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COMMERCIAL VCAT CASES CONCERNING RETAIL PROPERTY ISSUES

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As an ongoing service to clients we will be providing you with details of VCAT cases every few months concerning retail property issues.

Here are three cases which may be of interest to you from the Building and Property List at VCAT which are summarised below:

1. FNB Hotel Pty Ltd v Hotel Carringbush Pty Ltd (Building and Property) [2024] VCAT 426 (7 May 2024)

This case dealt with a costs application against a landlord who sought performance under the terms of the lease from the tenant for alleged breaches yet failed to serve the appropriate notices. In this case the tenants claim for costs was successful.

Further details can be viewed here.

2. Pollio Family Pty Ltd v Faustein (Building and Property) [2024] VCAT 446 (10 May 2024)

This case dealt with several issues including the validity of a Covid 19 rent relief claim, entitlement to terminate the lease and damages in relation to a pharmacy in the CBD. The claim was substantial and the landlord was successful.

Further details can be viewed here.

3. Lu v Kesaco Pty Ltd (Building and Property) [2024] VCAT 295 (2 April 2024)

This case dealt with a claim by the landlord for arrears of rent and outgoings. In this case the landlord was not able to prove that rent was payable dating back several years. Also, the failure by the landlord to produce annual section 46 statements prevented the landlord from claiming arrears of outgoings resulted in the landlord’s claim being substantially reduced.

Further details can be viewed here.

4. Cupp Pty Ltd v Genovese Investments Pty Limited (Building and Property) [2024] VCAT 304 (3 April 2024)

This is a case concerning Covid 19 rent relief under the regulations at that time. In this instance the tenant was successful with a straight waiver rather than a part waiver and deferment.

Further details can be viewed here.

 

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Nikki Gervasi | Real Estate Agency in Melbourne | Nicole Gervasi Property Group

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Director of Nicole Gervasi

Nicole has led over $1 billion in property transactions, building a future-focused business driven by repeat and referral clients. Known for her strategic mindset and strong national and international network, she has built a reputation for pushing boundaries and delivering results. Passionate about the art of negotiation, Nicole helps clients unlock long-term property growth with confidence and clarity.

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FAQs

There are different ways to value a property, including an agent appraisal, a bank valuation and other automated valuations.

We use many different data points to estimate a value.

We analyse a whole suite including;

  • property type (i.e. house, townhouse, strata title etc)
  • land size and location
  • comparable sales (i.e. similar homes that have sold nearby)
  • market trends, current and historical
  • property characteristics, such as the number of bedrooms, bathrooms, garages, and the size of the property’s footprint.

We also overlay data from government bodies and other sources – pinpointing the value of a home by looking at all of its components – land plus building.

Rather than look at what season to sell it, there are other major factors that drive property values up and down.

  • Supply and demand in the current property market (Your current property market)
  • Location
  • Interest Rates
  • Property features, size 7 type
  • Property & Land potential
  • First impressions and emerging trends: For example, don’t underestimate street appeal, or if there is a policy momentum behind an emerging trend, such as energy efficiency features.
  • The state of the economy

When selling your home, there are various approaches to consider that can help you maximize both the speed of sale and the sale price. One method is selling off-market, where interested buyers and investors are invited to view the property and make an offer before it’s publicly listed for sale. While this approach can be advantageous in some cases, it’s important to also consider the potential downsides before deciding if it’s right for you.

We aim to secure a good tenant for the property as soon as possible. In our experience, a well presented, well priced property will go relatively quickly. Factors such as rental vacancies in the area, property features, owner expectations, condition of the property, presentation and price will all contribute to the time a property is on the market.

We begin by verifying the applicant’s identity through a 100-point ID check and request rental references from their current agents or landlords to assess their history as tenants. Employment checks are conducted to confirm their financial stability and ability to meet rental payments. Additionally, we perform a detailed search to ensure they have no history of payment defaults, tenancy disputes, or property damage.

During our routine inspections we compile a detailed inspection 3D full HD walk through that also includes photographs outlining the condition of the property and note any preventative maintenance that is required and any damages that have occurred. You will receive one of these every six (6) months. We always update our owners on how the tenants have treated/cared for the property throughout their tenancy when it comes to lease renewal. Maintenance that has been addressed at a property will be inspected and we discuss with our tradesman to ensure that all work completed has been completed to a high standard.

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