{"id":"qld:act-1957-040","name":"Housing (Freeholding of Land) Act 1957","slug":"housing-freeholding-of-land-act-1957","collection":"act","jurisdiction":"qld","status":"in_force","isInForce":true,"actNumber":"40 of 1957","makingDate":null,"administeringDepartment":null,"currentVersion":{"id":105685,"registerId":"qld-act-1957-040-current","compilationNumber":null,"startDate":"2026-04-03","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"pt.1","sectionType":"part","heading":"Preliminary","content":"# Preliminary","sortOrder":0},{"sectionNumber":"sec.1","sectionType":"section","heading":"Short title","content":"### sec.1 Short title\n\nThis Act may be cited as the Housing (Freeholding of Land) Act 1957 .\ns 1 sub 1993 No. 76 s 3 sch 1\namd 2003 No. 52 s 153 sch 2","sortOrder":1},{"sectionNumber":"sec.2","sectionType":"section","heading":"Dictionary","content":"### sec.2 Dictionary\n\nThe dictionary in schedule 2 defines particular words used in this Act.\ns 2 prev s 2 amd 1980 No. 49 s 3 ; 1983 No. 9 s 19\nom 1993 No. 76 s 3 sch 1\npres s 2 ins 2005 No. 46 s 10","sortOrder":2},{"sectionNumber":"sec.3","sectionType":"section","heading":"Act to be read with Housing Act 2003","content":"### sec.3 Act to be read with Housing Act 2003\n\nThis Act shall be read as one with the Housing Act 2003 .\ns 3 amd 2003 No. 52 s 153 sch 2 ; 2006 No. 46 s 12","sortOrder":3},{"sectionNumber":"pt.2","sectionType":"part","heading":"Homes and home sites","content":"# Homes and home sites","sortOrder":4},{"sectionNumber":"pt.2-div.1","sectionType":"division","heading":"Preliminary","content":"## Preliminary","sortOrder":5},{"sectionNumber":"sec.3A","sectionType":"section","heading":"Declared percentage","content":"### sec.3A Declared percentage\n\nThe chief executive must declare, by publishing a notice in a newspaper circulating throughout the State, the percentage (the declared percentage ) of the value amount of a residential lease that must be used—\nto work out the purchase price for converting a residential lease to freehold land under division 2 , subdivision 1 ; or\nto work out the conversion cost for an unconverted lease under division 3 .\nThe declared percentage—\nmust not be more than 100%; and\nmust be worked out in accordance with the requirements for working out the declared percentage prescribed under a regulation.\ns 3A prev s 3A ins 2003 No. 52 s 153 sch 2 (om 2005 No. 33 s 11 (retro))\npres s 3A ins 2005 No. 46 s 14\namd 2010 No. 39 s 325 sch 1 pt 2\n(sec.3A-ssec.1) The chief executive must declare, by publishing a notice in a newspaper circulating throughout the State, the percentage (the declared percentage ) of the value amount of a residential lease that must be used— to work out the purchase price for converting a residential lease to freehold land under division 2 , subdivision 1 ; or to work out the conversion cost for an unconverted lease under division 3 .\n(sec.3A-ssec.2) The declared percentage— must not be more than 100%; and must be worked out in accordance with the requirements for working out the declared percentage prescribed under a regulation.\n- (a) to work out the purchase price for converting a residential lease to freehold land under division 2 , subdivision 1 ; or\n- (b) to work out the conversion cost for an unconverted lease under division 3 .\n- (a) must not be more than 100%; and\n- (b) must be worked out in accordance with the requirements for working out the declared percentage prescribed under a regulation.","sortOrder":6},{"sectionNumber":"pt.2-div.2","sectionType":"division","heading":"Voluntary conversion of residential leases to freehold land","content":"## Voluntary conversion of residential leases to freehold land","sortOrder":7},{"sectionNumber":"sec.3B","sectionType":"section","heading":"Application of sdiv 1","content":"### sec.3B Application of sdiv 1\n\nSubject to subdivision 2 , this subdivision does not apply to a conversion in progress lease.\ns 3B ins 2005 No. 46 s 14","sortOrder":8},{"sectionNumber":"sec.3C","sectionType":"section","heading":"Lessee’s application to convert residential lease","content":"### sec.3C Lessee’s application to convert residential lease\n\nThe lessee of a residential lease may, at any time, make a written application (a conversion application ) to the chief executive to convert the lease to freehold land.\ns 3C ins 2005 No. 46 s 14","sortOrder":9},{"sectionNumber":"sec.4","sectionType":"section","heading":"Chief executive’s offer to convert","content":"### sec.4 Chief executive’s offer to convert\n\nIf the chief executive receives a conversion application, the chief executive must, as soon as practicable—\nwork out the purchase price for converting the residential lease to freehold land; and\ngive the lessee a written notice (an offer to convert ) stating each of the following—\nthe purchase price;\nthe period (the availability period ) during which the lessee may accept the offer to convert;\nthe day (the effective day ) the lessee’s requirement to comply with the lease ends if the offer is accepted during the availability period;\nif the offer is subject to conditions under subsection (3) —the conditions.\nThe offer to convert may state more than 1 purchase price for different effective days.\nThe chief executive may make an offer to convert subject to any relevant condition stated in the offer, including, for example, the following conditions—\nthat fees for converting the lease to freehold land, including, for example, fees prescribed under the Land Act 1994 or the Land Title Act 1994 , be paid by the lessee;\nthat any costs reasonably incurred by the chief executive in converting the lease to freehold land be paid by the lessee.\nThe chief executive may also give the lessee of a residential lease an offer to convert on the chief executive’s own initiative if the lessee has not made a conversion application.\ns 4 amd 1979 No. 5 s 19 ; 1980 No. 49 s 5 ; 1983 No. 9 s 20\nsub 2003 No. 52 s 153 sch 2 (amd 2005 No. 33 s 11 (retro)); 2005 No. 46 ss 13 – 14\n(sec.4-ssec.1) If the chief executive receives a conversion application, the chief executive must, as soon as practicable— work out the purchase price for converting the residential lease to freehold land; and give the lessee a written notice (an offer to convert ) stating each of the following— the purchase price; the period (the availability period ) during which the lessee may accept the offer to convert; the day (the effective day ) the lessee’s requirement to comply with the lease ends if the offer is accepted during the availability period; if the offer is subject to conditions under subsection (3) —the conditions.\n(sec.4-ssec.2) The offer to convert may state more than 1 purchase price for different effective days.\n(sec.4-ssec.3) The chief executive may make an offer to convert subject to any relevant condition stated in the offer, including, for example, the following conditions— that fees for converting the lease to freehold land, including, for example, fees prescribed under the Land Act 1994 or the Land Title Act 1994 , be paid by the lessee; that any costs reasonably incurred by the chief executive in converting the lease to freehold land be paid by the lessee.\n(sec.4-ssec.4) The chief executive may also give the lessee of a residential lease an offer to convert on the chief executive’s own initiative if the lessee has not made a conversion application.\n- (a) work out the purchase price for converting the residential lease to freehold land; and\n- (b) give the lessee a written notice (an offer to convert ) stating each of the following— (i) the purchase price; (ii) the period (the availability period ) during which the lessee may accept the offer to convert; (iii) the day (the effective day ) the lessee’s requirement to comply with the lease ends if the offer is accepted during the availability period; (iv) if the offer is subject to conditions under subsection (3) —the conditions.\n- (i) the purchase price;\n- (ii) the period (the availability period ) during which the lessee may accept the offer to convert;\n- (iii) the day (the effective day ) the lessee’s requirement to comply with the lease ends if the offer is accepted during the availability period;\n- (iv) if the offer is subject to conditions under subsection (3) —the conditions.\n- (i) the purchase price;\n- (ii) the period (the availability period ) during which the lessee may accept the offer to convert;\n- (iii) the day (the effective day ) the lessee’s requirement to comply with the lease ends if the offer is accepted during the availability period;\n- (iv) if the offer is subject to conditions under subsection (3) —the conditions.\n- (a) that fees for converting the lease to freehold land, including, for example, fees prescribed under the Land Act 1994 or the Land Title Act 1994 , be paid by the lessee;\n- (b) that any costs reasonably incurred by the chief executive in converting the lease to freehold land be paid by the lessee.","sortOrder":10},{"sectionNumber":"sec.4A","sectionType":"section","heading":"Purchase price","content":"### sec.4A Purchase price\n\nThe purchase price for converting a residential lease to freehold land under this subdivision is the amount equal to the difference between—\nthe declared percentage of the value amount of the lease; and\nthe amount of any concession prescribed under a regulation that applies for the conversion.\nHowever, the chief executive may adjust the purchase price to account for arrears of rent, or credits for rent, payable by or to the lessee under the lease.\nA regulation made under subsection (1) (b) may prescribe a concession that applies in different amounts for converting different residential leases, or different types of residential leases, to freehold land.\nA concession might apply in different amounts depending on how long a lessee has held a residential lease.\ns 4A ins 2005 No. 46 s 14\namd 2010 No. 39 s 325 sch 1 pt 2\n(sec.4A-ssec.1) The purchase price for converting a residential lease to freehold land under this subdivision is the amount equal to the difference between— the declared percentage of the value amount of the lease; and the amount of any concession prescribed under a regulation that applies for the conversion.\n(sec.4A-ssec.2) However, the chief executive may adjust the purchase price to account for arrears of rent, or credits for rent, payable by or to the lessee under the lease.\n(sec.4A-ssec.3) A regulation made under subsection (1) (b) may prescribe a concession that applies in different amounts for converting different residential leases, or different types of residential leases, to freehold land. A concession might apply in different amounts depending on how long a lessee has held a residential lease.\n- (a) the declared percentage of the value amount of the lease; and\n- (b) the amount of any concession prescribed under a regulation that applies for the conversion.","sortOrder":11},{"sectionNumber":"sec.4B","sectionType":"section","heading":"Acceptance of offer to convert","content":"### sec.4B Acceptance of offer to convert\n\nThe lessee of a residential lease may accept an offer to convert during the availability period for the offer.\nThe lessee must accept the offer to convert by—\npaying the purchase price to the chief executive; and\ngiving the chief executive all documents required to surrender the lease; and\ncomplying with the conditions stated in the offer.\nIf the lessee does not accept the offer to convert within the availability period—\nthe offer lapses at the end of the period; and\nsubject to division 3 , a subsequent conversion application or offer to convert may be made in relation to the lease.\ns 4B ins 2005 No. 46 s 14\n(sec.4B-ssec.1) The lessee of a residential lease may accept an offer to convert during the availability period for the offer.\n(sec.4B-ssec.2) The lessee must accept the offer to convert by— paying the purchase price to the chief executive; and giving the chief executive all documents required to surrender the lease; and complying with the conditions stated in the offer.\n(sec.4B-ssec.3) If the lessee does not accept the offer to convert within the availability period— the offer lapses at the end of the period; and subject to division 3 , a subsequent conversion application or offer to convert may be made in relation to the lease.\n- (a) paying the purchase price to the chief executive; and\n- (b) giving the chief executive all documents required to surrender the lease; and\n- (c) complying with the conditions stated in the offer.\n- (a) the offer lapses at the end of the period; and\n- (b) subject to division 3 , a subsequent conversion application or offer to convert may be made in relation to the lease.","sortOrder":12},{"sectionNumber":"sec.4C","sectionType":"section","heading":"How conversion takes effect","content":"### sec.4C How conversion takes effect\n\nIf the lessee of a residential lease accepts an offer to convert, the Governor in Council must issue a deed of grant to the lessee for the land contained in the lease.\nOn the registration of the deed of grant, the lease is cancelled.\nThe deed of grant issued under subsection (1) is issued subject to all of the interests to which the lease was subject immediately before its cancellation and in the same priorities.\ns 4C ins 2005 No. 46 s 14\nsub 2009 No. 19 s 27\n(sec.4C-ssec.1) If the lessee of a residential lease accepts an offer to convert, the Governor in Council must issue a deed of grant to the lessee for the land contained in the lease.\n(sec.4C-ssec.2) On the registration of the deed of grant, the lease is cancelled.