lease is a document that is a legally binding agreement between the
Government and you the lessee. It is a written document that
sets out the rights and obligations of lessees and states the purpose
for which the land can be used.
of the key obligations of lessees is to develop the land in the time
prescribed in the lease. For residential uses the standard clause
states that construction must start within 12 months of the
commencement of the lease and be completed within 24 months. The
front page of your lease will state the commencement date.
its part the Government warrants that the lessee can have and use the
land that is described in the lease for his or her benefit and can
remain as the owner of that land for the term of the lease.
LONG DOES MY LEASE LAST?
residential leases in the ACT are granted for a term of 99 years.
HAPPENS WHEN MY RESIDENTIAL LEASE EXPIRES?
that the land is not required by either the Territory or Commonwealth
for public purposes, the Government will grant a new residential
lease towards the end of the 99 years, to the person holding the old
residential lease, without payment (other than an administrative
fee). This gives the lessee continuing security of tenure.
I MORTGAGE AND SELL MY RESIDENTIAL LEASE?
As a lessee you can mortgage and sell your lease provided you have
completed either the construction or the improvements required in the
lease. The one exception is that if the improvements have not been
completed the sale can only be made with government consent. Before
you can sell a residential lease without restriction, you will have
to complete the construction of the residence. Otherwise, residential
property in the ACT is as readily saleable as if it were anywhere
else in Australia.
SYSTEM OF LAND TENURE
is no freehold land in the ACT all land tenure is by leasehold,
held in public ownership by and for the people of Australia. The land
is leased with the right to develop and use for specific purposes.
Leases are offered for a set period, generally 99 years. They are
transferable and can be willed. Lessees own the improvements, but the
land continues to belong to the people of Australia. Most leases are
issued by the Territory Government. Those on National Land are issued
by the Commonwealth.
planning system in the ACT is complemented by the leasehold system of
land management and administration. When a lease is issued, it
contains provisions which control use of the land and guide its
development. Each lease contains a purpose clause setting out
permissible uses for the land and usually includes conditions setting
out the term of the lease and the nature and extent of development