Northern Territory Consolidated Acts

CROWN LANDS ACT - SECT 49

(1) Where land which is available for leasing has on it improvements belonging to the Crown, the Minister may determine:

(a) that the value of the improvements be taken into consideration in fixing the rent to be reserved under the lease; or

(b) that a lease of the land shall not be granted unless the proposed lessee agrees to make payment in respect of the value of the improvements.

(2) The value of the improvements on land available for leasing for the purposes of this section shall be such amount as is determined by the Minister.

(3) The amount so determined by the Minister as the value of the improvements shall:

(a) be specified as the purchase price of the improvements in the notice in relation to the land given under section 13(1); and

(b) be specified in the lease offered to the proposed lessee.

(4) Where the value of the improvements is taken into consideration in fixing the rent to be reserved under the lease, the lease shall contain a recital to that effect and a covenant by the lessee to maintain the improvements in good and tenantable repair.

(5) Where a proposed lessee agrees to make payment in respect of the value of the improvements on land to be leased to him, the Minister may permit the payment to be made by instalments, and, in that event, the lease shall, in addition to the matters provided for elsewhere in this Act:

(a) specify the amount of each instalment;

(b) specify the respective dates on which each instalment shall be payable;

(c) contain a covenant by the lessee to pay the value of the improvements by the instalments specified in the lease, and a provision that in the event of the surrender of the lease or of the forfeiture of the lease for the lessee's failure to pay the instalments or any amount due for interest or additional interest, the balance of the value of the improvements unpaid at the date of the surrender or forfeiture of the lease is an amount owing under the lease;

(d) contain a provision that the lessee shall, with each instalment, pay interest on the unpaid balance at such rate as the Minister from time to time determines and notifies in writing to the lessee;

(e) contain a provision that, if the amount of interest or any part of the interest so payable is not paid on or before the date on which it is payable, the lessee shall pay additional interest at such rates as the Minister from time to time determines and notifies in writing to the lessee on the amount of the interest unpaid;

(f) contain a covenant by the lessee that the lessee will maintain the improvements in good and tenantable repair until the payment has been made in full; and

(g) contain a covenant that the lessee will keep the improvements insured as prescribed until payment has been made in full.

(6) An amount payable under the lease that remains unpaid is a debt due by the lessee to the Territory charged on the land.

(7) Where a lessee fails to pay an amount payable under the lease, other than the rent reserved by the lease, for a period exceeding 28 days after the date on which payment fell due, the Minister may, by notice in writing served on the lessee, require the lessee to pay, within 28 days after the date of the notice, the amount that the lessee has failed to pay.

(8) Where a lessee fails to pay the amount specified in a notice under subsection (7), the Minister may, without prejudice to the Territory's right to sue for, and recover, the amount, by notice in writing to the lessee, forfeit the lease.

(9) Where a lease is forfeited in pursuance of subsection (8) and the value, as determined by the Minister, of the improvements on the date on which the lease is forfeited, exceeds the total of:

(a) all amounts owing under the forfeited lease; and

(b) the costs, as determined by the Minister, of and incidental to, the forfeiture of the lease,

the person whose lease has been forfeited is entitled to receive payment of the amount of the excess.

(10) An objection may not be made to, and a request may not be made to the Minister to refer to the Land and Valuation Review Tribunal for review, a determination of the value of improvements made, for the purposes of this section, by the Minister.