Victorian Consolidated Legislation

Land Act 1958 - SECT 100

Sale of Crown land subject to lease

100. Sale of Crown land subject to lease



(1) This section applies to a sale under this Division of Crown land, if the
Crown land is subject to a lease granted under subdivision 1 of Division 9 or
any corresponding previous enactment (except a lease for amusement or
recreational purposes or for the purposes of rifle ranges or roads and
tramways, or a lease under section 137A).

(2) Upon a sale to which this section applies any lease referred to in
subsection (1) to which the sale is subject has effect as a lease between the
purchaser as lessor and the lessee under the lease as if it had been assigned
to the purchaser and as if-

   (a)  any reference in the lease (except in relation to the exception and
        reservation of minerals to the Crown) to Her Majesty, the Governor,
        the Governor in Council, a Minister or any other person having a power
        or discretion exercisable under the lease for or on behalf of the
        Crown or lessor were a reference to the lessor for the time being; and



   (b)  any reference in subdivision 1 of Division 9 or a corresponding
        previous enactment (except in relation to the exception and
        reservation of minerals to the Crown) to the powers, discretion or
        duties of the Minister under that subdivision or enactment in relation
        to the lease were a reference to powers, discretions or duties of the
        lessor for the time being; and

   (c)  subject to paragraph (a), in the case of a lease providing for
        reappraisal of rent, the provisions of that lease and this Act for the
        re-appraisal of the rent continued to have effect7; and

   (ca) subject to paragraph (a), in the case of a lease providing for review
        of rent, the provisions of that lease and this Act continue to have
        effect8; and

   (d)  any provision in the lease-

   (i)  permitting resumption of land for public purposes; or

   (ii) requiring contribution by the lessee to the cost of construction of
        works as if the lessee were liable as owner under the Local Government
        Act 1958-

were void; and

   (e)  the lease contained a provision under which the lessee agrees to pay
        to the lessor the amount of any land tax charged to the owner of the
        land subject to the lease (other than any amount exceeding the amount
        payable by an owner owning that land and no other land); and

   (f)  if this Act or the lease provides for the fixing of re-appraised rents
        by the Minister or for rent review by the Minister-the lease contained
        the provisions set out in subsections (3), (4), (5), and (6)9.

(3) If a lease to which this section applies was entered into before the date
of commencement of section 10 of the Land (Amendment) Act 1983 and was
continued in force by section 26 of that Act, section 134(4) of this Act as in
force before the date of commencement of section 10 of that Act continues to
apply to the lease, as if section 134(4)(a)(vi) and (vii) referred to a
certified valuer appointed at the request of the lessor or lessee by the
President of the Victorian Division of the Australian Institute of Valuers,
instead of to the Minister.

(4) The amount of re-appraised or reviewed rent must be determined having
regard to the market rental value of the land subject to the lease,
disregarding any improvements made by the lessee or sub-lessee during the term
of the lease, and the amount of the re-appraised or reviewed rent is10-

   (a)  the amount agreed between the lessor and the lessee; or

   (b)  if, at least one month before the date fixed for re-appraisal or
        review of the rent in accordance with this Act or the lease, the
        lessor and lessee cannot agree as to the amount of the re-appraised or
        reviewed amount, such amount as is determined by a certified valuer
        appointed at the request of the lessor or lessee by the President of
        the Victorian Division of the Australian Institute of Valuers.

(5) If improvements were made by a lessee under a previous lease and were not
taken into account in the assessment of the rent under an existing lease of
the land when the existing lease was entered into, those improvements must be
disregarded in determining the amount of re-appraised or reviewed rent under
the existing lease11.

(6) If a valuer is appointed in accordance with subsection (3) or (4) the
parties to the lease are jointly and severally liable to pay the fee of the
valuer.

Division 7-Swamp or reclaimed lands