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Property → Rural transactions → Crown land
Overview — Crown land

Tony Cahill, Legal Author and Commentator

Original content authored by John Boag, Director, Everingham Solomons

Luckbir Singh, Partner, MacDonnells Law (Qld)

Gary Thomas, Partner, Tottle Partners (WA)

Philip Page, Partner, Mellor Olsson (SA)

Tim Tierney, Principal, Tierney Law (Tas)

Currently updated by Lyn Bennett, Consultant, Minter Ellison (NT)

Originally authored by Leon Loganathan, Managing Partner, Ward Keller Lawyers (NT)

Christine Murray, Partner, Meyer Vandenberg Lawyers (ACT)

Introduction to Crown land
New South Wales

Crown land, and the law relating to it, is an important part of rural land ownership. Initially, the state of New South Wales started out as Crown land. Progressively, as land was settled and grants were made, some of that land was identified as freehold. However, to facilitate the settlement of land, many forms of titles, with some connection to the Crown, were created.

To provide some simplification to the large number of Crown land titles, the Crown Lands Act 1989 (NSW) and the Crown Lands (Continued Tenures) Act 1989 (NSW) were passed, repealing the old Crown Lands Consolidation Act 1913 (NSW).

The government introduced further changes with the Crown Land Legislation Amendment (Budget) Act (NSW) in 2004. These changes resulted from a program of external review and an ongoing commitment by the Department of Lands (which then had administrative responsibility for Crown land) to improve the administration and management of Crown land. Administrative responsibility now rests with the Crown Lands Division (CLD) of NSW Trade and Investment. See Introduction to Crown land.

Queensland

Interests in Crown land in Queensland are primarily regulated by the Land Act 1994 (Qld). “Unallocated state land” is the terminology used to refer to Crown land. Under Sch 6 of the Land Act 1994 (Qld), unallocated state land is defined to mean land that is not:

  • freehold land, or land contracted to be granted in fee simple by the state;

  • a road or reserve, including a national park, conservation park, state forest or timber reserve; or

  • subject to a lease, licence or permit issued by the state.

See Introduction to Crown land.

Western Australia

In Western Australia, dealings in Crown land are governed by the Land Administration Act 1997 (WA).

Before that Act came into operation (on 30 March 1998), dealings in Crown land were governed by the Land Act 1933 (WA) . Some interests created under that Act continue but are now governed by the Land Administration Act 1997 (WA).

See Introduction to Crown land.

South Australia

In South Australia, Crown land is primarily regulated under the Crown Land Management Act 2009 (SA) (which repealed and consolidated various earlier Acts relating to different forms of land tenure from the Crown) and the Pastoral Land Management and Conservation Act 1989 (SA).

See Introduction to Crown land.

Tasmania

The Crown Lands Act 1976 (Tas) legislates the management, sale, lease, licensed use and disposal of Crown lands. The Crown Land Services Branch of the Department of Primary Industries, Parks, Water and Environment is the responsible entity for Crown Land.

See Introduction to Crown land.

Northern Territory

In the Northern Territory, Crown land is land in which ownership is vested in the Northern Territory of Australia, and includes both alienated and unalienated Crown land. Approximately half of the Northern Territory is Crown land, alienated under the Pastoral Land Act (NT) or the Crown Lands Act (NT), or is unalienated Crown land. The remainder of the land is held by a variety of parties, including freehold. Forty-four percent of the Northern Territory is held by Aboriginal Land Trusts under the Aboriginal Land Rights (Northern Territory) Act (Cth).

There are two types of Crown land:

  • unreserved Crown land (Crown land which has not been reserved or dedicated for a particular purpose); and

  • reserved Crown land (Crown land which has been reserved for public use, such as parks and reserves).

Dealings with unreserved Crown land are mainly regulated by the Crown Lands Act (NT). Dealings with reserved Crown land are dealt with by the Territory Parks and Wildlife Conservation Act (NT).

The Crown Lands Act (NT) spells out the different ways in which unreserved Crown land may be alienated from the Crown. The Act also deals with a range of other matters, including the Crown’s fee simple ownership of roads, the resumption and reservation of unreserved Crown land and the granting of licences for conducting particular activities on unreserved Crown land.

The Crown Lands Act (NT) defines “Crown lands” as meaning “all lands of the Territory, including the bed of the sea within the territorial limits of the Northern Territory, and including an estate in fee simple that is registered in the name of the Territory, but does not include reserved or dedicated lands”.