\n(sec.4C-ssec.3) The deed of grant issued under subsection (1) is issued subject to all of the interests to which the lease was subject immediately before its cancellation and in the same priorities.","sortOrder":13},{"sectionNumber":"sec.5","sectionType":"section","heading":"Application of sdiv 2","content":"### sec.5 Application of sdiv 2\n\nThis subdivision applies for a conversion in progress lease.\ns 5 sub 1978 No. 58 s 14 ; 1980 No. 49 s 6 ; 1992 No. 64 s 3 sch 1\namd 2000 No. 1 s 86 sch 1 ; 2003 No. 52 s 153 sch 2 (amd 2005 No. 33 s 11 (retro))\nsub 2005 No. 46 ss 13 – 14","sortOrder":14},{"sectionNumber":"sec.5A","sectionType":"section","heading":"Purchase price","content":"### sec.5A Purchase price\n\nThis section applies if the lessee of the lease was not given notice of the purchasing price for the land contained in the lease under previous section 5(4) before 1 July 2006.\nThe purchase price for converting the lease to freehold land under this subdivision must be worked out by the chief executive under previous sections 5(1) and (1A) and 5A.\nFor subsection (2)—\nprevious sections 5(1), (1A) and (5) and 5A continue to apply, with any necessary changes, as if they had not been repealed; and\na reference in previous section 5A to the notice given to the lessee under previous section 5(4) is taken to be a reference to the offer to convert given to the lessee under this section.\nAs soon as practicable after the purchase price is worked out, the chief executive must give the lessee an offer to convert under section 4 .\nThe availability period stated in the offer to convert must be 3 months from the day the offer is given to the lessee.\ns 5A ins 1984 No. 89 s 10\namd 2003 No. 52 s 153 sch 2 (om 2005 No. 33 s 11 (retro))\nsub 2005 No. 46 s 14\n(sec.5A-ssec.1) This section applies if the lessee of the lease was not given notice of the purchasing price for the land contained in the lease under previous section 5(4) before 1 July 2006.\n(sec.5A-ssec.2) The purchase price for converting the lease to freehold land under this subdivision must be worked out by the chief executive under previous sections 5(1) and (1A) and 5A.\n(sec.5A-ssec.3) For subsection (2)— previous sections 5(1), (1A) and (5) and 5A continue to apply, with any necessary changes, as if they had not been repealed; and a reference in previous section 5A to the notice given to the lessee under previous section 5(4) is taken to be a reference to the offer to convert given to the lessee under this section.\n(sec.5A-ssec.4) As soon as practicable after the purchase price is worked out, the chief executive must give the lessee an offer to convert under section 4 .\n(sec.5A-ssec.5) The availability period stated in the offer to convert must be 3 months from the day the offer is given to the lessee.\n- (a) previous sections 5(1), (1A) and (5) and 5A continue to apply, with any necessary changes, as if they had not been repealed; and\n- (b) a reference in previous section 5A to the notice given to the lessee under previous section 5(4) is taken to be a reference to the offer to convert given to the lessee under this section.","sortOrder":15},{"sectionNumber":"sec.5B","sectionType":"section","heading":"Acceptance and payment of purchase price","content":"### sec.5B Acceptance and payment of purchase price\n\nThe lessee of the lease may accept the purchase price stated in the relevant price notice during the availability period by giving written notice (the acceptance notice ) to the chief executive of the lessee’s acceptance.\nImmediately after the chief executive receives the acceptance notice, the chief executive must give the lessee a written acknowledgement stating the day the chief executive received the notice.\nIf the lessee accepts the purchase price during the availability period, the lessee must, within 30 days after the chief executive receives the lessee’s acceptance notice—\npay the purchase price to the chief executive; and\ngive the chief executive all documents required to surrender the lease; and\ncomply with the conditions stated in the relevant price notice.\nIf the lessee complies with subsection (3) , section 4C applies in relation to the lease as if the lessee had accepted an offer to convert under subdivision 1 .\nIf the lessee does not accept the purchase price during the availability period, the lease—\nis no longer a conversion in progress lease; and\nsubject to division 3 , may be converted to freehold land under subdivision 1 .\nIf the lessee accepts the purchase price during the availability period but does not comply with subsection (3) —\nthe purchase price lapses at the end of the 30 day period; and\nthe lease—\nis no longer a conversion in progress lease; and\nsubject to division 3 , may be converted to freehold land under subdivision 1 .\nIn this section—\navailability period means—\nif the lessee is an existing notice lessee—3 months after the relevant price notice was given to the lessee; or\notherwise—the availability period stated in the offer to convert given to the lessee under section 5A.\nexisting notice lessee means a lessee who was given notice of the purchasing price for the land contained in the lease under previous section 5(4).\nrelevant price notice means—\nif the lessee is an existing notice lessee—the notice given to the lessee under previous section 5(4); or\nif the lessee was given an offer to convert under section 5A—the offer.\ns 5B ins 2005 No. 46 s 14\namd 2009 No. 19 s 28\n(sec.5B-ssec.1) The lessee of the lease may accept the purchase price stated in the relevant price notice during the availability period by giving written notice (the acceptance notice ) to the chief executive of the lessee’s acceptance.\n(sec.5B-ssec.2) Immediately after the chief executive receives the acceptance notice, the chief executive must give the lessee a written acknowledgement stating the day the chief executive received the notice.\n(sec.5B-ssec.3) If the lessee accepts the purchase price during the availability period, the lessee must, within 30 days after the chief executive receives the lessee’s acceptance notice— pay the purchase price to the chief executive; and give the chief executive all documents required to surrender the lease; and comply with the conditions stated in the relevant price notice.\n(sec.5B-ssec.4) If the lessee complies with subsection (3) , section 4C applies in relation to the lease as if the lessee had accepted an offer to convert under subdivision 1 .\n(sec.5B-ssec.5) If the lessee does not accept the purchase price during the availability period, the lease— is no longer a conversion in progress lease; and subject to division 3 , may be converted to freehold land under subdivision 1 .\n(sec.5B-ssec.6) If the lessee accepts the purchase price during the availability period but does not comply with subsection (3) — the purchase price lapses at the end of the 30 day period; and the lease— is no longer a conversion in progress lease; and subject to division 3 , may be converted to freehold land under subdivision 1 .\n(sec.5B-ssec.7) In this section— availability period means— if the lessee is an existing notice lessee—3 months after the relevant price notice was given to the lessee; or otherwise—the availability period stated in the offer to convert given to the lessee under section 5A. existing notice lessee means a lessee who was given notice of the purchasing price for the land contained in the lease under previous section 5(4). relevant price notice means— if the lessee is an existing notice lessee—the notice given to the lessee under previous section 5(4); or if the lessee was given an offer to convert under section 5A—the offer.\n- (a) pay the purchase price to the chief executive; and\n- (b) give the chief executive all documents required to surrender the lease; and\n- (c) comply with the conditions stated in the relevant price notice.\n- (a) is no longer a conversion in progress lease; and\n- (b) subject to division 3 , may be converted to freehold land under subdivision 1 .\n- (a) the purchase price lapses at the end of the 30 day period; and\n- (b) the lease— (i) is no longer a conversion in progress lease; and (ii) subject to division 3 , may be converted to freehold land under subdivision 1 .\n- (i) is no longer a conversion in progress lease; and\n- (ii) subject to division 3 , may be converted to freehold land under subdivision 1 .\n- (i) is no longer a conversion in progress lease; and\n- (ii) subject to division 3 , may be converted to freehold land under subdivision 1 .\n- (a) if the lessee is an existing notice lessee—3 months after the relevant price notice was given to the lessee; or\n- (b) otherwise—the availability period stated in the offer to convert given to the lessee under section 5A.\n- (a) if the lessee is an existing notice lessee—the notice given to the lessee under previous section 5(4); or\n- (b) if the lessee was given an offer to convert under section 5A—the offer.","sortOrder":16},{"sectionNumber":"pt.2-div.3","sectionType":"division","heading":"Automatic conversion of residential leases to freehold land","content":"## Automatic conversion of residential leases to freehold land","sortOrder":17},{"sectionNumber":"sec.5C","sectionType":"section","heading":"Application of div 3","content":"### sec.5C Application of div 3\n\nThis division does not apply to a residential lease until 1 July 2009 (the application day ).\ns 5C ins 2005 No. 46 s 14","sortOrder":18},{"sectionNumber":"sec.6","sectionType":"section","heading":"Definitions for div 3","content":"### sec.6 Definitions for div 3\n\nIn this division—\nbeneficiary , in relation to a deceased lessee of an unconverted lease, means a person beneficially entitled to the lessee’s ownership of the unconverted lease.\nconversion cost , for an unconverted lease, means the total of the following amounts—\nthe amount equivalent to the declared percentage of the value amount of the lease;\nany fees prescribed, at the time the lease is cancelled under this division, under the Land Act 1994 or the Land Title Act 1994 for the issue of a deed of grant for the land contained in the lease;\nthe costs reasonably incurred by the chief executive in converting the lease to freehold land.\ns 6 def conversion cost amd 2010 No. 39 s 325 sch 1 pt 2\nregister a document, an interest, land or something else, means to record the particulars of the thing in the appropriate register under the Land Act 1994 or the Land Title Act 1994 .\nregistered owner , of land in a deed of grant issued under this division, means the person recorded in the freehold land register as the registered owner of the land.\nunconverted lease means a residential lease in force immediately before the application day.\ns 6 amd 1978 No. 58 s 15 ; 1980 No. 49 s 7 ; 2003 No. 52 s 153 sch 2 (amd 2005 No. 33 s 11 (retro))\nsub 2005 No. 46 ss 13 – 14\n- (a) the amount equivalent to the declared percentage of the value amount of the lease;\n- (b) any fees prescribed, at the time the lease is cancelled under this division, under the Land Act 1994 or the Land Title Act 1994 for the issue of a deed of grant for the land contained in the lease;\n- (c) the costs reasonably incurred by the chief executive in converting the lease to freehold land.","sortOrder":19},{"sectionNumber":"sec.6A","sectionType":"section","heading":"Meaning of prescribed change of ownership","content":"### sec.6A Meaning of prescribed change of ownership\n\nA prescribed change of ownership of an unconverted lease is a change in the lessee’s ownership of the lease registered on or after the application day, other than any of the following—\nfor an unconverted lease held by joint tenants, if 1 or more of the joint tenants die—the recording of the surviving joint tenant or tenants as the lessee for the lease;\nfor an unconverted lease held by a lessee who dies—a transmission of the lease to the lessee’s personal representative;\nfor an unconverted lease held by a person who becomes an insolvent under administration—a transmission of the lease—\nto the person’s trustee; or\nif the person ceases to be an insolvent under administration—from the person’s trustee to the person;\nanother change in the lessee’s ownership of a type prescribed under a regulation.\ns 6A ins 2005 No. 46 s 14\namd 2023 No. 23 s 247 sch 1 s 2 (3)\n- (a) for an unconverted lease held by joint tenants, if 1 or more of the joint tenants die—the recording of the surviving joint tenant or tenants as the lessee for the lease;\n- (b) for an unconverted lease held by a lessee who dies—a transmission of the lease to the lessee’s personal representative;\n- (c) for an unconverted lease held by a person who becomes an insolvent under administration—a transmission of the lease— (i) to the person’s trustee; or (ii) if the person ceases to be an insolvent under administration—from the person’s trustee to the person;\n- (i) to the person’s trustee; or\n- (ii) if the person ceases to be an insolvent under administration—from the person’s trustee to the person;\n- (d) another change in the lessee’s ownership of a type prescribed under a regulation.\n- (i) to the person’s trustee; or\n- (ii) if the person ceases to be an insolvent under administration—from the person’s trustee to the person;","sortOrder":20},{"sectionNumber":"sec.6B","sectionType":"section","heading":"Cancellation of lease on registration of transfer","content":"### sec.6B Cancellation of lease on registration of transfer\n\nThis section applies if a prescribed change of ownership of an unconverted lease is registered.\nOn registration of the change of ownership (the converting change of ownership ), the Governor in Council must issue a deed of grant for the land contained in the lease to the transferee recorded under the converting change of ownership.\nOn the registration of the deed of grant, the lease is cancelled.\nThe deed of grant is issued subject to all the following interests—\nif section 7 (2) applies to the deed—the chief executive’s charge;\nall of the interests to which the lease was subject.