Retail unit to rent or buy in Vienna and Lower Austria

Key points

• Whether § 27 and § 12a MRG apply to a unit depends on the scope of the Tenancy Act (MRG): within its full scope (Vollanwendungsbereich) — typically in older buildings (Altbau) — both apply; in new buildings without public funds (building permit after 30 June 1953) they do not.
• Key money (Ablöse) to the previous tenant is prohibited within the full scope (§ 27 Abs 1 Z 1 MRG). Permitted are reimbursement of actual relocation costs and reimbursement of investments that the landlord must compensate the previous tenant for under § 10 MRG.
• If a business is sold together with its premises and continued in the same premises, the buyer takes over the main lease (Hauptmietvertrag) (§ 12a Abs 1 MRG). If the rent was below the appropriate level, the landlord can demand an increase within six months.
• Fixed terms (Befristung) are possible for business premises without a minimum duration; under the MRG they must be agreed in writing and with a fixed end date.
• In protection zones (Schutzzonen) — for example the whole of the Innere Stadt (city centre) — additional rules apply to façades, shop windows and advertising (§ 7 Bauordnung für Wien).
• Commission when renting: up to three gross monthly rents (Bruttomonatsmiete) plus 20% VAT (USt), from the tenant and from the landlord, within the statutory maximums of the Immobilienmakler-Verordnung (Real Estate Agents Regulation). When buying: 3% plus 20% VAT. The "whoever orders pays" principle (Bestellerprinzip) does not apply to commercial property.

What is a retail unit in legal terms?

Definition: A retail unit is a business premises within the meaning of § 1 MRG in which a retail, service or hospitality business is run — with its own tenancy-law rules on key money, transfer on the sale of a business and fixed terms.

Whether and to what extent the Tenancy Act applies depends on the building: within the full scope (Vollanwendungsbereich) all provisions apply, including § 12a and § 27. In buildings erected without public funds on the basis of a building permit issued after 30 June 1953, only a partial scope (Teilanwendungsbereich) applies — mainly protection against termination and the rules on fixed terms (§ 1 Abs 4 MRG). Fully exempt are, for example, buildings with no more than two independent flats or business premises.

How we work with retail units

A retail unit has to suit the business: a hairdresser needs water connections and passing trade, a place with a kitchen needs extraction and the right permit, an office with client visits needs good accessibility. That is why we first ask about your use, size, location and timeframe and whether you want to rent or buy, and then show only units that fit. For each unit we put together the documents you need to decide.

We work in Vienna, in the Korneuburg district and in the Vienna suburbs. We advise in German, Russian, Ukrainian and English; contracts are in German, and we explain them in your language.

Key money — what is allowed and what is not

§ 27 Abs 1 Z 1 MRG prohibits agreements under which the new tenant has to pay something in return for the previous tenant giving up the unit, or otherwise without equivalent consideration. Not prohibited are reimbursement of actual relocation costs and reimbursement of the expenditure that the landlord must compensate the previous tenant for under § 10 MRG — colloquially the Investitionsablöse (payment for investments). Amounts paid unlawfully can be reclaimed (§ 27 Abs 3 MRG).

What matters is what is being paid for, not what the payment is called in the contract. If you take over fittings or alterations, each item should be valued separately and transparently — this protects both sides from a later reclaim.

Sale of a business: lease transfer under § 12a MRG

If the main tenant (Hauptmieter) of a retail unit sells their business to be continued in these premises, the buyer takes their place in the main tenancy (§ 12a Abs 1 MRG). Seller and buyer must notify the landlord of the sale without delay.

If the previous main rent (Hauptmietzins) was below the appropriate rent (angemessener Mietzins) under § 16 Abs 1 MRG, the landlord may, no later than six months after notification, demand an increase up to that amount — taking into account the type of business (§ 12a Abs 2 MRG). If control of a company that is the tenant changes decisively, for example through the sale of a majority of the shares, the same applies (§ 12a Abs 3 MRG).

Important for buyers: § 12a concerns the lease, not the trade licence (Gewerbeberechtigung). What else transfers and what does not is explained in our guide Business takeover in Vienna.

Fixed terms, termination and protection zones

For business premises there is no statutory minimum duration for a fixed term. If the MRG applies — fully or in part — the fixed term must be agreed in writing and with an end date set in advance; otherwise the contract is deemed open-ended. This gives more room for negotiation than with flats, but requires careful wording.

In Vienna, the external appearance of buildings in protection zones (Schutzzonen) is protected (§ 7 Bauordnung für Wien); the entire Innere Stadt is a protection zone. If you are planning a new shop window, illuminated advertising or another change to the façade, clarify it with the city design department (MA 19) before the contract, not afterwards.

Operating facility permit and hospitality

The same basic rule applies to retail units as to halls: if the use is liable to endanger or disturb neighbours, it needs a Betriebsanlagengenehmigung (operating facility permit) under § 74 GewO. For hospitality, ventilation, kitchen extraction and noise protection towards flats in the building come on top. Whether an existing permit covers your planned use is something we clarify before the contract.

What to check before the contract

When renting, a lot is governed by the lease itself: term, waiver of notice, indexation, maintenance obligations, running costs and whether you may pass the unit on later. Check whether key money is being asked for and exactly what for. When buying, add the land register, the Nutzwertgutachten (unit value report) and the minutes of the owners' meetings, and for a let unit the current lease; the incidental costs of the purchase are in the guide Incidental costs when buying property.

It is best to check the location at different times of day: how many people pass by in the morning, at midday and in the evening, and are they your customers? Look at visibility, shop window area, deliveries and loading zones, and whether customers can reach the unit step-free.

More commercial properties are under Commercial, storage space and halls under Warehouse to rent or buy, offices under Office to rent or buy. When a business lease (Pacht) rather than a tenancy is involved is explained in Pacht or Miete for commercial property.

Search mandate: we find your unit

Not every retail unit is online, and good locations are often taken before an advert appears. Tell us which use, size, location and timeframe suit you and whether you want to rent or buy — we search in a targeted way and get back to you with suitable units. Discuss a search mandate