Start with the decision you are making
A tenant, owner-occupier, investor and lender may review the same property through different lenses. Before collecting documents, write down the business decision: occupancy, acquisition, expansion, relocation, refinance or disposal.
Document checklist
- Title search, plan and registered interests.
- Current leases, variations, options, guarantees and side letters.
- Outgoings history, budgets and recovery schedules.
- Planning certificate, zoning and permitted use information.
- Building reports, compliance records and essential services documentation.
- Insurance details, environmental reports and contamination notices where relevant.
- Capital expenditure history and forecast works.
Lease review questions
Read the lease like a cash-flow contract. Check rent reviews, incentives, make-good obligations, assignment rights, repair responsibilities and option dates. A lease can look secure while hiding timing risks.
Physical and operational review
Inspect building services, access, loading, parking, power, amenities, fire systems, roof condition, air-conditioning and expansion constraints. For a business occupant in Sydney, Melbourne, Brisbane, Perth or Adelaide, operational fit can matter more than architectural charm. Sad for the pretty brochure. Great for actual outcomes.
Financial assumptions
Stress-test the numbers. What happens if vacancy lasts six months? What if incentives rise? What if finance costs increase? What if outgoings are not fully recoverable? Conservative assumptions are not pessimism; they are adult supervision.
Red flags
- Rent that is materially above market without a strong reason.
- Short income with a narrow replacement tenant pool.
- Unclear responsibility for repairs or make-good.
- Planning use that does not match the intended operation.
- Large upcoming capital works not reflected in the price or lease terms.