\nThe order of priority of the interests is—\nfirstly, the chief executive’s charge; and\nsecondly, the interests mentioned in subsection (4) (b) in the order in which they would have had priority had the lease not been cancelled.\nIf there is an unregistered document in relation to the cancelled lease, the document must be relodged by the registrar, for the person who lodged the document, against the deed of grant.\nAs soon as practicable after the lease is cancelled, the registrar must—\nrecord the cancellation; and\nadvise the chief executive of the cancellation.\nNo fee is payable for recording the cancellation of the lease.\nIn this section—\nunregistered document means a document that—\nhas been lodged under the Land Act 1994 but is not registered; and\nhas not been rejected.\ns 6B ins 2005 No. 46 s 14\namd 2009 No. 19 s 29\n(sec.6B-ssec.1) This section applies if a prescribed change of ownership of an unconverted lease is registered.\n(sec.6B-ssec.2) On registration of the change of ownership (the converting change of ownership ), the Governor in Council must issue a deed of grant for the land contained in the lease to the transferee recorded under the converting change of ownership.\n(sec.6B-ssec.3) On the registration of the deed of grant, the lease is cancelled.\n(sec.6B-ssec.4) The deed of grant is issued subject to all the following interests— if section 7 (2) applies to the deed—the chief executive’s charge; all of the interests to which the lease was subject.\n(sec.6B-ssec.5) The order of priority of the interests is— firstly, the chief executive’s charge; and secondly, the interests mentioned in subsection (4) (b) in the order in which they would have had priority had the lease not been cancelled.\n(sec.6B-ssec.6) If there is an unregistered document in relation to the cancelled lease, the document must be relodged by the registrar, for the person who lodged the document, against the deed of grant.\n(sec.6B-ssec.7) As soon as practicable after the lease is cancelled, the registrar must— record the cancellation; and advise the chief executive of the cancellation.\n(sec.6B-ssec.8) No fee is payable for recording the cancellation of the lease.\n(sec.6B-ssec.9) In this section— unregistered document means a document that— has been lodged under the Land Act 1994 but is not registered; and has not been rejected.\n- (a) if section 7 (2) applies to the deed—the chief executive’s charge;\n- (b) all of the interests to which the lease was subject.\n- (a) firstly, the chief executive’s charge; and\n- (b) secondly, the interests mentioned in subsection (4) (b) in the order in which they would have had priority had the lease not been cancelled.\n- (a) record the cancellation; and\n- (b) advise the chief executive of the cancellation.\n- (a) has been lodged under the Land Act 1994 but is not registered; and\n- (b) has not been rejected.","sortOrder":21},{"sectionNumber":"sec.6C","sectionType":"section","heading":"Conversion cost may be paid before issue of deed of grant","content":"### sec.6C Conversion cost may be paid before issue of deed of grant\n\nThe lessee of an unconverted lease may pay the conversion cost for the lease to the chief executive before a deed of grant is issued under section 6B (3) for the land contained in the lease.\ns 6C ins 2005 No. 46 s 14","sortOrder":22},{"sectionNumber":"sec.7","sectionType":"section","heading":"Creation of chief executive’s charge","content":"### sec.7 Creation of chief executive’s charge\n\nThis section applies if the conversion cost for an unconverted lease is not paid to the chief executive before a deed of grant is issued under section 6B (3) for the land contained in the lease.\nThe deed of grant is subject to a charge (the chief executive’s charge ) in favour of the chief executive securing payment of the conversion cost.\nThe charge is binding on the registered owner to whom the deed of grant is issued and the registered owner’s successors in title.\nThe chief executive must, when the deed of grant is lodged with the registrar of titles, give written notice to the registrar stating—\nthe conversion cost for the lease; and\nthe last day of the payment period for the deed of grant.\nThe registrar of titles must—\nrecord the chief executive’s charge in the freehold land register; and\nwhile the charge is recorded in the freehold land register, keep a record of the information given to the registrar under subsection (4) .\nNo fee is payable for recording the chief executive’s charge in the freehold land register.\nFor the Local Government Act 2009 , the chief executive’s charge is an encumbrance conferring rights on the State.\ns 7 amd 1979 No. 5 s 20 ; 1980 No. 49 s 8 ; 2003 No. 52 s 153 sch 2 (amd 2005 No. 33 s 11 (retro))\nsub 2005 No. 46 ss 13 – 14\namd 2009 No. 17 s 331 sch 1\n(sec.7-ssec.1) This section applies if the conversion cost for an unconverted lease is not paid to the chief executive before a deed of grant is issued under section 6B (3) for the land contained in the lease.\n(sec.7-ssec.2) The deed of grant is subject to a charge (the chief executive’s charge ) in favour of the chief executive securing payment of the conversion cost.\n(sec.7-ssec.3) The charge is binding on the registered owner to whom the deed of grant is issued and the registered owner’s successors in title.\n(sec.7-ssec.4) The chief executive must, when the deed of grant is lodged with the registrar of titles, give written notice to the registrar stating— the conversion cost for the lease; and the last day of the payment period for the deed of grant.\n(sec.7-ssec.5) The registrar of titles must— record the chief executive’s charge in the freehold land register; and while the charge is recorded in the freehold land register, keep a record of the information given to the registrar under subsection (4) .\n(sec.7-ssec.6) No fee is payable for recording the chief executive’s charge in the freehold land register.\n(sec.7-ssec.7) For the Local Government Act 2009 , the chief executive’s charge is an encumbrance conferring rights on the State.\n- (a) the conversion cost for the lease; and\n- (b) the last day of the payment period for the deed of grant.\n- (a) record the chief executive’s charge in the freehold land register; and\n- (b) while the charge is recorded in the freehold land register, keep a record of the information given to the registrar under subsection (4) .","sortOrder":23},{"sectionNumber":"sec.7A","sectionType":"section","heading":"Requirement to pay conversion cost","content":"### sec.7A Requirement to pay conversion cost\n\nIf a deed of grant is issued subject to the chief executive’s charge, the registered owner of the land in the deed of grant must pay the conversion cost for the unconverted lease to the chief executive within the period stated in subsection (2) .\nThe period (the payment period ) is—\nif the lessee of the unconverted lease died and the converting change of ownership was a transmission or transfer to a beneficiary in relation to the deceased lessee—the period provided for under section 7B ; or\notherwise—2 years from the day the converting change of ownership is registered.\ns 7A ins 2005 No. 46 s 14\n(sec.7A-ssec.1) If a deed of grant is issued subject to the chief executive’s charge, the registered owner of the land in the deed of grant must pay the conversion cost for the unconverted lease to the chief executive within the period stated in subsection (2) .\n(sec.7A-ssec.2) The period (the payment period ) is— if the lessee of the unconverted lease died and the converting change of ownership was a transmission or transfer to a beneficiary in relation to the deceased lessee—the period provided for under section 7B ; or otherwise—2 years from the day the converting change of ownership is registered.\n- (a) if the lessee of the unconverted lease died and the converting change of ownership was a transmission or transfer to a beneficiary in relation to the deceased lessee—the period provided for under section 7B ; or\n- (b) otherwise—2 years from the day the converting change of ownership is registered.","sortOrder":24},{"sectionNumber":"sec.7B","sectionType":"section","heading":"Payment period—deceased lessee","content":"### sec.7B Payment period—deceased lessee\n\nFor section 7A (2) (a) , the payment period is 5 years from the day of the lessee’s death.\nHowever, if the beneficiary to whom the unconverted lease was transferred transfers the land in the deed of grant to a non-beneficiary during the 5 year period, the payment period is the earliest of the following periods to end—\n5 years from the day of the lessee’s death;\n2 years from the day the transfer from the beneficiary to the non-beneficiary is registered.\nIn this section—\nnon-beneficiary means a person who is not a beneficiary in relation to the deceased lessee.\ns 7B ins 2005 No. 46 s 14\n(sec.7B-ssec.1) For section 7A (2) (a) , the payment period is 5 years from the day of the lessee’s death.\n(sec.7B-ssec.2) However, if the beneficiary to whom the unconverted lease was transferred transfers the land in the deed of grant to a non-beneficiary during the 5 year period, the payment period is the earliest of the following periods to end— 5 years from the day of the lessee’s death; 2 years from the day the transfer from the beneficiary to the non-beneficiary is registered.\n(sec.7B-ssec.3) In this section— non-beneficiary means a person who is not a beneficiary in relation to the deceased lessee.\n- (a) 5 years from the day of the lessee’s death;\n- (b) 2 years from the day the transfer from the beneficiary to the non-beneficiary is registered.","sortOrder":25},{"sectionNumber":"sec.7C","sectionType":"section","heading":"Enforcement of chief executive’s charge—notice of intention to sell land","content":"### sec.7C Enforcement of chief executive’s charge—notice of intention to sell land\n\nThis section applies if—\na deed of grant is issued subject to the chief executive’s charge; and\nthe registered owner of the land in the deed of grant does not pay the total amount of the conversion cost to the chief executive during the payment period; and\nthe chief executive decides to sell the land.\nThe chief executive must give written notice (a notice of intention to sell ) stating the matters mentioned in subsection (3) to—\nthe registered owner of the land; and\neach mortgagee of the land.\nThe matters are each of the following—\nthe day the payment period ended;\nthe amount of the unpaid conversion cost;\nthat the chief executive may sell the land if the registered owner does not pay to the chief executive within a stated period—\nthe amount of the unpaid conversion cost; and\nif the chief executive requires interest on the unpaid conversion cost to be paid by the registered owner—interest on the unpaid conversion cost.\nThe total amount payable by the registered owner under subsection (3) (c) is the demand amount .\nThe period stated in the notice under subsection (3) (c) must be at least 14 days after the notice is given to the registered owner.\nIf the notice requires the registered owner to pay interest under subsection (3) (c) (ii) , the interest is payable—\nat the standard variable interest rate that applies from time to time under the Housing Act 2003 , section 92 , for owner-occupied home loans or, if more than 1 standard variable interest rate applies, at the lowest applicable rate; and\nfor the period starting on the day after the payment period ends and ending on the day the amount of the unpaid conversion cost is paid in full.\nIf the registered owner does not pay the demand amount within the period stated in the notice, the chief executive may—\nsell the land; or\nif a mortgagee agrees to sell the land—allow the mortgagee to sell the land.\nIf the chief executive allows a mortgagee to sell the land under subsection (7) (b) , the lessee is taken to be in default under the mortgage.\ns 7C ins 2005 No. 46 s 14\n(sec.7C-ssec.1) This section applies if— a deed of grant is issued subject to the chief executive’s charge; and the registered owner of the land in the deed of grant does not pay the total amount of the conversion cost to the chief executive during the payment period; and the chief executive decides to sell the land.\n(sec.7C-ssec.2) The chief executive must give written notice (a notice of intention to sell ) stating the matters mentioned in subsection (3) to— the registered owner of the land; and each mortgagee of the land.\n(sec.7C-ssec.3) The matters are each of the following— the day the payment period ended; the amount of the unpaid conversion cost; that the chief executive may sell the land if the registered owner does not pay to the chief executive within a stated period— the amount of the unpaid conversion cost; and if the chief executive requires interest on the unpaid conversion cost to be paid by the registered owner—interest on the unpaid conversion cost.\n(sec.7C-ssec.4) The total amount payable by the registered owner under subsection (3) (c) is the demand amount .\n(sec.7C-ssec.5) The period stated in the notice under subsection (3) (c) must be at least 14 days after the notice is given to the registered owner.\n(sec.7C-ssec.6) If the notice requires the registered owner to pay interest under subsection (3) (c) (ii) , the interest is payable— at the standard variable interest rate that applies from time to time under the Housing Act 2003 , section 92 , for owner-occupied home loans or, if more than 1 standard variable interest rate applies, at the lowest applicable rate; and for the period starting on the day after the payment period ends and ending on the day the amount of the unpaid conversion cost is paid in full.