In contrast with unreserved Crown land, reserved Crown land is managed pursuant to a plan of management which may set out a description of any proposed buildings, structures, developments and other works that may be constructed on the reserved Crown land either by the Territory itself or together with a joint management partner. See Pt II and Pt III of the Territory Parks and Wildlife Conservation Act (NT).

See Introduction to Crown land.

Australian Capital Territory

The Australian Capital Territory (Self-Government) Act 1988 (Cth) provides that all land in the Territory is owned by the Crown.

Rural leases are governed by the Planning and Development Act 2007 (ACT). These leases are usually for a period of 99 years, however if a particular block of land is designated Commonwealth land, the National Capital Authority may set the maximum term for that lease.

Transfer of rural leases is usually conditional upon consent being granted by the Minister. The ACT Planning and Land Authority is responsible for regulating the transfer of rural leases and assessing the Minister’s consent.

In order to confirm whether particular blocks of land are zoned rural, the Territory Plan can be used to verify guidelines attached to land.

See Introduction to Crown land.

Perpetual leases
New South Wales

As the name suggests, this form of Crown land started out as a lease granted in perpetuity subject to certain conditions, the most relevant one being the payment of an annual rent.

In recognition of the very limited equity still held by the Crown in perpetual leases, the NSW government introduced reforms on 1 July 2004 to simplify their administration and, more importantly, to encourage holders of these leases to purchase the remaining equity.

Landholders were allowed a period of time in which to apply for their perpetual lease to be converted to freehold land before the provision of market rent commenced.

Generally, a restriction on subdivision, and/or restriction on separation of multiple lots, is imposed on the title upon conversion to freehold. Where the CLD identifies conservation values, a covenant to protect those values is imposed. See Perpetual leases.

Queensland

In Queensland, the Department of Natural Resources, Mines and Energy (DNRME) deals with the issuing of perpetual leases. As perpetual leases are issued for specific purposes, the lease must only be used for the purpose for which it was originally issued and the landholder must comply with the various conditions that are imposed on such leases. Furthermore, Ministerial consent is required for the transfer or other dealings (such as subleases) of such leases to convert a perpetual lease-hold to freehold. Such consent is obtained by completing and lodging the relevant DNRME forms. See Perpetual leases.

Western Australia

In Western Australia, a number of different types of leases may be granted by the Minister of Lands over Crown land. The most common type used for rural purposes is a pastoral lease: s 101 of the Land Administration Act 1997 (WA). A pastoral lease is a particular type of leasehold that allows Crown land to be used for grazing stock. See Perpetual leases.

South Australia

In South Australia, perpetual leases are regulated by the Crown Lands Management Act 2009 (SA) and are administered by the Department of Environment, Water and Natural Resources. In most cases, an application can be made to convert a perpetual lease to a fee simple title using a Crown Lands Form #2, available on the Department’s website.

Pastoral leases

A separate system applies in South Australia for pastoral leases under the Pastoral Land Management and Conservation Act 1989 (SA). A pastoral lease is a particular type of leasehold that allows Crown land to be used for grazing stock. Pastoral leases relate only to land used for pastoral purposes. They are granted for terms of 42 years and cannot become freehold land.

See Perpetual leases.

Tasmania

Pastoral leases (which are a particular type of leasehold that allows Crown land to be used for grazing stock) are rare in Tasmania, but some farming is conducted on or related to Crown land under the Crown Lands Act 1976 (Tas).

See Perpetual leases.

Northern Territory

As the name implies, a perpetual lease is land which remains in the ownership of the Crown but is leased in perpetuity. In principle, a perpetual lease can be converted into freehold, although in the Northern Territory this only occurs in limited situations.

In the Northern Territory, perpetual leases of Crown land may be granted under either the Crown Lands Act (NT) (s 9 ), the Pastoral Land Act (NT) (s 31 ) or the Special Purposes Leases Act (NT): s 4 . Each piece of legislation regulates the granting of such an interest in land and the conditions under which the respective perpetual lease are to be maintained, as well as the manner in which such leases can be cancelled.

Under the Crown Lands Act (NT), there is no prescribed purpose for which a perpetual lease may be granted. Under the Pastoral Land Act (NT), as the name suggests, perpetual leases may be granted only for pastoral purposes. Perpetual leases under the Special Purposes Leases Act (NT), on the other hand, may be granted for “any purpose other than a private residential purpose within a town, a pastoral, agricultural or mining purpose” (see the definition of “special purpose” in s 3 of the Special Purposes Leases Act (NT)).

