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Sublease Agreement Template

A sublease agreement lets a current tenant ("sublessor") rent out all or part of their leased premises to a new occupant ("sublessee") — typically with the head landlord's written consent. Use our free Australian template to document a residential or commercial sublease that respects the head lease, the state Residential Tenancies Act or Retail Leases Act, and the rights of each party.

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SUBLEASE AGREEMENT
State Of Victoria, Australia
SUBLANDLORD (ORIGINAL TENANT)
Sarah J. Mitchell
45 Wattle Drive, Doncaster VIC 3108 · +61 412 345 678 · sarah.mitchell@email.com.au
SUBTENANT
Jack R. Morrison
12 Elm Court, Box Hill VIC 3128 · +61 423 456 789 · jack.morrison@email.com.au
45 Wattle Drive, Doncaster VIC 3108
Landlord: Doncaster Property Management Pty Ltd · Consent: Written consent obtained
This Sublease Agreement is entered into between Sarah J. Mitchell (the "Sublandlord") and Jack R. Morrison (the "Subtenant"). The Sublandlord is the tenant under the head lease for the premises at 45 Wattle Drive, Doncaster VIC 3108, and wishes to sublease the premises to the Subtenant on the terms set out below, subject to landlord consent as required by Residential Tenancies Act 1997 (Vic) s. 82.
1.
PREMISES
The Sublandlord agrees to sublease to the Subtenant, and the Subtenant agrees to sublease from the Sublandlord, the residential premises (Room in shared house) located at 45 Wattle Drive, Doncaster VIC 3108, Victoria, Australia (the "Premises"). This sublease is made pursuant to the head lease (the "Head Lease") between the Sublandlord as tenant and Doncaster Property Management Pty Ltd as landlord. The Sublandlord warrants that they are entitled to sublease the Premises subject to obtaining any required landlord consent.
2.
SUBLEASE TERM
The sublease term shall commence on 1 May 2026 and expire on 31 October 2026. The sublease shall not extend beyond the term of the Head Lease (which expires on 31 December 2026). Upon expiry of the sublease term, the Subtenant shall vacate the Premises and return possession to the Sublandlord in the same condition as received, subject to fair wear and tear. Under Residential Tenancies Act 1997 (Vic) s. 82, a sublease may not exceed the term of the Head Lease.
3.
RENT
The Subtenant shall pay to the Sublandlord rent of 225.00 AUD per week, payable in advance on the Monday of each week during the sublease term, or on such day as the parties agree in writing. Rent shall be paid by bank transfer or such other method as agreed. The Sublandlord remains solely responsible to the landlord for all rent obligations under the Head Lease.
4.
BOND
Upon execution of this Agreement, the Subtenant shall pay a bond of 900.00 AUD to the Sublandlord. In most Australian states and territories, the maximum bond is four (4) weeks rent. The bond shall be held in accordance with applicable state tenancy bond legislation. The bond shall be returned to the Subtenant within the period required by Residential Tenancies Act 1997 (Vic) s. 82, less any lawful deductions for damage beyond fair wear and tear, rent arrears, or cleaning costs. Any deductions shall be itemised in writing.
5.
LANDLORD CONSENT
Written consent from the landlord, Doncaster Property Management Pty Ltd, has been obtained on 25 April 2026. The Sublandlord shall provide the Subtenant with a copy of the landlord's written consent. Most Australian states require landlord consent for subletting, and a landlord may not unreasonably withhold or delay consent: see Residential Tenancies Act 1997 (Vic) s. 82. A landlord who refuses consent without good reason may be in breach of the Head Lease.
6.
HEAD LEASE