\n(sec.7C-ssec.7) If the registered owner does not pay the demand amount within the period stated in the notice, the chief executive may— sell the land; or if a mortgagee agrees to sell the land—allow the mortgagee to sell the land.\n(sec.7C-ssec.8) If the chief executive allows a mortgagee to sell the land under subsection (7) (b) , the lessee is taken to be in default under the mortgage.\n- (a) a deed of grant is issued subject to the chief executive’s charge; and\n- (b) the registered owner of the land in the deed of grant does not pay the total amount of the conversion cost to the chief executive during the payment period; and\n- (c) the chief executive decides to sell the land.\n- (a) the registered owner of the land; and\n- (b) each mortgagee of the land.\n- (a) the day the payment period ended;\n- (b) the amount of the unpaid conversion cost;\n- (c) that the chief executive may sell the land if the registered owner does not pay to the chief executive within a stated period— (i) the amount of the unpaid conversion cost; and (ii) if the chief executive requires interest on the unpaid conversion cost to be paid by the registered owner—interest on the unpaid conversion cost.\n- (i) the amount of the unpaid conversion cost; and\n- (ii) if the chief executive requires interest on the unpaid conversion cost to be paid by the registered owner—interest on the unpaid conversion cost.\n- (i) the amount of the unpaid conversion cost; and\n- (ii) if the chief executive requires interest on the unpaid conversion cost to be paid by the registered owner—interest on the unpaid conversion cost.\n- (a) at the standard variable interest rate that applies from time to time under the Housing Act 2003 , section 92 , for owner-occupied home loans or, if more than 1 standard variable interest rate applies, at the lowest applicable rate; and\n- (b) for the period starting on the day after the payment period ends and ending on the day the amount of the unpaid conversion cost is paid in full.\n- (a) sell the land; or\n- (b) if a mortgagee agrees to sell the land—allow the mortgagee to sell the land.","sortOrder":26},{"sectionNumber":"sec.8","sectionType":"section","heading":"Release of chief executive’s charge on payment of conversion cost etc.","content":"### sec.8 Release of chief executive’s charge on payment of conversion cost etc.\n\nThis section applies if—\nthe chief executive receives payment of—\nthe conversion cost during the payment period; or\nthe demand amount during the period stated in a notice of intention to sell; or\nthe chief executive agrees to accept, and receives payment of, a lesser amount in payment of the chief executive’s charge.\nThe land in the deed of grant is released from the chief executive’s charge.\nThe chief executive must, as soon as practicable, ask the registrar of titles to record the release of the charge in the freehold land register.\nThe registrar of titles must, on the chief executive’s request, record the release of the charge in the freehold land register.\nNo fee is payable for recording the release of the chief executive’s charge under this section.\ns 8 amd 1980 No. 49 s 9 ; 1984 No. 89 s 11 ; 2003 No. 52 s 153 sch 2 (amd 2005 No. 33 s 11 (retro))\nsub 2005 No. 46 ss 13 – 14\n(sec.8-ssec.1) This section applies if— the chief executive receives payment of— the conversion cost during the payment period; or the demand amount during the period stated in a notice of intention to sell; or the chief executive agrees to accept, and receives payment of, a lesser amount in payment of the chief executive’s charge.\n(sec.8-ssec.2) The land in the deed of grant is released from the chief executive’s charge.\n(sec.8-ssec.3) The chief executive must, as soon as practicable, ask the registrar of titles to record the release of the charge in the freehold land register.\n(sec.8-ssec.4) The registrar of titles must, on the chief executive’s request, record the release of the charge in the freehold land register.\n(sec.8-ssec.5) No fee is payable for recording the release of the chief executive’s charge under this section.\n- (a) the chief executive receives payment of— (i) the conversion cost during the payment period; or (ii) the demand amount during the period stated in a notice of intention to sell; or\n- (i) the conversion cost during the payment period; or\n- (ii) the demand amount during the period stated in a notice of intention to sell; or\n- (b) the chief executive agrees to accept, and receives payment of, a lesser amount in payment of the chief executive’s charge.\n- (i) the conversion cost during the payment period; or\n- (ii) the demand amount during the period stated in a notice of intention to sell; or","sortOrder":27},{"sectionNumber":"sec.8A","sectionType":"section","heading":"Sale of land by chief executive","content":"### sec.8A Sale of land by chief executive\n\nIf the chief executive may sell the land in a deed of grant under section 7C (7) (a) , the land may be sold by public auction or private contract.\nThe chief executive must apply the proceeds of sale as follows—\nfirstly, in payment of all costs, charges and expenses properly incurred by the chief executive in the sale or a previous attempted sale of the land;\nsecondly, in payment of the demand amount to the chief executive;\nthirdly, in payment of any amount owing to a mortgagee or, if there is more than 1 mortgagee, according to their priorities;\nlastly, in payment to the previous registered owner of the land.\nOn the sale of the land, the chief executive must give the registrar of titles a completed instrument of transfer, in the approved form under the Land Title Act 1994 , in relation to the sale.\nOn receiving the instrument of transfer, the registrar of titles must register the purchaser stated in the instrument for the interest held in the land by the previous registered owner, free of all encumbrances.\nThe registrar of titles must comply with subsection (4) even if an instrument of title relating to the land is not produced.\nSubsection (4) applies subject to section 8B .\nIf the demand amount has not been paid in full after the proceeds of sale are applied, the unpaid part of the amount may be recovered from the previous registered owner of the land as a debt owing to the State.\nThe Property Law Act 2023 does not apply to the exercise of the chief executive’s powers under this section.\nIn this section—\nencumbrance —\nincludes any of the following affecting land—\na mortgage, lien or charge;\na caveat;\nan agreement;\na judgment, writ or process;\nan interest adverse to the interest of the land’s owner; but\ndoes not include an easement.\nprevious registered owner , of land sold under this section, means the person who was the registered owner of the land immediately before its sale.\ns 8A ins 2005 No. 46 s 14\namd 2023 No. 27 s 289 sch 3\n(sec.8A-ssec.1) If the chief executive may sell the land in a deed of grant under section 7C (7) (a) , the land may be sold by public auction or private contract.\n(sec.8A-ssec.2) The chief executive must apply the proceeds of sale as follows— firstly, in payment of all costs, charges and expenses properly incurred by the chief executive in the sale or a previous attempted sale of the land; secondly, in payment of the demand amount to the chief executive; thirdly, in payment of any amount owing to a mortgagee or, if there is more than 1 mortgagee, according to their priorities; lastly, in payment to the previous registered owner of the land.\n(sec.8A-ssec.3) On the sale of the land, the chief executive must give the registrar of titles a completed instrument of transfer, in the approved form under the Land Title Act 1994 , in relation to the sale.\n(sec.8A-ssec.4) On receiving the instrument of transfer, the registrar of titles must register the purchaser stated in the instrument for the interest held in the land by the previous registered owner, free of all encumbrances.\n(sec.8A-ssec.5) The registrar of titles must comply with subsection (4) even if an instrument of title relating to the land is not produced.\n(sec.8A-ssec.6) Subsection (4) applies subject to section 8B .\n(sec.8A-ssec.7) If the demand amount has not been paid in full after the proceeds of sale are applied, the unpaid part of the amount may be recovered from the previous registered owner of the land as a debt owing to the State.\n(sec.8A-ssec.8) The Property Law Act 2023 does not apply to the exercise of the chief executive’s powers under this section.\n(sec.8A-ssec.9) In this section— encumbrance — includes any of the following affecting land— a mortgage, lien or charge; a caveat; an agreement; a judgment, writ or process; an interest adverse to the interest of the land’s owner; but does not include an easement. previous registered owner , of land sold under this section, means the person who was the registered owner of the land immediately before its sale.\n- (a) firstly, in payment of all costs, charges and expenses properly incurred by the chief executive in the sale or a previous attempted sale of the land;\n- (b) secondly, in payment of the demand amount to the chief executive;\n- (c) thirdly, in payment of any amount owing to a mortgagee or, if there is more than 1 mortgagee, according to their priorities;\n- (d) lastly, in payment to the previous registered owner of the land.\n- (a) includes any of the following affecting land— (i) a mortgage, lien or charge; (ii) a caveat; (iii) an agreement; (iv) a judgment, writ or process; (v) an interest adverse to the interest of the land’s owner; but\n- (i) a mortgage, lien or charge;\n- (ii) a caveat;\n- (iii) an agreement;\n- (iv) a judgment, writ or process;\n- (v) an interest adverse to the interest of the land’s owner; but\n- (b) does not include an easement.\n- (i) a mortgage, lien or charge;\n- (ii) a caveat;\n- (iii) an agreement;\n- (iv) a judgment, writ or process;\n- (v) an interest adverse to the interest of the land’s owner; but","sortOrder":28},{"sectionNumber":"sec.8B","sectionType":"section","heading":"Priority of local government charge preserved","content":"### sec.8B Priority of local government charge preserved\n\nThis section applies if—\nthe chief executive intends to sell land under section 8A ; and\nthe land is subject to a charge for an overdue rate under the Local Government Act 2009 .\nThe chief executive must, before selling the land, give written notice to the local government to which the rate is payable stating the chief executive’s intention to sell the land.\nThe chief executive may sell the land only—\nsubject to the charge; or\nfree of the charge to the extent, and subject to any conditions, agreed by the local government to which the rate is payable.\ns 8B ins 2005 No. 46 s 14\namd 2009 No. 17 s 331 sch 1\n(sec.8B-ssec.1) This section applies if— the chief executive intends to sell land under section 8A ; and the land is subject to a charge for an overdue rate under the Local Government Act 2009 .\n(sec.8B-ssec.2) The chief executive must, before selling the land, give written notice to the local government to which the rate is payable stating the chief executive’s intention to sell the land.\n(sec.8B-ssec.3) The chief executive may sell the land only— subject to the charge; or free of the charge to the extent, and subject to any conditions, agreed by the local government to which the rate is payable.\n- (a) the chief executive intends to sell land under section 8A ; and\n- (b) the land is subject to a charge for an overdue rate under the Local Government Act 2009 .\n- (a) subject to the charge; or\n- (b) free of the charge to the extent, and subject to any conditions, agreed by the local government to which the rate is payable.","sortOrder":29},{"sectionNumber":"sec.9","sectionType":"section","heading":"Chief executive’s charge not affected by mortgagee sale","content":"### sec.9 Chief executive’s charge not affected by mortgagee sale\n\nThis section applies if—\na deed of grant is issued subject to the chief executive’s charge; and\na mortgagee exercising the power of sale under the Land Title Act 1994 sells the land in the deed of grant before the chief executive’s charge is released under this division.\nThe chief executive’s charge is not released by the sale and the land is transferred to the purchaser subject to the charge.\ns 9 amd 1978 No. 58 s 16 ; 1979 No. 5 s 21 ; 1980 No. 49 s 10 ; 1983 No. 9 s 21 ; 1993 No. 76 s 3 sch 1 ; 2003 No. 52 s 153 sch 2 (amd 2005 No. 33 s 11 (retro))\nsub 2005 No. 46 ss 13 – 14\namd 2023 No. 27 s 289 sch 3\n(sec.9-ssec.1) This section applies if— a deed of grant is issued subject to the chief executive’s charge; and a mortgagee exercising the power of sale under the Land Title Act 1994 sells the land in the deed of grant before the chief executive’s charge is released under this division.\n(sec.9-ssec.2) The chief executive’s charge is not released by the sale and the land is transferred to the purchaser subject to the charge.\n- (a) a deed of grant is issued subject to the chief executive’s charge; and\n- (b) a mortgagee exercising the power of sale under the Land Title Act 1994 sells the land in the deed of grant before the chief executive’s charge is released under this division.","sortOrder":30},{"sectionNumber":"sec.9A","sectionType":"section","heading":"Condition of unconverted lease","content":"### sec.9A Condition of unconverted lease\n\nOn the application day, an unconverted lease is subject to the condition that if a prescribed change of ownership for the lease is registered, the lease is cancelled under this division on the registration of a deed of grant for the land contained in the lease.\ns 9A ins 2005 No. 46 s 14\namd 2009 No. 19 s 30","sortOrder":31},{"sectionNumber":"sec.9B","sectionType":"section","heading":"Notification about application of div 3 to unconverted leases to be kept with register","content":"### sec.9B Notification about application of div 3 to unconverted leases to be kept with register\n\nOn the application day, the chief executive must notify the chief executive (land) that, from the application day, this division applies to an unconverted lease.