If you’re a commercial tenant in Victoria and you’re preparing to vacate your premises, your makegood provision can be a source of angst. Whether you’re leaving an office, retail store, or industrial space, make good obligations are a standard part of most leases. They outline what condition your landlord expects the premises to be returned in at the end of your tenancy.
At Makegoods, we help tenants not only understand their make good responsibilities but also manage the entire process. This starts with negotiations with landlords, through to carrying out the required works, so you can exit smoothly and without unnecessary stress. Having expert help on your side is always essential in these situations.
What are make good obligations?
In simple terms, make good obligations require a tenant to restore the property to the condition outlined in their lease. For an office tenant, this might mean removing partitions, repainting walls, restoring lighting, or even replacing floor coverings. For larger commercial tenants, the scope can be extensive, particularly in CBD or premium office spaces.
The tricky part is that there’s no single law in Victoria that defines “make good.” Instead, your lease agreement sets out the obligations. These can vary widely depending on how the contract was negotiated, which is why tenants often need professional guidance to interpret what’s fair and what’s excessive.
How Victorian laws affect commercial tenants
While “make good” is not a standalone law, Victorian legislation still affects how these obligations are enforced. For example:
- Retail Leases Act 2003 (Vic): This legislation governs retail leases, which may include certain commercial tenants such as shops and service providers. It outlines rights and responsibilities, including maintenance and repair provisions.
- Property Law Act 1958 (Vic): This broader legislation covers property and lease agreements, including how disputes can be resolved.
- Building Act 1993 (Vic) and associated regulations: These apply if physical works, such as demolition or reinstatement, require compliance with building standards.
In practice, this means your obligations are driven by the lease contract itself but underpinned by Victorian law. For tenants, it highlights the importance of both legal interpretation and practical execution.
Common make good requirements for office tenants
While every lease is different, there are recurring themes in commercial make good clauses. Tenants are often required to:
- Remove all tenant-installed fixtures, fittings, and partitions
- Repaint and restore surfaces to their original condition
- Repair or replace flooring, ceiling tiles, and lighting
- Remove cabling and restore electrical systems
- Return bathrooms, kitchens, or breakout areas to a landlord-approved state
- Ensure compliance with fire and safety systems.
Without clear negotiation, tenants may end up responsible for more work than is reasonable. For instance, a clause might demand that a tenant “rebuild to original condition,” even if the premises were handed over in a partly worn state.
Why negotiation matters
One of the biggest mistakes tenants make is leaving make good discussions until the end of the lease. By then, the landlord has significant leverage, and tenants may face inflated costs or unreasonable demands.
This is where Makegoods.com.au can step in. Our team helps tenants navigate the negotiation process early, ensuring obligations are interpreted fairly and that agreements reflect the actual condition of the premises. By handling this side of the process, we can often save tenants thousands of dollars in unnecessary work.
Managing the physical make good works
Even once the scope of work is agreed, executing it can be complex. Coordinating trades, securing permits, and ensuring compliance with building regulations all take time and expertise.
At Makegoods.com.au, we manage the entire physical side of the make good. From demolition and strip-outs to painting, repairs, and reinstatements, we act as your single point of contact. Our goal is to complete the works efficiently, cost-effectively, and to a standard that satisfies the landlord, protecting your bond and reputation.
Why partner with Makegoods.com.au?
Exiting a lease is stressful enough without the added pressure of navigating make good obligations. By partnering with Makegoods.com.au, you benefit from:
- Expert interpretation of your lease and legal obligations
- Skilled negotiation with landlords to reduce or clarify requirements
- Full project management of all physical make good works
- Transparent pricing and efficient delivery
- Peace of mind that you are fully compliant and protected.
Make your exit simple
If your lease is coming to an end, don’t leave your make good obligations to chance. The earlier you get advice, the more options you’ll have to minimise costs and disputes. At Makegoods, we specialise in supporting tenants through every stage of the make good process.