Victorian Consolidated Legislation

Land (Amendment and Miscellaneous Matters) Act 1986 - SECT 3

PART 2 AMENDMENT OF LAND ACT 1958

New section inserted in Land Act 1958

3. New section inserted in Land Act 1958

After section 99 of Land Act 1958 insert-

"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 sub-division 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
sub-section (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 sub-division 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 sub-division 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), the provisions of the lease and this Act for
        the re-appraisal of the rent continued to have effect; 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-the lease contained the provisions set out in
        sub-sections (3), (4), (5), and (6).

(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 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 rent is-

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

   (b)  if, at least one month before the date fixed for re-appraisal 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 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 rent under the existing
lease.

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