\nThe chief executive (land) must, on receiving a notification under subsection (1) , enter the notification, in relation to each unconverted lease, in the appropriate register kept under the Land Act 1994 .\nThe notification in relation to an unconverted lease must not be removed from the register until the lease is forfeited or surrendered, or cancelled under this division.\nIn this section—\nchief executive (land) means the chief executive of the department in which the Land Act 1994 is administered.\ns 9B ins 2005 No. 46 s 14\namd 2009 No. 19 s 31\n(sec.9B-ssec.1) On the application day, the chief executive must notify the chief executive (land) that, from the application day, this division applies to an unconverted lease.\n(sec.9B-ssec.2) The chief executive (land) must, on receiving a notification under subsection (1) , enter the notification, in relation to each unconverted lease, in the appropriate register kept under the Land Act 1994 .\n(sec.9B-ssec.3) The notification in relation to an unconverted lease must not be removed from the register until the lease is forfeited or surrendered, or cancelled under this division.\n(sec.9B-ssec.4) In this section— chief executive (land) means the chief executive of the department in which the Land Act 1994 is administered.","sortOrder":32},{"sectionNumber":"sec.10","sectionType":"section","heading":"Disclosure requirement—contract for sale of unconverted lease","content":"### sec.10 Disclosure requirement—contract for sale of unconverted lease\n\nThis section applies to a contract for the sale of an unconverted lease entered into on or after the application day.\nThe contract must include a clause stating the following matters—\nunder this Act, the lease will be cancelled on registration of a deed of grant for the land contained in the lease;\nunless the conversion cost is paid to the chief executive before the transfer is registered, the deed of grant will be subject to a charge in favour of the chief executive securing payment of the conversion cost;\nif the conversion cost is not paid to the chief executive during the payment period, the chief executive may sell the land.\nIf the contract does not comply with subsection (2) , the buyer may cancel the contract by giving written notice to the seller.\nThe notice must be given to the seller before settlement is completed under the contract.\nIf the buyer gives a notice under subsection (3) —\nthe contract, and any related contract, ends; and\nthe seller, or the seller’s agent, must immediately return to the buyer any consideration paid under the contract.\nIn this section—\nrelated contract includes—\na contract about the provision of finance to purchase the unconverted lease; or\na contract of insurance relating to premises on the land contained in the unconverted lease.\ns 10 amd 1978 No. 58 s 17 ; 1979 No. 5 s 22 ; 1980 No. 49 s 11 ; 1992 No. 64 s 3 sch 1 ; 2003 No. 52 s 153 sch 2 (amd 2005 No. 33 s 11 (retro))\nsub 2005 No. 46 ss 13 – 14\namd 2009 No. 19 s 32\n(sec.10-ssec.1) This section applies to a contract for the sale of an unconverted lease entered into on or after the application day.\n(sec.10-ssec.2) The contract must include a clause stating the following matters— under this Act, the lease will be cancelled on registration of a deed of grant for the land contained in the lease; unless the conversion cost is paid to the chief executive before the transfer is registered, the deed of grant will be subject to a charge in favour of the chief executive securing payment of the conversion cost; if the conversion cost is not paid to the chief executive during the payment period, the chief executive may sell the land.\n(sec.10-ssec.3) If the contract does not comply with subsection (2) , the buyer may cancel the contract by giving written notice to the seller.\n(sec.10-ssec.4) The notice must be given to the seller before settlement is completed under the contract.\n(sec.10-ssec.5) If the buyer gives a notice under subsection (3) — the contract, and any related contract, ends; and the seller, or the seller’s agent, must immediately return to the buyer any consideration paid under the contract.\n(sec.10-ssec.6) In this section— related contract includes— a contract about the provision of finance to purchase the unconverted lease; or a contract of insurance relating to premises on the land contained in the unconverted lease.\n- (a) under this Act, the lease will be cancelled on registration of a deed of grant for the land contained in the lease;\n- (b) unless the conversion cost is paid to the chief executive before the transfer is registered, the deed of grant will be subject to a charge in favour of the chief executive securing payment of the conversion cost;\n- (c) if the conversion cost is not paid to the chief executive during the payment period, the chief executive may sell the land.\n- (a) the contract, and any related contract, ends; and\n- (b) the seller, or the seller’s agent, must immediately return to the buyer any consideration paid under the contract.\n- (a) a contract about the provision of finance to purchase the unconverted lease; or\n- (b) a contract of insurance relating to premises on the land contained in the unconverted lease.","sortOrder":33},{"sectionNumber":"sec.10A","sectionType":"section","heading":"No compensation","content":"### sec.10A No compensation\n\nCompensation is not payable for any action taken by the chief executive or the registrar of titles under this division.\ns 10A ins 1979 No. 5 s 23\namd 1980 No. 49 s 12 ; 2003 No. 52 s 153 sch 2 (amd 2005 No. 33 s 11 (retro))\nsub 2005 No. 46 ss 13 – 14","sortOrder":34},{"sectionNumber":"pt.2-div.2-oc.2","sectionType":"division","heading":null,"content":"","sortOrder":35},{"sectionNumber":"sec.10AA","sectionType":"section","heading":"Definitions for div 2","content":"### sec.10AA Definitions for div 2\n\ns 10AA ins 2003 No. 52 s 153 sch 2 (om 2005 No. 33 s 11 (retro))","sortOrder":36},{"sectionNumber":"pt.3","sectionType":"part","heading":"Industrial, trading and business sites","content":"# Industrial, trading and business sites","sortOrder":37},{"sectionNumber":"sec.10B","sectionType":"section","heading":"Application for conversion of certain leases in perpetuity to leases for term of years with freeholding covenant","content":"### sec.10B Application for conversion of certain leases in perpetuity to leases for term of years with freeholding covenant\n\nA lessee of a lease in perpetuity of land held by the lessee under the provisions of the Housing Act 2003 , section 112 may apply to the chief executive to have the lease deemed a lease for a term not exceeding 10 years and subject to a covenant entitling the lessee to a deed of grant in fee simple of the land comprised in the lease.\nIn this part such lease for a term is referred to as a freeholding lease .\nAn application shall not be proceeded with until the chief executive has been satisfied that the covenants, if any, under the Housing Act 2003 , section 112 (2B) (d) to which the lease in perpetuity is subject have been reasonably fulfilled.\ns 10B ins 1980 No. 49 s 13\nsub 2003 No. 52 s 153 sch 2 (amd 2005 No. 33 s 11 (retro))\namd 2005 No. 46 s 9 sch ; 2006 No. 7 s 34\n(sec.10B-ssec.1) A lessee of a lease in perpetuity of land held by the lessee under the provisions of the Housing Act 2003 , section 112 may apply to the chief executive to have the lease deemed a lease for a term not exceeding 10 years and subject to a covenant entitling the lessee to a deed of grant in fee simple of the land comprised in the lease.\n(sec.10B-ssec.1A) In this part such lease for a term is referred to as a freeholding lease .\n(sec.10B-ssec.3) An application shall not be proceeded with until the chief executive has been satisfied that the covenants, if any, under the Housing Act 2003 , section 112 (2B) (d) to which the lease in perpetuity is subject have been reasonably fulfilled.","sortOrder":38},{"sectionNumber":"sec.10C","sectionType":"section","heading":"Purchasing price","content":"### sec.10C Purchasing price\n\nThe purchasing price of the land comprised in a lease deemed, pursuant to this part, to be a freeholding lease shall be the amount of the value, as at the date of the receipt by the Minister of the application referred to in section 10B , of that land.\nFor the purposes of this section, the value of land shall be the amount which experienced persons would be willing to pay for the fee simple of the land, assuming that it were unimproved and were offered for sale on such reasonable terms and conditions as a bona fide seller would require.\nAt the option of the lessee, the value of the land comprised in the lease in question shall be determined by—\nthe chief executive; or\nthe valuer-general; or\nthe Land Court.\nIn every case, the lessee shall exercise the lessee’s option under subsection (2) by stating in the application referred to in section 10B or in a separate writing given to the Minister the manner in which the lessee desires the value of the land comprised in the lease in question to be determined.\nIn every case where the lessee requires the valuer-general to determine the value of the land comprised in the lease in question, the chief executive shall request the valuer-general to determine and the valuer-general shall determine that value.\nIn every case where the lessee requires the Land Court to determine the value of the land comprised in the lease in question, the chief executive shall refer, or cause to be referred, to that court for hearing and determination the matter of the amount of the value of that land and thereupon that court shall hear and determine that matter.\nWhere pursuant to subsection (2) the valuer-general or the Land Court determines the value of the land comprised in the lease in question, the chief executive may require the lessee to pay the whole or such part of the costs incurred by it thereby as it may determine and if the lessee fails to pay the whole of the amount which pursuant to this subsection the lessee is required to pay, the chief executive may recover from the lessee in any court of competent jurisdiction, by action as for a debt, the unpaid balance of any such amount.\nNo appeal shall lie against a determination pursuant to subsection (2) of the value of land by the chief executive, the valuer-general or, as the case may be, the Land Court.\nThe valuation of the value of any land determined by the chief executive, the valuer-general or the Land Court pursuant to this section shall have no force or effect save for the purpose for which that valuation is so determined or made.\ns 10C ins 1980 No. 49 s 13\namd 1992 No. 64 s 3 sch 1 ; 2003 No. 52 s 153 sch 2 (amd 2005 No. 33 s 11 (retro)); 2005 No. 46 s 9 sch ; 2010 No. 39 s 325 sch 1 pt 2\n(sec.10C-ssec.1) The purchasing price of the land comprised in a lease deemed, pursuant to this part, to be a freeholding lease shall be the amount of the value, as at the date of the receipt by the Minister of the application referred to in section 10B , of that land.\n(sec.10C-ssec.1A) For the purposes of this section, the value of land shall be the amount which experienced persons would be willing to pay for the fee simple of the land, assuming that it were unimproved and were offered for sale on such reasonable terms and conditions as a bona fide seller would require.\n(sec.10C-ssec.2) At the option of the lessee, the value of the land comprised in the lease in question shall be determined by— the chief executive; or the valuer-general; or the Land Court.\n(sec.10C-ssec.2A) In every case, the lessee shall exercise the lessee’s option under subsection (2) by stating in the application referred to in section 10B or in a separate writing given to the Minister the manner in which the lessee desires the value of the land comprised in the lease in question to be determined.\n(sec.10C-ssec.2B) In every case where the lessee requires the valuer-general to determine the value of the land comprised in the lease in question, the chief executive shall request the valuer-general to determine and the valuer-general shall determine that value.\n(sec.10C-ssec.2C) In every case where the lessee requires the Land Court to determine the value of the land comprised in the lease in question, the chief executive shall refer, or cause to be referred, to that court for hearing and determination the matter of the amount of the value of that land and thereupon that court shall hear and determine that matter.\n(sec.10C-ssec.2D) Where pursuant to subsection (2) the valuer-general or the Land Court determines the value of the land comprised in the lease in question, the chief executive may require the lessee to pay the whole or such part of the costs incurred by it thereby as it may determine and if the lessee fails to pay the whole of the amount which pursuant to this subsection the lessee is required to pay, the chief executive may recover from the lessee in any court of competent jurisdiction, by action as for a debt, the unpaid balance of any such amount.\n(sec.10C-ssec.3) No appeal shall lie against a determination pursuant to subsection (2) of the value of land by the chief executive, the valuer-general or, as the case may be, the Land Court.\n(sec.10C-ssec.4) The valuation of the value of any land determined by the chief executive, the valuer-general or the Land Court pursuant to this section shall have no force or effect save for the purpose for which that valuation is so determined or made.