Matters relating to perpetual leases under the Crown Lands Act (NT) and the Special Purposes Leases Act (NT) are dealt with by the Department of Lands, Planning and the Environment, whereas issues regarding perpetual leases granted under the Pastoral Land Act (NT) are dealt with by the Department of Land Resource Management.

See Perpetual Leases.

Australian Capital Territory

See the jurisdiction drop down section above for the ACT under the heading Introduction to Crown land.

Continued tenures
New South Wales

Where an application had been made to convert a perpetual lease to freehold, the purchase price was determined by the Crown. The landholder could then either pay the purchase price as a lump sum or, as was often the case, either choose to pay it in instalments or not pay it at all but simply pay interest on the unpaid purchase moneys.

Where Crown land conditions still attach to a continued tenure (or an incomplete purchase, as it is sometimes called), it is a condition of dealing with the title that the consent of the relevant Minister is required.

Once the outstanding purchase monies have been paid, the landowner is able to remove the Crown land restrictions from the title. See Continued tenures.

Queensland

In Queensland, if an application to convert a perpetual lease to freehold is approved, the perpetual lease is converted to a freeholding lease. A freeholding lease applies where freehold title has been approved but the leaseholder is paying off the purchase price by annual instalments. The Minister, through DNRME determines the purchase price, and the freehold title will not be issued until this is fully paid.

Once the purchase price is paid, a deed of grant is issued which converts the lease to freehold. If land subject to a freeholding lease is sold prior to the purchase price for the freehold being paid in full, then the purchaser simply takes over the payments for the freeholding lease. See Continued tenures.

Western Australia

Before the Land Administration Act 1997 (WA), conditional purchase leases were granted only for farming land and provided for the purchase over a long period — usually 25–30 years. Conditional purchase leases are no longer granted in relation to faming land, however they do continue in existence under the transitional provisions of the Land Administration Act 1997 (WA).

The Land Administration Act 1997 (WA) provides more flexible arrangements for conditional purchase leases. Such leases are essentially a form of agreement for the sale of Crown land subject to specific conditions.

See Continued tenures.

South Australia

In South Australia, after an application for conversion to a freehold title has been made and approved, and the purchase price and all applicable fees have been paid, the perpetual lease will be surrendered and a new certificate of title for the land will be issued by the Lands Titles Office.

See Continued tenures.

Tasmania

Continued tenures are not part of conveyancing practice in Tasmania. In Tasmania, after an application by a lease holder for a freehold title has been made and approved, and the purchase price and all applicable fees have been paid, the lease will be surrendered and a new certificate of title for the land will be issued by the Lands Titles Office.

Northern TerritoryCrown land perpetual leases

Under s 55 of the Crown Lands Act (NT), a lease may contain a provision relating to a right of the lessee to surrender the lease in exchange for fee simple for the area of the lease. A lessee may apply for the grant of an estate in fee simple for the whole or part of Crown leased land in accordance with Form 5 or Form 6 in Sch 1 of the Crown Lands Regulations (NT) (depending on the terms of the lease). Additionally, the Minister has the power under the Crown Lands Act (NT) to grant an estate in fee simple for the Crown leased land in certain circumstances (not limited to where there is a provision in a Crown lease: s 9 of the Act.

Other perpetual leases

The Pastoral Land Act (NT) and the Special Purposes Leases Act (NT) do not make provision for conversion of a perpetual lease into freehold, which is consistent with the policy of preserving the pastoral estate.

See Continued tenures.

Australian Capital Territory

See the jurisdiction drop down section above for the ACT under the heading Introduction to Crown land.

Crown roads
New South Wales

This feature of Crown land is probably the most common, and with which most landholders and conveyancers will have the most dealings.

As part of the division of the state into portions for settlement, Crown roads were included on the maps. The roads, in a great many cases, did not exist in physical terms and, if they did, they may be passing through terrain that would be inappropriate for a road.

An enclosure permit (formerly known as a road permit) is an authority from the CLD to enclose a Crown road or watercourse by the holder of adjoining land. Such permits allow adjoining landholders to fence Crown roads as part of their own property. Permits are issued subject to certain conditions, including payment of an annual rent to the state.

In 2004, major government reforms created a simple, less expensive process to close Crown roads which were no longer required for public access. See Crown roads.

Queensland

This feature of Crown land is probably the most common, and with which most landholders and conveyancers will have the most dealings.

As part of the division of the state into portions for settlement, Crown roads were included on the maps. The roads in a great many cases, did not exist in physical terms and if they did, they may have been passing through terrain that would be inappropriate for a road.

