2022-05-10 Planning and Environment Committee Meeting Agenda

PLANNING & ENVIRONMENT COMMITTEE MEETING AGENDA                                          10 MAY 2022


The primary lease provisions proposed are as follows:
    Lease Provision                Proposal
    Unit                           3b
    Lessee Name:                   TP Collab Trading Pty Ltd.
    Premises:                      Lease B being part of Lot 95 on SP137431, 253-255 David
                                   Low Way
    Nett Lettable Area:            45m2 approximately
    Commencement Date              01.06.2022
    Initial Lease Terms:           1 year
    Options to Extend:             1 option of 3 years
    Market Rent Reviews:           CPI reviews annually with market review at exercise of option
    Outgoings:                     100% of outgoings for the building and land in proportion to the
                                   area leased (approximately $3,000 per annum).
    Permitted Use:                 Professional Office
    Rental Free Period :           Nil
    Bond:                          Three month’s rent plus Outgoings plus GST to be paid by the
                                   lessee to the lessor by cash or bank guarantee upon execution
                                   of the lease.
It is recommended Council agrees to enter commercial leases with TP Collab Trading Pty Ltd.
generally in line with the above provisions.
Previous Council Consideration
Ordinary Meeting Minutes, 20 February 2020, Item 2, Page 7
That Council note the report by the Economic Development Manager to the Services &
Organisation Committee Meeting dated 11 February 2020 regarding the commercial lease of
45sqm approximately of space at the Peregian Digital Hub and:
A.      Agree to enter a commercial lease of the premises to Fireball International Pty Ltd. for a three
        year term, as generally outlined in the report;
B.      Agree to an initial rent-free period of 3 months; and
C.      Authorise the CEO to award up to three subsequent lease extensions each of 1 year, subject
        to the lessee complying with the terms of the lease.
Finance
The financial return posed by the new lease is as detailed above. Unit 3b is yet to be sectioned off
from unit 3a in the proposed office subdivision. With that project at the architectural planning stage
and construction to take place during the lease period, Council may need to offer reasonable
discounted rental to account for disruptions.
Risks & Opportunities
The prospective tenant recently relocated from Victoria and is in the high growth software startup
category with potential to contribute to high value job creation in the region.
Consultation
External Consultation
       Commercial Real Estate Agents
       Prospective tenants
Internal Consultation
       Manager Property
       Property Officer



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