Eligible business owners can obtain relief in the form of a reduction in rent. A landlord can only charge a business rent, equal to the turnover they are currently making based on a previous no-covid period.
With a turnover of 40 per cent of pre-pandemic levels, Tenants will only be charged 40 per cent of its rent. Of the balance, at least half must be waived, with the remainder deferred.
There is also a freeze on rent increases and evictions for not paying rent, which are banned until 15 January 2022, where the tenant is eligible.
To find out if you are eligible, refer to the Victorian Small Business Commission Website.
Landlords Hardship fund re-introduced
The Victorian Govenment is waiving Land Tax of up to 25 per cent to landlords waiving rent for their tenants. Eligible landlords will also be able to defer any remaining 2020 and 2021 land tax until 31 May 2022.
Small landlords who experience hardship as a result of waiving rent between 28 July 2021 and 15 January 2022 under the Scheme will be eligible to apply for a grant of up to $6,000 per eligible tenancy (and in severe cases $10,000) as part of the Commercial Landlord Hardship Fund 3.
To find out if you are eligible, refer to the Victorian Small Business Commission Website. Here you will also find a letter to forward to your tenant to complete to assess if they are eligible.
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