Often adjoining landholders will attempt to enclose a Crown road so that it becomes part of their own property. To achieve this in Queensland, the adjoining property owner needs to lodge an application for a road licence with DNRME. A road licence provides a right to exclusive occupation of a temporarily closed road. For further information, see Crown roads.

Western Australia

Before the Land Administration Act 1997 (WA), public roads were largely governed by the Local Government Act 1960 (WA) and in a more limited manner by the Main Roads Act 1930 (WA). While these two Acts continue, roads are now primarily governed by Pt 5 of the Land Administration Act 1997 (WA).

See Crown roads.

South Australia

In South Australia, public roads may be vested in the Crown, a particular project authority or the relevant local council. Roads may be closed by proclamation under s 27AA of the Highways Act 1926 (SA) or using the procedures under the Roads (Opening and Closing) Act 1991 (SA).

See Crown roads.

Tasmania

Roads are the most common type of Crown land, with which most landholders and conveyancers will deal.

As part of the division of the state into portions for settlement, Crown roads or provision for them were included on the maps. The roads, in a great many cases, did not exist in physical terms, and, if they did, they may have been passing through terrain that would be inappropriate for a road.

Often adjoining landholders will attempt to enclose an unused road provision so that it becomes part of their own property. To acquire title Tasmania, the adjoining property owner needs to lodge an application for the purchase, lease or licence for the road with the Crown Land Services. See the Crown Land Services Branch of the Department of Primary Industries, Parks, Water and Environment for more on the application process.

See Crown roads.

Northern Territory

In the Northern Territory, all public roads within an incorporated area are under the care, control and management of the relevant council: s 186(1) of the Local Government Act (NT). Public roads which are not vested in a council are vested in the Territory under the Control of Roads Act (NT). Pursuant to s 75(1) of the Crown Lands Act (NT), the powers of a person who has an interest in land on which there is a road or mall does not include the power to deal with or use it in a manner inconsistent with the intended pubic use of the road: s 75(1) of the Crown Lands Act (NT).

Under the Control of Roads Act (NT), the Crown may agree to grant an estate or an interest to an adjoining landowner over a road that it has closed or that it proposes to close: s 24(1) .

See Crown roads.

Australian Capital Territory

See the jurisdiction drop down section above for the ACT under the heading Introduction to Crown land.

Licences
New South Wales

A Crown land licence is a contractual agreement that grants the licensee a personal right to occupy and use Crown land for a particular purpose. It does not grant exclusive possession of the land, as is the case with a lease, and may permit the land to be used by other persons. See Licences.

Queensland

In Queensland, the state may grant occupation rights over Crown land by issuing a permit to occupy, an occupation licence or it may temporarily close a road and issue a road licence to allow the occupation of the closed area. See Licences.

Western Australia

Licence and profits a prendre over Crown land may be granted by the Minister under s 91 of the Land Administration Act 1997 (WA), or, in relation to reserved land, under s 48 of the Land Administration Act 1997 (WA). See Licences.

South Australia

A Crown land licence is a contractual agreement that grants the licensee a personal right to occupy and use Crown land for a particular purpose. It does not grant exclusive possession of the land, as is the case with a lease, and may permit the land to be used by other persons. See Licences.

Tasmania

A Crown land licence is a contractual agreement that grants the licensee a personal right to occupy and use Crown land for a particular purpose. It does not grant exclusive possession of the land, as is the case with a lease, and may permit the land to be used by other persons.

The Minister may grant to any person a licence, called a “temporary licence”, to take possession of and hold for any time not exceeding 12 months from the date the licence is issued, any Crown lands as specified in the application for such purposes and on such terms and conditions as specified in the licence: s 42 of the Crown Lands Act 1976 (Tas). Licences do not provide for exclusive possession of Crown land. See Licences.

Northern Territory

In the Northern Territory, the Crown may grant a range of different licences over Crown land, including grazing licences, occupation licences, supply of services licences and miscellaneous licences (licences to take from Crown land timber, wood, stone, shell, salt, etc): see ss 88–94 of the Crown Lands Act (NT).

Note that under the Control of Roads Act (NT), licences may also be granted authorising an individual to conduct certain activities on the road (such as the removal of timber or quarry stone: s 13 of the Control of Roads Act (NT)).

See Licences.

Australian Capital Territory

See the jurisdiction drop down section above for the ACT under the heading Introduction to Crown land.

For information on Crown land for Victoria, see the Crown land — Victoria subtopic.




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