The Shopping Centre Council of Australia and the Australian Retailers Association have welcomed both the Victorian and New South Wales Governments' announcements of land tax relief support packages.
The move follows the announcement by the Queensland Government regarding a similar support package.
Victoria has announced $500 million in land tax relief, while New South Wales has announced $440 million.
The package is available to commercial landlords with SME tenants.
SCCA executive director Angus Nardi said that the latest package enhances the existing support schemes for small and medium businesses in Victoria.
"We welcome Premier Andrews’ announcement which is another strong step that reinforces the framework which will deliver relief to small, medium and family retailers who are doing it tough.
"We also commend the Government on their commitment to a partnership approach to help ensure that all businesses can get to the other side of this crisis.
"This is a further example of how Governments, shopping centre owners and SME retailers can work together to manage the impacts of the COVID-19 pandemic," he said.
Incoming ARA CEO Paul Zahra said that the scheme provides major relief for commercial tenants.
"The NSW government has acted decisively to give effect to principles established in the National Cabinet’s retail leasing Code of Conduct.
"This package provides not only significant tax concessions for landlords but also a clear framework for negotiations and access to mediation services.
"In all, it gives landlords and retailers comfort to begin to negotiate constructively and in good faith on a fair deal for both parties.
"We look forward to similar actions by other state and territory governments to support the many people employed in small retail businesses around the country," he said.
Nardi added that the Council is working with both government and industry to ensure health, safety and support package guidelines are met.
"We thank the Government on their engagement with our industry to date, and look forward to partnering further with them.
"As we move through this crisis, the shopping centre industry is working hard to ensure important public health requirements are followed including social distancing measures," he said.
The state governments will provide land tax relief to commercial landlords that provide rent relief to their tenants, provided:
- the tenant’s annual turnover doesn’t exceed $50 million
- is an eligible business in the Commonwealth’s JobKeeper program, and
- is suffering financial stress or hardship as a result of the pandemic.