\n- (a) the chief executive; or\n- (b) the valuer-general; or\n- (c) the Land Court.","sortOrder":39},{"sectionNumber":"sec.10D","sectionType":"section","heading":"Matters to be determined by Minister","content":"### sec.10D Matters to be determined by Minister\n\nAfter determination of the purchasing price of land pursuant to section 10C , the Minister shall, upon the recommendation of the chief executive, determine—\nthe term (not exceeding 10 years) of the freeholding lease; and\nthe amount of the deposit that is to accompany the notice of election to proceed with the application; and\nthe terms and conditions (if any) in addition to the terms and conditions specified in section 10G to which the freeholding lease shall be subject.\nThe chief executive shall give to the lessee notice in writing of—\nthe amount of the purchasing price; and\nthe term of the freeholding lease; and\nthe amount of the deposit that is to accompany the notice of election to proceed with the application; and\nthe terms and conditions determined by the Minister pursuant to subsection (1) (c) .\ns 10D ins 1980 No. 49 s 13\namd 2003 No. 52 s 153 sch 2 (amd 2005 No. 33 s 11 (retro))\n(sec.10D-ssec.1) After determination of the purchasing price of land pursuant to section 10C , the Minister shall, upon the recommendation of the chief executive, determine— the term (not exceeding 10 years) of the freeholding lease; and the amount of the deposit that is to accompany the notice of election to proceed with the application; and the terms and conditions (if any) in addition to the terms and conditions specified in section 10G to which the freeholding lease shall be subject.\n(sec.10D-ssec.2) The chief executive shall give to the lessee notice in writing of— the amount of the purchasing price; and the term of the freeholding lease; and the amount of the deposit that is to accompany the notice of election to proceed with the application; and the terms and conditions determined by the Minister pursuant to subsection (1) (c) .\n- (a) the term (not exceeding 10 years) of the freeholding lease; and\n- (b) the amount of the deposit that is to accompany the notice of election to proceed with the application; and\n- (c) the terms and conditions (if any) in addition to the terms and conditions specified in section 10G to which the freeholding lease shall be subject.\n- (a) the amount of the purchasing price; and\n- (b) the term of the freeholding lease; and\n- (c) the amount of the deposit that is to accompany the notice of election to proceed with the application; and\n- (d) the terms and conditions determined by the Minister pursuant to subsection (1) (c) .","sortOrder":40},{"sectionNumber":"sec.10E","sectionType":"section","heading":"Lessee to elect whether to proceed with application","content":"### sec.10E Lessee to elect whether to proceed with application\n\nThe lessee shall, within 30 days from the date when the lessee receives from the chief executive the notice referred to in section 10D (2) , notify the chief executive in writing where the lessee elects to proceed with the application under this part.\nAn application under this part shall lapse at the expiration of 30 days after the date when the chief executive gives to the lessee the notice referred to in section 10D (2) unless the lessee has sooner notified the chief executive in writing that the lessee elects to proceed therewith.\nHowever, a lessee may, with the prior approval of the Minister, make a second or any subsequent application under this part notwithstanding that a prior application made by the lessee has lapsed.\nA notice under this section in respect of a lease shall not affect or prejudice howsoever any mortgage or other encumbrance, estate or interest then subsisting over, upon or in the land comprised in the lease.\nA lessee who elects to proceed with an application under this part shall be deemed to comply with the requirements of the perpetual lease with respect to the payment of rent if the lessee pays rent until and including the day preceding the quarter day when the term of the freeholding lease commences at the rate thereof actually payable at the date when the Minister receives the application referred to in section 10B .\ns 10E ins 1980 No. 49 s 13\namd 2003 No. 52 s 153 sch 2 (amd 2005 No. 33 s 11 (retro)); 2005 No. 46 s 9 sch\n(sec.10E-ssec.1) The lessee shall, within 30 days from the date when the lessee receives from the chief executive the notice referred to in section 10D (2) , notify the chief executive in writing where the lessee elects to proceed with the application under this part.\n(sec.10E-ssec.2) An application under this part shall lapse at the expiration of 30 days after the date when the chief executive gives to the lessee the notice referred to in section 10D (2) unless the lessee has sooner notified the chief executive in writing that the lessee elects to proceed therewith.\n(sec.10E-ssec.2A) However, a lessee may, with the prior approval of the Minister, make a second or any subsequent application under this part notwithstanding that a prior application made by the lessee has lapsed.\n(sec.10E-ssec.3) A notice under this section in respect of a lease shall not affect or prejudice howsoever any mortgage or other encumbrance, estate or interest then subsisting over, upon or in the land comprised in the lease.\n(sec.10E-ssec.4) A lessee who elects to proceed with an application under this part shall be deemed to comply with the requirements of the perpetual lease with respect to the payment of rent if the lessee pays rent until and including the day preceding the quarter day when the term of the freeholding lease commences at the rate thereof actually payable at the date when the Minister receives the application referred to in section 10B .","sortOrder":41},{"sectionNumber":"sec.10F","sectionType":"section","heading":"Conversion to freeholding lease","content":"### sec.10F Conversion to freeholding lease\n\nUpon and from the quarter day next following the receipt by the chief executive pursuant to section 10E of notice from a lessee that the lessee elects to proceed with an application under this part, the perpetual lease, the subject of the application, shall be deemed to be a freeholding lease—\nfor the term of years determined pursuant to section 10D commencing on the quarter day next following the date when the chief executive receives the notice; and\nsubject in every respect to the provisions of this part;\nand the chief executive shall cause the lease to be appropriately endorsed.\ns 10F ins 1980 No. 49 s 13\namd 2003 No. 52 s 153 sch 2 (amd 2005 No. 33 s 11 (retro)); 2005 No. 46 s 9 sch\n- (a) for the term of years determined pursuant to section 10D commencing on the quarter day next following the date when the chief executive receives the notice; and\n- (b) subject in every respect to the provisions of this part;","sortOrder":42},{"sectionNumber":"sec.10G","sectionType":"section","heading":"Terms and conditions of freeholding lease","content":"### sec.10G Terms and conditions of freeholding lease\n\nA lease deemed pursuant to this part to be a freeholding lease shall be subject to the following provisions, terms and conditions—\nthe purchasing price of the land comprised in the lease shall be the amount of the value, as determined pursuant to section 10C ;\nthe term of the lease shall commence on the quarter day next following the date when the chief executive receives from the lessee, pursuant to section 10E , notice of the lessee’s election to proceed with the application;\nthe lessee shall pay, as prescribed by section 10H the purchasing price of the land;\nthe lessee shall pay, as prescribed by section 10H interest on the outstanding balance of the purchasing price;\nmoneys paid as rent under the perpetual lease in respect of any time before the commencement of the term of the freeholding lease shall not be credited to the purchasing price;\nsubject to paragraphs (a) to (e) , all such terms and conditions as, pursuant to the Housing Act 2003 or the repealed State Housing Act 1945 , applied with respect to the lease in question as a perpetual lease.\ns 10G ins 1980 No. 49 s 13\namd 2003 No. 52 s 153 sch 2 (amd 2005 No. 33 s 11 (retro)); 2005 No. 46 s 9 sch ; 2010 No. 39 s 325 sch 1 pt 2\n- (a) the purchasing price of the land comprised in the lease shall be the amount of the value, as determined pursuant to section 10C ;\n- (b) the term of the lease shall commence on the quarter day next following the date when the chief executive receives from the lessee, pursuant to section 10E , notice of the lessee’s election to proceed with the application;\n- (c) the lessee shall pay, as prescribed by section 10H the purchasing price of the land;\n- (d) the lessee shall pay, as prescribed by section 10H interest on the outstanding balance of the purchasing price;\n- (e) moneys paid as rent under the perpetual lease in respect of any time before the commencement of the term of the freeholding lease shall not be credited to the purchasing price;\n- (f) subject to paragraphs (a) to (e) , all such terms and conditions as, pursuant to the Housing Act 2003 or the repealed State Housing Act 1945 , applied with respect to the lease in question as a perpetual lease.","sortOrder":43},{"sectionNumber":"sec.10H","sectionType":"section","heading":"Payment of purchasing price including interest thereon","content":"### sec.10H Payment of purchasing price including interest thereon\n\nThe deposit determined pursuant to section 10D (1) (b) shall accompany and be paid with the notice by the lessee that the lessee elects to proceed with the application under this part.\nThe balance of the purchasing price, together with interest on the amount thereof outstanding at the beginning of each month of the term of the lease at the rate determined by the chief executive, shall be liquidated by such monthly instalments as shall be determined by the chief executive from time to time which instalments are payable respectively on or before the last day of each month of the term of the lease commencing on the quarter day next following the date when the deposit is paid.\nNotwithstanding any term or condition of the freeholding lease, the lessee may at any time complete payment in full of the purchasing price of the land paying the unpaid amount of the purchasing price of the land together with the interest payable thereon up to the date of the payment thereof.\nWithout prejudice to any other remedy had by it, the chief executive may recover, by action as for a debt in any court of competent jurisdiction, any moneys due and not paid to it in respect of the purchasing price (including interest thereon) of the land comprised in a freeholding lease.\ns 10H ins 1980 No. 49 s 13\namd 1993 No. 76 s 3 sch 1 ; 2003 No. 52 s 153 sch 2 (amd 2005 No. 33 s 11 (retro)); 2005 No. 46 s 9 sch\n(sec.10H-ssec.1) The deposit determined pursuant to section 10D (1) (b) shall accompany and be paid with the notice by the lessee that the lessee elects to proceed with the application under this part.\n(sec.10H-ssec.2) The balance of the purchasing price, together with interest on the amount thereof outstanding at the beginning of each month of the term of the lease at the rate determined by the chief executive, shall be liquidated by such monthly instalments as shall be determined by the chief executive from time to time which instalments are payable respectively on or before the last day of each month of the term of the lease commencing on the quarter day next following the date when the deposit is paid.\n(sec.10H-ssec.3) Notwithstanding any term or condition of the freeholding lease, the lessee may at any time complete payment in full of the purchasing price of the land paying the unpaid amount of the purchasing price of the land together with the interest payable thereon up to the date of the payment thereof.\n(sec.10H-ssec.4) Without prejudice to any other remedy had by it, the chief executive may recover, by action as for a debt in any court of competent jurisdiction, any moneys due and not paid to it in respect of the purchasing price (including interest thereon) of the land comprised in a freeholding lease.","sortOrder":44},{"sectionNumber":"sec.10I","sectionType":"section","heading":"Freeholding covenant","content":"### sec.10I Freeholding covenant\n\nEvery lease, deemed pursuant to this part to be a freeholding lease, shall be deemed to contain a covenant that the Governor in Council shall, in the name of Her Majesty, grant in fee simple to the lessee the land comprised in the lease—\nupon payment of all moneys, including interest thereon, payable in respect of the purchasing price of the land comprised in the freeholding lease and any other moneys unpaid on any account in respect of the lease; and\nupon the due performance by the lessee of the terms and conditions binding upon the lessee of the lease.\nUpon a lessee becoming entitled to performance of the covenant referred to in subsection (1) , the chief executive shall surrender to the Crown any estate or interest of the chief executive in the land concerned.\nThe Governor in Council shall, in the name of Her Majesty, grant in fee simple any land to a person thereunto entitled under this part.\nSection 285 of the Land Act 1962 applies to a deed of grant issued under this division.\nEvery grant in fee simple by the Governor in Council pursuant to this part and every deed of grant issued accordingly shall be deemed to have been granted and issued under the Land Act 1994 the provisions whereof relating to deeds of grant apply thereto.