VIC's commercial real estate laws under review

The Victorian Government is reviewing new regulations that exempt real estate agents from being involved in large commercial property transactions.

The Government has commenced a review of the Estate Agents (Exemption) Regulations 2014 which was introduced by the former Napthine Government and is due to begin operating in the new financial year.

The Real Estate Institute of Victoria (REIV), the REIA (Real Estate Institute of Australia) and Council of Small Business of Australia (COSBOA) fought the implementation of the regulations at the time, claiming that small business were already struggling in negotiations with large landlords.

“Negotiating against the massive commercial property owners is already tough enough for small businesses without being stripped of key legislative protections. Higher rents would mean upward pressure on cost of living for all Victorians,” said COSBA Executive Director Peter Strong.

The Minister for Consumer Affairs, Jane Garrett, has appointed ACIL ALLEN Consulting to undertake the prompt review.

“The Andrews Labor Government will work with key stakeholders in the property industry to ensure that we have standards in place to best protect consumers,” Ms Garrett said.

"Getting rid of red tape is important, but we need to make certain here that these changes are not coming at the expense of local businesses and consumers.”

Any reforms arising from the review will be notified by early May.