AUST – Many tenants have the potential to cause significant financial grief for the building owner by not appreciating statutory requirements applicable under the Building Regulations.

If a lease does not adequately protect the building owner when the tenant performs works or alterations to a building without the necessary permits, who is responsible for the costs required to rectify the problem?

Hendry advises that owners who do not have oversight into their tenants building works are being left exposed and could be in for a costly and time consuming mistake. A local authority may impose a building notice that can force a fire safety upgrade and other works to the building.

The costly repercussions of the building notice inflicted by the tenants work could potentially become the responsibility of the building owner if they are not protected in their lease agreement.

Australian States and Territories have differing building control legislation governing construction to buildings.

Click here to read more.