\ns 10I ins 1980 No. 49 s 13\namd 1992 No. 64 s 3 sch 1 ; 2003 No. 52 s 153 sch 2 (amd 2005 No. 33 s 11 (retro)); 2005 No. 46 s 9 sch\n(sec.10I-ssec.1) Every lease, deemed pursuant to this part to be a freeholding lease, shall be deemed to contain a covenant that the Governor in Council shall, in the name of Her Majesty, grant in fee simple to the lessee the land comprised in the lease— upon payment of all moneys, including interest thereon, payable in respect of the purchasing price of the land comprised in the freeholding lease and any other moneys unpaid on any account in respect of the lease; and upon the due performance by the lessee of the terms and conditions binding upon the lessee of the lease.\n(sec.10I-ssec.2) Upon a lessee becoming entitled to performance of the covenant referred to in subsection (1) , the chief executive shall surrender to the Crown any estate or interest of the chief executive in the land concerned.\n(sec.10I-ssec.3) The Governor in Council shall, in the name of Her Majesty, grant in fee simple any land to a person thereunto entitled under this part.\n(sec.10I-ssec.4) Section 285 of the Land Act 1962 applies to a deed of grant issued under this division.\n(sec.10I-ssec.5) Every grant in fee simple by the Governor in Council pursuant to this part and every deed of grant issued accordingly shall be deemed to have been granted and issued under the Land Act 1994 the provisions whereof relating to deeds of grant apply thereto.\n- (a) upon payment of all moneys, including interest thereon, payable in respect of the purchasing price of the land comprised in the freeholding lease and any other moneys unpaid on any account in respect of the lease; and\n- (b) upon the due performance by the lessee of the terms and conditions binding upon the lessee of the lease.","sortOrder":45},{"sectionNumber":"sec.10J","sectionType":"section","heading":"Application of Land Act 1994 to freeholding leases","content":"### sec.10J Application of Land Act 1994 to freeholding leases\n\nSubject to the provisions of this Act, the Land Act 1994 applies to a freeholding lease and for that purpose—\na reference to the Minister in that Act shall be read and construed as a reference to the Minister charged with the administration of this Act;\na reference to the Department of Lands or to the department in that Act shall be read and construed as a reference to the department in which this Act is administered.\ns 10J ins 1980 No. 49 s 13\namd 2003 No. 52 s 153 sch 2 (amd 2005 No. 33 s 11 (retro))\n- (a) a reference to the Minister in that Act shall be read and construed as a reference to the Minister charged with the administration of this Act;\n- (b) a reference to the Department of Lands or to the department in that Act shall be read and construed as a reference to the department in which this Act is administered.","sortOrder":46},{"sectionNumber":"pt.III","sectionType":"part","heading":null,"content":"","sortOrder":47},{"sectionNumber":"pt.IV","sectionType":"part","heading":null,"content":"","sortOrder":48},{"sectionNumber":"pt.4","sectionType":"part","heading":"Transitional provision for Housing Legislation Amendment Act 2005","content":"# Transitional provision for Housing Legislation Amendment Act 2005","sortOrder":49},{"sectionNumber":"sec.11","sectionType":"section","heading":"Continued application of previous pt 2, div 1 for residential freeholding leases","content":"### sec.11 Continued application of previous pt 2, div 1 for residential freeholding leases\n\nPrevious part 2, division 1 continues to apply, as if it had not been repealed, for the conversion of a residential freeholding lease to freehold land.\nIn this section—\nresidential freeholding lease means a lease that—\nwas in force immediately before 1 July 2006; and\nwas deemed to be a freeholding lease under previous part 2, division 1.\ns 11 prev s 11 om 1983 No. 9 s 22\npres s 11 ins 2005 No. 46 s 15\n(sec.11-ssec.1) Previous part 2, division 1 continues to apply, as if it had not been repealed, for the conversion of a residential freeholding lease to freehold land.\n(sec.11-ssec.2) In this section— residential freeholding lease means a lease that— was in force immediately before 1 July 2006; and was deemed to be a freeholding lease under previous part 2, division 1.\n- (a) was in force immediately before 1 July 2006; and\n- (b) was deemed to be a freeholding lease under previous part 2, division 1.","sortOrder":50},{"sectionNumber":"sec.12","sectionType":"section","heading":null,"content":"### Section sec.12\n\ns 12 om 1983 No. 9 s 22","sortOrder":51},{"sectionNumber":"sec.13","sectionType":"section","heading":null,"content":"### Section sec.13\n\ns 13 om 1983 No. 9 s 22","sortOrder":52},{"sectionNumber":"sec.14","sectionType":"section","heading":null,"content":"### Section sec.14\n\ns 14 om 1983 No. 9 s 22","sortOrder":53},{"sectionNumber":"sec.15","sectionType":"section","heading":null,"content":"### Section sec.15\n\ns 15 om 1983 No. 9 s 22","sortOrder":54},{"sectionNumber":"sec.16","sectionType":"section","heading":null,"content":"### Section sec.16\n\ns 16 om 1983 No. 9 s 22","sortOrder":55},{"sectionNumber":"sec.17","sectionType":"section","heading":null,"content":"### Section sec.17\n\ns 17 om 1983 No. 9 s 22","sortOrder":56},{"sectionNumber":"sec.18","sectionType":"section","heading":null,"content":"### Section sec.18\n\ns 18 om 1983 No. 9 s 22","sortOrder":57},{"sectionNumber":"sec.19","sectionType":"section","heading":null,"content":"### Section sec.19\n\ns 19 om 14 December 1993 (see RA s 40)","sortOrder":58},{"sectionNumber":"sec.20","sectionType":"section","heading":null,"content":"### Section sec.20\n\ns 20 om 14 December 1993 (see RA s 40)","sortOrder":59},{"sectionNumber":"sec.21","sectionType":"section","heading":null,"content":"### Section sec.21\n\ns 21 om 14 December 1993 (see RA s 40)","sortOrder":60},{"sectionNumber":"pt.V","sectionType":"part","heading":null,"content":"","sortOrder":61},{"sectionNumber":"sec.22","sectionType":"section","heading":null,"content":"### Section sec.22\n\ns 22 om 14 December 1993 (see RA ss 7(1)(k) and 40)","sortOrder":62},{"sectionNumber":"sec.23","sectionType":"section","heading":null,"content":"### Section sec.23\n\ns 23 om 14 December 1993 (see RA ss 7(1)(k) and 40)","sortOrder":63},{"sectionNumber":"sec.24","sectionType":"section","heading":null,"content":"### Section sec.24\n\ns 24 om 14 December 1993 (see RA ss 7(1)(k) and 40)","sortOrder":64},{"sectionNumber":"sec.25","sectionType":"section","heading":null,"content":"### Section sec.25\n\ns 25 om 14 December 1993 (see RA ss 7(1)(k) and 40)","sortOrder":65},{"sectionNumber":"sec.26","sectionType":"section","heading":null,"content":"### Section sec.26\n\ns 26 om 14 December 1993 (see RA ss 7(1)(k) and 40)","sortOrder":66},{"sectionNumber":"sec.27","sectionType":"section","heading":null,"content":"### Section sec.27\n\ns 27 om 14 December 1993 (see RA ss 7(1)(k) and 40)","sortOrder":67},{"sectionNumber":"sec.28","sectionType":"section","heading":null,"content":"### Section sec.28\n\ns 28 om 14 December 1993 (see RA ss 7(1)(k) and 40)","sortOrder":68},{"sectionNumber":"sec.29","sectionType":"section","heading":null,"content":"### Section sec.29\n\ns 29 om 14 December 1993 (see RA ss 7(1)(k) and 40)","sortOrder":69},{"sectionNumber":"sec.30","sectionType":"section","heading":null,"content":"### Section sec.30\n\ns 30 om 14 December 1993 (see RA ss 7(1)(k) and 40)","sortOrder":70}],"analysis":{"flash_summary_failed":{"failed":true,"reason":"Unauthenticated. Configure AI_GATEWAY_API_KEY or use a provider module. Learn more: https://ai-sdk.dev/unauthenticated-ai-gateway","source":"analysis-cron"},"flash_summary":{"complexity_score":7,"scope_assessment":{"changed":true,"description":"The Act, as currently drafted, incorporates later amendments that expand and formalise conversion mechanics: introduction of a chief executive-declared percentage and regulation-based concessions for price calculation (sec 3A, 4A); an automatic conversion regime for 'unconverted leases' triggered on prescribed ownership changes from the application day (secs 5C, 6A–6B); statutory security and enforcement via a chief executive’s charge (secs 7, 7A, 7C, 8A); and a separate freeholding pathway for certain perpetual industrial/business leases (secs 10B–10J). Transitional provisions preserve earlier rules for some existing leases (sec 11)."},"complexity_factors":["Multiple conversion pathways: voluntary application, conversion-in-progress rules, and automatic conversion on prescribed ownership changes (secs 3B, 4, 5A–5B, 5C, 6A–6B).","Chief executive discretion: declaring the percentage used to calculate purchase price and imposing conditions and fees (sec 3A; sec 4(3)).","Valuation and concession rules affecting price computation and possible adjustments for rent arrears/credits (sec 4A).","Creation, registration and enforcement of the chief executive’s charge with priority and sale powers, interacting with mortgagees and local government charges (secs 7, 7C, 8A, 8B, 9).","Time-limited payment regimes with special rules for deceased lessees and successors (secs 7A, 7B).","Cross‑statutory interactions and references to other land laws (Housing Act 2003, Land Act 1994, Land Title Act 1994, Local Government Act 2009) which affect process and registration (secs 3, 4(3), 6, 7, 8A, 10J).","Procedural and disclosure obligations on sale contracts and registries, plus transitional provisions preserving earlier regimes for certain leases (secs 9B, 10, 11).","Separate regime for industrial/trading/business perpetual leases converted to time leases with a freeholding covenant, including valuation, ministerial determinations, payment schedules and covenant enforcement (secs 10B–10J)."],"plain_english_summary":"This Act lets people who hold residential Crown leases convert them into freehold land either by asking the chief executive for an offer (the chief executive sets the purchase price using a declared percentage and any concessions) (secs 3A, 4, 4A, 4B), or automatically when certain ownership changes in unconverted leases occur after 1 July 2009 (secs 5C, 6A–6B). The registered owner must pay the conversion cost; if unpaid a charge secures the debt and the chief executive can enforce it, including by sale (secs 7, 7A, 7C, 8A)."},"kimi_summary":{"content_quality":"ok","complexity_score":7,"scope_assessment":{"changed":true,"description":"The original 1957 Act appears to have been a straightforward freeholding mechanism for residential leases. The current version has expanded significantly to include: (1) an automatic conversion regime for residential leases triggered by ownership changes (Division 3, added 2005); (2) a complex charge and enforcement system for unpaid conversion costs; (3) a separate Part 3 for industrial/business perpetual leases added in 1980; and (4) extensive transitional provisions preserving old conversion pathways. The Act has evolved from a simple voluntary purchase scheme into a hybrid system managing voluntary conversions, automatic conversions, legacy lease transitions, and commercial freeholding with sophisticated debt enforcement."},"complexity_factors":["Multiple overlapping conversion pathways (voluntary vs automatic) with different rules, timelines and definitions","Extensive cross-referencing to other Acts: Housing Act 2003, Land Act 1994, Land Title Act 1994, Local Government Act 2009, Property Law Act 2023","Numerous defined terms including 'declared percentage', 'conversion cost', 'unconverted lease', 'prescribed change of ownership', 'chief executive's charge', 'payment period', 'existing notice lessee', 'conversion in progress lease'","Nested conditional logic: automatic conversion triggers depend on registration dates, death of lessees, beneficiary status, and whether conversion cost was prepaid","Transitional provisions preserving repealed sections for specific lease categories (residential freeholding leases existing before 1 July 2006)","Complex enforcement mechanisms for unpaid conversion costs including charges, priority rules, sale procedures, and interaction with mortgagee sales","Dual regimes: completely different processes for residential leases (Parts 1-2) versus business/industrial leases (Part 3) with inconsistent terminology ('purchase price' vs 'purchasing price', 'conversion cost' vs instalment system)","Multiple amendment history layers visible in the text (sections substituted in 2005, 2009, 2023) creating temporal complexity"],"plain_english_summary":"**What this law does:**\n\nThis Act creates a system for converting Queensland government-owned residential and business land from leasehold (renting from the government) to freehold (outright ownership).\n\n**Who it affects:**\n- **Residential tenants** of state housing who hold leases under the Housing Act 2003\n- **Business operators** holding perpetual leases for industrial, trading or business sites\n- The **Housing Department** (chief executive) and the **Registrar of Titles**\n\n**How it works:**\n\n**For residential land (Part 2):**\n- **Voluntary conversion:** A tenant can apply to buy their home. The chief executive calculates a purchase price based on a \"declared percentage\" of the land's value (set by regulation), offers it to the tenant, and if accepted within the availability period, the lease converts to freehold via a deed of grant.\n- **Automatic conversion:** From 1 July 2009, if a residential lease is transferred to a new owner (a \"prescribed change of ownership\"), it automatically converts to freehold. The new owner gets a deed of grant but must pay a \"conversion cost\" within 2 years (or 5 years if inheriting from a deceased tenant). If unpaid, the chief executive can register a charge over the land and ultimately sell it to recover the debt.\n- **Disclosure:** Anyone selling an \"unconverted lease\" must include a warning clause in the contract, or the buyer can cancel.\n\n**For business land (Part 3):**\n- A business tenant with a perpetual lease can apply to convert it to a \"freeholding lease\" (up to 10 years) with a covenant (promise) to receive freehold title once they pay the purchase price.