The Head Lease between the Sublandlord and the landlord remains in full force and effect during the sublease term. The Subtenant agrees to comply with all terms and conditions of the Head Lease, a copy of which has been provided to the Subtenant. Any breach of the Head Lease by the Subtenant shall constitute a breach of this Agreement. The Sublandlord remains fully liable to the landlord for all obligations under the Head Lease, including payment of rent, regardless of any default by the Subtenant. The original tenant is responsible to the head landlord even if the subtenant fails to pay rent or damages the property.
7.
CONDITION REPORT
A condition report shall be completed by the Sublandlord and provided to the Subtenant before or at the commencement of the sublease, in accordance with Residential Tenancies Act 1997 (Vic) s. 82. The Subtenant shall return a signed copy of the condition report (with any additions or corrections) within three (3) business days of receiving possession. The condition report is the agreed record of the state of the Premises at commencement and will be used to assess any bond deductions at the end of the sublease term. The Subtenant shall maintain the Premises in a clean and orderly condition and shall not make any alterations without the prior written consent of both the Sublandlord and the landlord.
8.
INCLUSIONS
The following items and utilities are included in the sublease rent: Shared kitchen, bathroom, laundry. Internet included. Water, electricity on shared usage basis.. The Subtenant shall maintain all included items in good condition and return them in the same state as received, subject to fair wear and tear.
9.
REPAIRS AND MAINTENANCE
The Subtenant shall promptly notify the Sublandlord in writing of any damage to the Premises, urgent repairs, or defects. Urgent repairs shall be addressed in accordance with the timeframes specified in Residential Tenancies Act 1997 (Vic) s. 82. The Subtenant is responsible for any damage caused by the Subtenant beyond fair wear and tear. The Sublandlord shall pass on any repair requests to the landlord as required by the Head Lease.
10.
PERMITTED USE
The Subtenant shall use the Premises solely as a private residential dwelling for the Subtenant and any permitted occupants named in writing. The Subtenant shall not use or permit the Premises to be used for any commercial or unlawful purpose, shall not keep pets without the prior written consent of both the Sublandlord and the landlord, and shall comply with all applicable body corporate by-laws, strata rules, and local council requirements.
11.
GOVERNING LAW
This Agreement is governed by the laws of the State of Victoria and the applicable Commonwealth legislation. Any dispute arising under this Agreement shall be resolved in accordance with the applicable state residential tenancy legislation and the relevant state tenancy tribunal (e.g., NSW Civil and Administrative Tribunal (NCAT), Victorian Civil and Administrative Tribunal (VCAT), Queensland Civil and Administrative Tribunal (QCAT)).
12.
GENERAL PROVISIONS
Entire Agreement: This Agreement constitutes the entire sublease agreement between the Sublandlord and Subtenant regarding the Premises. Amendments: No amendment is valid unless in writing and signed by both parties. Severability: If any provision is found unenforceable, the remaining provisions remain in effect. Notices: All notices shall be in writing and delivered to the addresses set out above. Electronic Execution: Electronic signatures are valid under the Electronic Transactions Act 1999 (Cth) and applicable state legislation.
IN WITNESS WHEREOF, the parties have executed this Agreement as of the Effective Date first written above.
SUBLANDLORD (ORIGINAL TENANT)
Sarah J. Mitchell
Sarah J. Mitchell
Date: ____________________
SUBTENANT
Jack R. Morrison
Jack R. Morrison
Date: ____________________

