Lease of Rural Property

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At a Glance

Lease for a rural property or farm.

A lease agreement is a legal contract that sets forth the rights and obligations of both parties in relation to the use of real estate. The purpose of a lease agreement is to define the relationship between the landlord and tenant for the duration of the lease term.

Farm leases are usually written in standard form, so that both parties understand the terms of the agreement. The lease should include all relevant information, such as the length of the lease term, rent amount, and other details.

Tenants and landowners have the right to have the terms of the tenancy agreement put into writing. The use of written agreements by tenants and owners is strongly encouraged to prevent disputes arising during the tenancy.

The lease agreement includes details of the land to be leased, identification of the partners to agreement, term of agreements (and options if applicable), rent and rental period, landowner’s obligations, tenant obligations, conflict resolution process, any special conditions, property access, land stewardship.   Lease Agreement (Farm Lease Agreement)

Leasing agricultural land requires clear terms to ensure fair agreements between landowners and tenants. A Rural or Farm Lease Agreement provides a structured approach to defining land use, financial responsibilities, and dispute resolution. By outlining key provisions such as rent payments, land maintenance, and permitted activities, this agreement minimises uncertainties and helps protect the interests of all parties involved.

✅ Free Checklist: Acting for the Lessee • ✅ Free Checklist: Acting for the Lessor • 📘 Free Legal Drafting Booklet

Lease of Rural Property

This Lease of Rural Property sets out the full terms between a lessor and lessee for leasing agricultural land and any associated dwelling. It is designed for use in New South Wales and drafted to reflect good farming practice and legal compliance.


What This Lease Covers

• Term, rent, further term and holding over provisions
• Rent reviews – market or CPI adjustments
• Defined outgoings: council rates, farm insurance, pest authority costs
• Bond and interest on overdue payments
• Use of property for dwelling and agricultural purposes
• Sustainable soil, water, and grazing management
• Maintenance, repairs, and consent for improvements
• Insurance and indemnity, including livestock and farm risk
• Default, re-entry, and termination rights
• Guarantor obligations and continuing liability


Why Use This Template?

• Provides a clear legal structure for rural leasing arrangements
• Defines both lessor and lessee responsibilities in detail
• Ensures sustainable land use and proper stock management
• Covers all necessary farming-specific risks and indemnities
• Editable and ready for professional use or client customisation


Suitable For

This precedent is ideal for farm owners, rural tenants, and legal practitioners handling agricultural or mixed-use leases involving dwellings and farmland.

INCLUDES

Included in Agreement

  • Reference Schedule
  • Definitions
  • Interpretation
  • Term, further term and holding over
  • All agreements relating to money
  • Use
  • Assignment & Subletting
  • Maintenanc, Repairs etc.
  • Insurance and indemnity
  • Damage
  • Guarantors
  • Default

A rural or farm lease agreement is a legally binding contract between a landowner (lessor) and a tenant (lessee) outlining the terms and conditions for renting agricultural land or property. This agreement typically includes details such as the lease duration, rental payment amount and schedule, responsibilities for property maintenance, permitted land uses, and any specific farming practices or restrictions. The purpose of this contract is to ensure clarity and mutual understanding between the parties regarding their rights and obligations, helping to prevent disputes and protect the interests of both the landowner and the tenant.

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