Rent Reduction Agreement
A Rent Reduction agreement is a document used to outline the terms of a reduced rental rate over a pre-existing lease agreement.
Last updated October 24, 2025
Suitable for Australia
Browse our 500+ legal documents
Browse our 500+ legal documents
Manage documents, agreements and a lot more from one central place. Just log in and find everything ready to go.
Collaborate with e-Sign and Sharing
Collaborate with e-Sign and Sharing
Having access to your legal documents has never been easier. You can request e-signature, share the document and download for an efficient collaboration.
Instantly review any legal document
Instantly review any legal document
Upload your document, ask contract AI, and watch those burning questions transform into crystal-clear answers. Because brilliant decisions shouldn't keep you waiting.
How to create a legal document
- check_circle
Access the Document Library
- check_circle
Select the template that matches your needs
- check_circle
Customise by adding or removing clauses with assistance from Lawpath AI
- check_circle
Personalise with your headers, footers, logos, or additional text
- check_circle
Store all documents securely in your account for easy access
Frequently asked questions
Use this Rent Reduction Agreement Notice if:
- You are a business experiencing financial hardship
- You wish to request for a rent reduction for a period of time
What does this document cover?
- Details regarding your business’s financial health
- The reduced rent and period requested
- Other terms of the rent reduction
Further information:
View Sample Rent Reduction Agreement
The Legal Risk Score of a Rent Reduction Agreement Template is Low
Our legal team have marked this document as low risk considering:
- The agreement only allows for a temporary reduction in rent, after which the rent reverts back to the original terms, which might not be sustainable if the lessee's financial situation does not improve as anticipated.
- There is no clause that addresses the possibility of extending the rent reduction period, which could lead to difficulties if the lessee's financial hardships continue beyond the agreed period.
- The lessee is required to continue fulfilling all other obligations under the original lease without any adjustments, which could be challenging if the lessee's financial constraints persist.
Articles about Rent Reduction Agreement
What is Rent Abatement?
When looking to lease a commercial property, you may come across a lease incentive known as 'Rent Abatement'. Read about it in this article.
COVID-19 Leasing Considerations Guide 2021 (NSW)
Read on for NSW government support packages that cover many leasing considerations as a direct response to the recent COVID-19 outbreak.
COVID-19 Leasing Guide 2021 (Rest of Australia)
State and Territory Governments are offering support and leasing considerations to aid tenants and landlords affected by COVID-19.
How Does Turnover Rent Work and Why Should I Use It?
Turnover rent is a different way businesses can pay for rent to their landlord. It can sometimes be referred to as percentage rent.
What's the Difference Between Renting and Leasing?
Considering renting property or just want an explainer on the difference between renting and leasing? This guide clarifies some questions you may have.
2024 Budget: How It Impacts Your Cost of Living
The start of the end of this financial year has marked the beginning of a wide range of benefits for individuals across Australia. The Australian government…
What Are Ratchet Clauses and How Do They Work?
Find out everything you need to know about ratchet clauses, how they might impact your lease agreement and what your legal options are.
What is the Difference Between Deeds and Agreements?
Interested in learning more about the differences between deeds and agreements? This blog will explain everything you need to know.
Sharing is Caring: Airbnb to Stay?
Did you know that despite being one of Airbnb’s top 10 worldwide destinations, rent-sharing is yet to be legalised in Sydney?
Looking for more documents?
Will
A Will is an essential document as part of your estate plan. This Will cannot be e-signed.
Resume (Graduate)
A Resume (Graduate) provides detailed information about yourself for job applications and a way to showcase your education, skills, experience and achievements to potential employers.
Variation of Discretionary Trust
Create your document of Discretionary Trust terms quickly with instant document builder of Lawpath. Create quality documents easily. Try it now!
Sublease Agreement (Residential)
A Sublease Agreement allows you, as a tenant to sublease your residential property to a subtenant.
Cease and Desist Letter
A Cease and Desist Letter offers you a quick, cost effective, and efficient way to formally ask an individual or a business to stop a certain activity.
Promissory Note
A Promissory Note is a negotiable instrument that allows you to set out the payment of a sum of money.
Credit Card Authorisation Form
The Credit Card Authorisation Form is a document that allows a cardholder to give another entity authority to charge a specified amount on the cardholder's card.
Letter of Demand (1st attempt)
A Letter of Demand (1st attempt) can be used to formally request payment of an outstanding debt.