88HSurrender etc of land sublease—payment for

88H Surrender etc of land sublease—payment for improvements (a) a land sublease is surrendered or ends; and (b) there are improvements in relation to the land under the sublease— (i) that did not exist at the commencement of the sublease; and (ii) the cost of which the sublessee was responsible for; and (c) the sublessee— (i) is not granted a further sublease of the land under the old sublease; or (ii) is granted a new sublease of only part of the land under the old sublease. (2) The sublessor is liable to pay the sublessee— (a) if no further sublease of the land under the old sublease is granted—the value of the improvements as worked out under the Planning Act 2023, section 362 as if the sublessor were the territory planning authority and the sublease were a Crown lease; or (b) if a new sublease of only part of the land under the old sublease is granted—the value of the improvements on the part of the land not leased under the new sublease as worked out under the Planning Act 2023, section 362 as if the sublessor were the territory planning authority and the sublease were a Crown (3) Subsection (4) applies if— (a) a sublease ends; and (b) the sublessee has not given the sublessor at least 6 month’s written notice before the sublease ended, or any shorter period agreed by the sublessee and sublessor, that the sublessee did not intend to apply for a further sublease. (4) The sublessor may deduct the amount of any expenditure reasonably incurred by the sublessor in subleasing the land, or part of the land, under the old sublease to someone else from the amount payable by the sublessor to the sublessee under this section. (5) The sublessor must give the sublessee a notice stating the amount worked out for subsection (2) and subsection (4) (if any) and how the amount is worked out. (6) In this section: improvement, in relation to land, means a building or structure on or under the land.