Legal Matters for Leased Properties

During the term of your lease, you may need to ask for Rockhampton Regional Council’s consent for some legal matters.

Amendment of the Lease Terms

Your organisation will need to ask Council’s consent to amend conditions of the lease.

Many community lease conditions are standard and can’t be changed.

To make an amendment request, send a letter (using your organisation’s letterhead) detailing the reason’s of why the amendment is necessary.  Post the letter to:

Property & Insurance Section
Rockhampton Regional Council
Po Box 1860
Rockhampton Qld 4700

If the lease has recently been renewed and is not yet registered at the Titles Office (Department of Environment & Resource Management – DERM), it is possible to amend the terms and conditions of the original approval.  You can amend the lease area and parties to the lease.  To make an amendment, you need to obtain Council approval.

If the lease is already registered with the Titles Office, you need to lodge an Amendment – Form 13 at the Titles Office.  This amendment cannot alter the lease area or parties to the lease.

When making an amendment, you need to pay:

  • Fees for Titles Office Registration

Mortgaging the Lease

During the term of a lease, your organisation may need to borrow money from a financial institution for development works.  This means that you may need to mortgage the lease to provide security for the loan.  You need Council’s consent to do this.

To arrange for Council’s consent, you need to provide:

  • A letter from your organisation (“the mortgagee”) requesting that Council approve a mortgage of the lease to the financial institution.  (“the mortgagor”)
  • Details of the loan (including amount) and how your organisation will use the funds
  • If the loans is to pay for capital works, details (including concept plans) of those works
  • A copy of your organisations most recently audited financial statements and current year to date statements.
  • If available, include copies of the Mortgage and Right of entry documents from the financial institution.
  • Once all documents are provided Council will assess the application and circulate it to several Rockhampton Regional Council officers for analysis and comment.

As part of this assessment, we may ask you to submit more information, such as extra financial information.

When the assessment of the application is completed, the consent will be subject to certain terms and conditions.

If this approval is obtained, the Property & Insurance Section will liaise with your organisation and /or the financial institution to complete the necessary documents.

Assignment (Transfer of Lease)

It is possible that, due to changed circumstances, your organisation may want to assign (transfer) the lease to another organisation.

If your organisation owes money to Council, any outstanding amounts must be settled before we can consider an assignment.

You must get Council’s consent before any assignment.  To request an assignment, your organisation will need to provide:

  1. A letter from your organisation (“the assignor”) requesting that the lease be assigned to the proposed new tenant (“the assignee”).  In your letter, state the reason for your request.  Two committee members of your organisation must sign the letter.
  2. A letter from the assignee (on their letterhead) advising that it wishes to take over the assignor’s lease of the premises.  Two committee members of the assignee’s organisation must sign the letter.
  3. A new lease application form and development plan for the leased premises completed by the assignee.  The assignee must also send a certified copy of their certificate of incorporation, constitution, most recently audited financial statements and certificate of currency for public liability insurance.

For more information, check Step 1 under Renewing a Lease or Licence.

Council may impose conditions on the lease assignment. 

If Council approves the assignment, it will be referred to Council’s Solicitor.  The Solicitor will prepare the relevant documents to finalise the assignment.  This will include a Form 1 Transfer and a Deed of Consent to Assignment.  All relevant parties must execute these documents.  Stamp duties is payable and the documents must be registered at the Titles Office. 

Your organisation will be required to pay stamp duty, Titles Office registration fee and Council’s reasonable legal costs.

Surrender of the Lease

Your organisation may wish to surrender its interest in the lease during the lease term.

To surrender your interest, your organisation must write to Council, specifying the date that you wish your interest in the site to end.  Your organisation must also state the specific reasons why it wishes to surrender the lease.  You may be asked to provide additional documentation which demonstrates your reasons.

If Council approves the acceptance of the surrender, the Property & Insurance Section will prepare the relevant documents. All parties must execute the documents and they must be lodged at the Titles Office.  Your organisation will be responsible for registration fees and Council’s reasonable legal fees (if applicable).

Partial surrenders may also occur.  This can happen if you want to amend the lease area of a registered lease or to surrender an existing lease and apply for a longer lease.