rental value is linked to the use to which the property is likely to
be put, either restricted by covenants of the lease, the lease
purpose clause (Canberra) and or planning restrictions. A
potentially onerous situation is one where there is an absolute
prohibition on user clause. Further, particular problems arise where
the use referred to is unique to the subject tenant. Such clauses can
have an important effect on rental value (Horwitz Grahame Books
case, The Valuer, November, 1990, p281) but may run counter to
the Trade Practices Act.
specifier user clause can also be positive. For example, where
it protects a tenant in a planned shopping centre from competition.