, a written notice specifying an amount of rent for the purposes of the review, the amount determined by a specialist retail valuer appointed by the Small Business Commission as the current market rent of the retail premises. (8) The landlord and tenant are to pay the costs of a valuation referred to in subsection (7)(b) in equal shares.