From 1 August 2025, the Property Law Act 2023 (Qld) (“2023 Act”) will replace the Property Law Act 1974 (Qld) (“1974 Act”).
The changes are far-reaching, with many being tenant-friendly and applying to both existing and new leases.
While the 2023 Act modernises and streamlines many provisions, it also introduces new obligations and statutory processes that landlords cannot contract out of.
Landlords should be aware that:
- Some reforms apply regardless of when the lease was entered into, while others only apply to new leases.
- Several long-standing common law positions have been replaced with clear statutory rules.
- There are stricter timeframes and procedural requirements for dealing with tenant requests and enforcing lease rights.
1. Standard Terms in Leases
The 2023 Act consolidates all “implied terms” (now called standard terms) into Schedule 1. These will apply automatically to leases granted on or after 1 August 2025 unless the parties exclude them in writing.
Outdated obligations like fencing and cultivation have been removed, and the focus is now on core landlord–tenant obligations.
Summary of Standard Terms
- Rent Payment – Tenant must pay rent when due.
- Taxes and Rates – Tenant must pay all taxes, rates, and assessments relating to the premises, proportionate to the leased area.
- Repairs and Maintenance – Tenant must:
- Keep premises in good condition during the term;
- Return them in the same condition (excluding structural elements);
- Not repair damage caused by specified insured events unless insurance is unrecoverable due to tenant’s fault.
- Rent Abatement – Rent and outgoings abate proportionately if premises are damaged by specified causes and become unfit for use, unless insurance is unrecoverable due to tenant’s fault.
- Assignment – Tenant must not assign without landlord’s written consent; consent must not be unreasonably withheld.
- Noxious or Offensive Acts – Tenant must not cause nuisance, damage, or disturbance unless contemplated by the lease.
- Waste – Tenant must not commit voluntary waste or allow others to do so.
- Quiet Enjoyment – Tenant entitled to undisturbed occupation; landlord must not derogate from the lease.
- Change of Use – Tenant must not change the use without landlord’s consent, which must not be unreasonably withheld.
- Inspection Rights – Landlord may enter at reasonable times for inspection, repairs, or compliance, without unreasonably interfering with tenant.
- Termination – Landlord may terminate if rent unpaid for 1 month or other breaches unremedied for 2 months (subject to relief provisions).
- Removal of Fixtures – Tenant must remove its fixtures at or before lease end, repair damage, and if not removed within 1 month, landlord may dispose of them and recover costs.
Practical Tip:
Even if you usually exclude certain implied terms in your leases, from August 2025 you should review how these standard terms interact with your customised lease provisions to avoid conflict or uncertainty.
2. Landlord Consent to Tenant Actions (s 142)
If your lease requires the tenant to get your consent for things like:
- Assigning, subletting, or parting with possession
- Changing the use of the premises
- Creating a mortgage over their lease interest
- Alterations or works
- other matters for consent under the lease
…you must not unreasonably withhold consent and must follow a new statutory process.
What this means for leasing law changes:
- The tenant must give you full details of their proposal.
- You have 1 month to respond with a decision notice (unless extended by agreement).
- If you need more information, you can request it from the tenant.
- If you give consent, you must set out any conditions and reasons.
- Tenants can apply to the Supreme Court if you don’t respond in time, refuse unreasonably, or impose unreasonable, unnecessary or onerous conditions. The tenant can also apply for the landlord to pay the tenants costs in making the application so it is strongly advised to respond before this date to ensure you avoid this risk. We recommend engaging a lawyer to document any consent or to advise on rejecting the request.
The above applies from 1 August 2025 to all relevant tenant proposals, even if the lease was signed earlier.
Practical Tip:
Create internal systems to log and track all consent requests to ensure statutory deadlines are met — missing a deadline may open the door to tenant court applications.
3. Release of Original Tenant and Guarantor After Second Assignment (s 144)
Under the new leasing laws, if:
- Your tenant assigns the lease to someone else; and
- That person later assigns it again to a third party;
…the original tenant and any guarantor will be released from liability for breaches by that third party.
What this means for landlords:
- You cannot contract out of this release.
- You should carefully consider requiring new guarantees or security from the incoming tenant when approving assignments.
This applies only to leases or assignments entered into after 1 August 2025.
4. New Relief Provisions – Forfeiture and Exercise of Options (Part 9 Division 5, ss 149–167)
New leasing rules will apply if you:
- Want to take back the premises for breach (forfeiture), or
- Plan to refuse renewal, extension, or sale of the reversion.
Key requirements:
- You must give the tenant a notice in the approved form and copy in all known “designated persons” (e.g. subtenants, mortgagees).
- Before forfeiting, you must give the tenant a reasonable period to fix the breach or pay compensation.
- What’s “reasonable” depends on the nature of the breach and what is needed to fix it.
- Tenants get protection from losing an option just for failing a formal requirement (like formatting or delivery), but not for missing the deadline.
These provisions cannot be contracted out of and will apply to all leases from 1 August 2025.
What Landlords Should Do Now
- Review your current lease terms for consent, assignment, and enforcement processes.
- Update lease templates and internal procedures.
- Plan to require extra security or guarantees when consenting to assignments.
- Allow extra time for enforcement action due to statutory notice periods.
Need Advice on These Changes?
If you’re a landlord and want to understand how these leasing law changes affect your leases, our experienced property team can help you review your documents and update your processes.
📞 Contact us today or call us on (07) 4931 1888
Disclaimer:
This information is provided as a general guide only and does not constitute legal advice. The law may change, and how it applies to your situation will depend on your specific circumstances. You should obtain legal advice before acting or relying on this information.