LANDLORD CONSENT (where required)

I, the undersigned landlord, hereby consent to the above sublease of the Premises pursuant to the Head Lease, in accordance with the applicable state residential tenancy legislation.

Landlord Signature: __________________________    Printed Name: Doncaster Property Management Pty Ltd    Date: __________________________

What Is a Sublease?

A sublease is a lease created out of an existing head lease. The head tenant (the sublessor) grants a lesser interest in the premises — usually for a shorter term and often for a specific part of the premises — to a sublessee, while retaining their own obligations to the head landlord. Unlike an assignment of lease, where the outgoing tenant transfers all their rights to the incoming tenant, a sublease creates a fresh tenancy with the sublessor as landlord.

In Australia, subleases are governed by the general law of real property and contract, together with the state residential or commercial leases regime depending on the premises. For residential premises, state Residential Tenancies Acts (NSW 2010, Vic 1997, Qld 2008, SA 1995, WA 1987, Tas 1997, ACT 1997, NT 1999) regulate subletting — typically requiring the head landlord's written consent, which cannot be unreasonably withheld. For commercial premises, the Retail Leases Acts and the lease itself govern sublet consent.

Across Australia, subleases are common in two contexts: (1) residential share arrangements where the lead tenant on the head lease sublets rooms to flatmates, and (2) commercial arrangements where part of the leased premises is not needed and is sublet to a third party. Failing to obtain Australian landlord consent where required is a breach of the head lease and can result in termination of both the head lease and the sublease.

What's Covered in This Template

Our sublease template covers all the essential terms for a compliant sublet.

Head Lease Reference

Date, parties, and premises of the underlying head lease.

Sublessor and Sublessee Details

Legal names and addresses of the head tenant and subtenant.

Head Landlord Consent

Reference to written consent from the head landlord.

Subleased Premises

Whole or part of the head lease premises being sublet.

Sublease Term

Commencement, end date, and relation to the head lease term.

Sublease Rent

Rent payable by sublessee to sublessor, frequency, and method.

Bond (Residential)

Bond amount (within state cap) and lodgement details.

Utilities and Shared Spaces

Which utilities and shared areas are included.

Compliance with Head Lease

Sublessee's obligation to observe terms of the head lease.

Condition Report

Condition of subleased premises at commencement.

Termination Provisions

Notice periods, and dependence on head lease continuing.

Governing Law

Choice of Australian state law governing the sublease.

How to Create a Sublease Agreement

Follow these steps to document a compliant sublease in minutes.

  1. 1

    Obtain Head Landlord Consent

    Secure written consent from the head landlord, referencing the head lease clause on subletting.

  2. 2

    Enter Party and Premises Details

    Record sublessor, sublessee, and the portion of the premises sublet.

  3. 3

    Set Term and Rent

    Specify the sublease term (within the head lease) and rent.

  4. 4

    Include Bond and Conditions

    Add bond details, utilities, shared spaces, and compliance with head lease.

  5. 5

    Sign and Lodge Bond

    Both parties sign, and the sublessor lodges any residential bond with the state bond authority.

Legal Considerations

Subleases must respect the head lease and state residential/commercial leases legislation.

This template is for informational purposes only and does not constitute legal advice. For commercial subleases or complex residential arrangements, obtain legal advice.

Reviewed for Australian law

Head Landlord Consent

In Australia, the head lease almost always restricts subletting. Under Australian state Property Law Acts and common law, the head landlord's consent cannot be unreasonably withheld for assignment, and the same principle applies to subletting in many Australian leases. Section 133B of the Conveyancing Act 1919 (NSW) and equivalent provisions in other states reinforce this. Proceeding without consent is a breach.

Residential Subletting Rules

Most Australian state Residential Tenancies Acts permit subletting with the landlord's written consent — section 74 of the Residential Tenancies Act 2010 (NSW), section 81 of the Residential Tenancies Act 1997 (Vic), section 238 of the Residential Tenancies and Rooming Accommodation Act 2008 (Qld). Under Australian law, consent cannot be unreasonably withheld. The sublessor remains liable under the head lease.

Commercial and Retail Subleases

Subletting commercial premises in Australia generally requires landlord consent under the head lease. Australian Retail Leases Acts (e.g., section 39 of the Retail Leases Act 1994 (NSW)) impose specific processes and documents for consent decisions, including timeframes and grounds for refusal. Unreasonable refusal or delay can be challenged at the relevant Australian state tribunal.

Bond and Security

In an Australian residential sublease, the sublessor (as landlord for the sublease) can take a bond within the state cap (usually 4 weeks' rent) and must lodge it with the state bond authority. Bonds held by flatmates without lodgement are a common source of disputes — lodging correctly protects both parties.

Frequently Asked Questions

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