In the case of Horgan v Equi Ventures Pty Ltd, the County Court of Victoria determined whether an equestrian center operating on leased land qualified as a retail premises lease under the Retail Leases Act 2003 (Vic). Despite some of the land being used for agistment, the connection between the lessee’s business and the use of the land was enough for the lease to fall under the Act.

To determine if the premises were used for retail purposes, the Court applied the “ultimate consumer” test, which involves providing goods or services directly to the end user in exchange for payment. Factors considered included whether a fee was paid, business hours, floorspace used for retail purposes, and accessibility to the public. The Court confirmed that businesses providing services offsite can still operate from “retail premises” under the Act.

The County Court found that the equestrian center’s use of the land was retail, despite some services being administered offsite. The decision highlights the importance of assessing the nature of a tenant’s business and how the premises are used to determine if the Act applies. Understanding if a lease falls under the Act can impact dispute resolution forums, land tax recovery, and lease compliance, emphasizing the need for a careful analysis at the lease’s commencement.