\n- The purchase price is the unimproved land value, determined by the chief executive, Valuer-General, or Land Court.\n- The tenant pays a deposit then monthly instalments with interest. Once fully paid, they receive a deed of grant in fee simple (full ownership).\n\n**Why it matters:**\nThis Act facilitates the privatisation of state-owned land, allowing long-term tenants to become owners while ensuring the state receives fair compensation. It balances tenant opportunity with state revenue protection through charges, payment periods, and enforcement mechanisms."},"issue_detection":{"absurdities":[{"type":"circular_definition","section":"sec.5A(2)-(3)","severity":"medium","reasoning":"Section 5A(3)(a) saves 'previous sections 5(1), (1A) and (5) and 5A' from repeal for the purposes of 5A(2). Section 5A is itself one of the saved provisions. The current section 5A is therefore directing that the previous (repealed) version of itself continues to apply, while simultaneously being the operative provision doing the directing. This creates a circularity: the current 5A relies on the previous 5A, which was the predecessor of the current 5A, raising the question of which version governs and whether the chain of delegation is coherent.","confidence":0.72,"description":"Section 5A instructs the chief executive to work out the purchase price under 'previous sections 5(1) and (1A) and 5A', while simultaneously declaring in subsection (3)(a) that those previous sections 'continue to apply, with any necessary changes, as if they had not been repealed'. Section 5A is instructing itself to continue to apply as if it had not been repealed, creating a self-referential bootstrapping problem."},{"type":"other","section":"sec.7C(8)","severity":"medium","reasoning":"The entire mechanism in division 3 converts a leasehold into freehold. By the time section 7C is engaged, the lease has been cancelled and a deed of grant issued. The person is a registered freehold owner, not a lessee. Deeming them 'in default under the mortgage' as a 'lessee' applies a status that no longer exists, potentially creating uncertainty about the legal effect of the deeming provision.","confidence":0.78,"description":"Section 7C(8) states that if the chief executive allows a mortgagee to sell the land, 'the lessee is taken to be in default under the mortgage'. However, once an unconverted lease has been converted to a deed of grant under division 3, the person in question is no longer a 'lessee' — they are the registered owner of freehold land. Referring to them as 'lessee' after conversion is legally nonsensical."},{"type":"impossible_compliance","section":"sec.10C(3)","severity":"medium","reasoning":"The structural logic is that giving the lessee a choice of valuator is a safeguard. However, removing all appeal rights against any valuator, including the chief executive who is the counterparty to the transaction, means the lessee who picks the chief executive (perhaps expecting a lower figure) is entirely bound by the outcome with no avenue for review. The combination of apparent choice and absolute finality creates a practically unfair and legally anomalous position.","confidence":0.65,"description":"Section 10C(3) gives the lessee the option to have land value determined by the chief executive, the valuer-general, or the Land Court. Section 10C(8) then provides that 'no appeal shall lie' against any of these determinations. Allowing the lessee to choose the decision-maker but then prohibiting any appeal — including to a court of law — means a lessee who selects the chief executive (the opposing party) has no recourse whatsoever if the determination is unreasonably high, arguably rendering the 'option' illusory."},{"type":"self_contradicting","section":"sec.10I(4)","severity":"medium","reasoning":"Section 10I(4) invokes a provision of the Land Act 1962 (repealed), while section 10I(5) deems the same deed of grant to have been issued under the Land Act 1994. It is unclear how a provision of a repealed Act can apply to an instrument simultaneously deemed to be issued under the successor Act. The two subsections pull in different directions as to which legislative regime governs.","confidence":0.7,"description":"Section 10I(4) states that 'section 285 of the Land Act 1962 applies to a deed of grant issued under this division'. The Land Act 1962 has been repealed and superseded by the Land Act 1994. Section 10I(5) in the same provision states that deeds of grant 'shall be deemed to have been granted and issued under the Land Act 1994'. The Act therefore simultaneously applies a provision of a repealed Act and deems the same instrument to operate under the current replacement Act."},{"type":"other","section":"sec.4A(1)","severity":"low","reasoning":"While unlikely in practice, the mathematical formula as drafted permits a result of zero or below if the concession is large enough. A purchase price of zero would be administratively unusual but legally possible on the face of the provision. A negative purchase price would be absurd and there is no express prohibition or minimum purchase price specified in the Act.","confidence":0.55,"description":"The purchase price formula in section 4A(1) computes the price as the declared percentage of the value amount minus any applicable concession. The declared percentage under section 3A(2)(a) must not exceed 100%. If the concession prescribed under regulation equals or exceeds the declared percentage of the value amount, the purchase price would be zero or negative. The Act contains no floor preventing a negative purchase price, which would theoretically require the State to pay the lessee to convert."},{"type":"self_contradicting","section":"sec.10E(1) and sec.10E(2)","severity":"medium","reasoning":"Subsection (1) creates a lessee-side deadline running from receipt, which is the more generous formulation. Subsection (2) creates an application-lapse rule running from the date of giving. If postal delivery takes several days, the lessee could notify within 30 days of receipt but more than 30 days after giving, meaning the application has already lapsed under (2) even though the lessee has technically complied with (1). The two time triggers are inconsistent.","confidence":0.75,"description":"Section 10E(1) requires the lessee to notify the chief executive 'within 30 days from the date when the lessee receives' the notice. Section 10E(2) says the application lapses '30 days after the date when the chief executive gives' the notice. These two trigger events — receipt by the lessee versus giving by the chief executive — may produce different deadlines, particularly where there is a postal or delivery delay, potentially causing a lessee's timely notification to be treated as out of time."}],"contradictions":[{"severity":"low","section_a":"sec.4B(2)","section_b":"sec.5B(1)-(3)","confidence":0.68,"description":"Under subdivision 1 (voluntary conversion), section 4B(2) requires acceptance of the offer to convert by simultaneously paying the purchase price, surrendering lease documents, and complying with conditions — i.e., acceptance and payment are a single act. Under subdivision 2 (conversion in progress leases), section 5B creates a two-step process: first give written acceptance notice (s 5B(1)), then pay within 30 days (s 5B(3)). The two subdivisions impose materially different acceptance mechanisms for what is functionally the same transaction of converting a residential lease to freehold."},{"severity":"low","section_a":"sec.8A(4)","section_b":"sec.8B","confidence":0.72,"description":"Section 8A(4) requires the registrar to register the purchaser 'free of all encumbrances' on a chief executive sale. Section 8A(6) then states that subsection (4) applies 'subject to section 8B'. Section 8B preserves the priority of a local government charge for overdue rates, meaning the land may be sold subject to that charge. The unconditional 'free of all encumbrances' language in 8A(4) directly conflicts with the preservation of the local government charge in 8B, and the subordination clause in 8A(6) does not resolve the substantive contradiction — it merely signals an exception exists without reconciling the operative language."},{"severity":"medium","section_a":"sec.6B(4)(b)","section_b":"sec.4C(3)","confidence":0.8,"description":"On voluntary conversion under section 4C(3), the deed of grant is issued subject to all interests to which the lease was subject 'immediately before its cancellation'. On automatic conversion under section 6B(4), the deed is issued subject to all interests to which the lease was subject, but with the chief executive's charge taking priority over all other interests. The two conversion pathways treat pre-existing third-party interests differently: voluntary conversion preserves their existing priorities intact, while automatic conversion subordinates them to the chief executive's charge. A lessee or mortgagee may be in a materially different position depending on which conversion pathway is triggered, despite both resulting in the same freehold outcome."},{"severity":"medium","section_a":"sec.9 (heading and text)","section_b":"sec.8A(4)","confidence":0.75,"description":"Section 9 provides that if a mortgagee sells the land before the chief executive's charge is released, the charge survives and the land is transferred subject to it. Section 8A(4) provides that when the chief executive sells the land, the registrar must register the purchaser free of all encumbrances. These two provisions create an asymmetry: a mortgagee sale cannot extinguish the chief executive's charge, but a chief executive sale extinguishes all encumbrances including mortgages. The chief executive can therefore use its enforcement power to defeat mortgagee interests entirely, while a mortgagee cannot achieve the equivalent against the chief executive, creating a one-way priority rule with no express statutory justification for the asymmetry."},{"severity":"medium","section_a":"sec.3A(2)(a)","section_b":"sec.6 (definition of conversion cost, para (a))","confidence":0.82,"description":"Section 3A(2)(a) states the declared percentage 'must not be more than 100%'. The conversion cost definition in section 6(a) uses 'the amount equivalent to the declared percentage of the value amount of the lease'. If the declared percentage is set at exactly 100%, the automatic conversion cost equals the full market value of the lease. However, for voluntary conversion under section 4A, the purchase price is the declared percentage minus any prescribed concession. The same declared percentage therefore produces a different effective cost depending on whether conversion is voluntary (eligible for concession) or automatic (no concession mechanism), without any statutory explanation for why lessees who trigger automatic conversion should pay more."}]},"summary":{"complexity_score":7,"scope_assessment":{"changed":true,"description":"The original 1957 Act was a straightforward residential land leasing and conversion scheme for government housing tenants. Over decades of amendment, its scope expanded significantly to include: automatic compulsory conversion triggered by ownership transfers (2005 amendments); industrial and business site lease conversion (added in 1980); detailed enforcement mechanisms including government charges, forced sale powers, and mortgagee interaction; mandatory contract disclosure requirements for buyers and sellers; and complex transitional regimes preserving rights under now-repealed provisions. The Act evolved from a simple opt-in homeownership pathway into a comprehensive land tenure transition regime covering residential, commercial and historical lease types."},"complexity_factors":["Multiple conversion pathways (voluntary, automatic, industrial) with different rules for each","Extensive cross-referencing to other Acts (Housing Act 2003, Land Act 1994, Land Title Act 1994, Local Government Act 2009, Property Law Act 2023)","Historical layering: numerous amendments since 1957 with references to 'previous sections' that no longer exist in the text, requiring knowledge of repealed provisions","Transitional provisions referencing prior legislative versions (e.g., pre-July 2006 arrangements still operative)","Complex priority rules for charges, mortgages and encumbrances on title","Variable payment periods depending on how ownership changed (sale vs. deceased estate vs. insolvency)","Interaction between land registration system and housing administration creates procedural complexity","Enforcement mechanism (government charge, notice to sell, proceeds distribution) mirrors mortgage enforcement law"],"plain_english_summary":"The Act lets holders of long‑term Queensland government residential and certain industrial/business leases convert their leasehold into freehold ownership — either by applying to buy, by automatic conversion on sale or transfer (since 1 July 2009), or via a business \"freeholding lease\" paid by instalments and valuation.\n\nIt matters to lessees, buyers/sellers and inheritors because conversion costs are imposed, non‑disclosure in sale contracts lets buyers rescind, unpaid costs can become a government charge (and lead to sale), and no compensation is payable for administrative actions."}},"importantCases":[],"_links":{"self":"/api/acts/housing-freeholding-of-land-act-1957","history":"/api/acts/housing-freeholding-of-land-act-1957/history","analysis":"/api/acts/housing-freeholding-of-land-act-1957/analysis","conflicts":"/api/acts/housing-freeholding-of-land-act-1957/conflicts","importantCases":"/api/acts/housing-freeholding-of-land-act-1957/important-cases","documents":"/api/acts/housing-freeholding-of-land-act-1957/documents"}}