Home/Legislation/Unit Titles Act 1975/Part IVB

Unit Titles Act 1975

Part IVB Estate development

As at 27 November 2023. © Northern Territory of Australia. Reproduced from the Northern Territory Legislation website (legislation.nt.gov.au) under the Territory's copyright policy for legislation. This is not an official version; the official version is on the Territory's website.

© Northern Territory of Australia. Licence. Endnotes (legislative history) removed; structure rebuilt from the Word styles. Text otherwise verbatim. Authoritative version: legislation.nt.gov.au.

Division 1 Preliminary

26NDefinitions#

(1) In this Part, unless the contrary appears:

approved means approved by the Minister.

common property means the common property of the estate management corporation.

developer, in relation to an estate development, means the registered proprietor of an estate in fee simple in, or a lease from the Crown of, the parcel the subject of the estate development and includes a mortgagee in possession and a purchaser from a mortgagee in possession.

disclosure statement means a disclosure statement referred to in section 26Q(3), and includes such a statement as varied under this Part.

lot means a lot into which the Estate is or is to be subdivided in pursuance of this Part.

Estate means the parcel subdivided or to be subdivided in pursuance of this Part.

(2) In this Part a reference to the proprietor of a lot includes a reference to the proprietors of units and common property into which a lot is further subdivided under this Act and a reference to a lot includes a reference to such a unit and common property.

26PApplication of Act to estate developments#

This Act applies to and in relation to an estate development as if a reference in this Act to a unit were a reference to a lot and notwithstanding that there is no building on, or a particular building proposed to be constructed on, the lot.

Division 2 Subdivision for estate development

26QApplication for approval#

(1) Subject to subsection (2), the registered proprietor of an estate in fee simple in or a lease from the Crown of land may, in respect of that land, apply to the Surveyor-General for the approval of a proposal for the subdivision under this Act of the land and its development as an estate development.

(2) An application under subsection (1) shall not be made except in respect of a proposal involving the creation of not less than 2 lots.

(3) An application under subsection (1) shall be accompanied by:

(a) a disclosure statement in duplicate;

(b) a fee of $500 or such other amount as is prescribed; and

(c) a development permit or exceptional development permit issued under the Planning Act 1999 indicating:

(i) the consent of the relevant consent authority under that Act to the subdivision of the land in accordance with the estate development proposal; and

(ii) that the determination to which it relates is conditional on the applicant's compliance with the terms of the disclosure statement.

26RContents of disclosure statement#

(1) A disclosure statement shall, on its first page, have typed or printed in block capital letters of a size not less than 8 points and so as to be clearly legible, the warning specified in Schedule 2 (or such other warning in addition to or in substitution for that warning as is prescribed), and no other information other than the title of the estate development.

(2) In addition to the warning referred to in subsection (1), a disclosure statement shall consist of:

(a) the documents required by section 11 to be included in an application under section 10(1) as if the disclosure statement were an application under Part III for the approval of the estate development as a units plan;

(b) a description of the proposed development (and each stage of the proposed development where it is proposed to be developed in stages) signed by or on behalf of the proposed developer;

(c) a lot plan for the estate development prepared by a surveyor licensed under the Licensed Surveyors Act 1983 showing each proposed stage of the development, and indicating the precalculated dimensions and areas of the lots, construction zones, access zones and common property;

(d) a description of what use can be made of access zones and construction zones referred to in paragraph (c);

(e) a schedule of lots on the completion of the estate development and, as the case may be, its various proposed stages and indicating the zoning under the Planning Act 1999 for each lot;

(f) a schedule of commencement and completion dates for each proposed stage of the estate development;

(g) a statement of any special rights or privileges in relation to the common property proposed to adhere to each lot; and

(h) such other documents, if any, as are prescribed.

26SSecurity for proposal#

(1) In approving an estate development proposal, the Surveyor-General must:

(a) consider whether security is required for the proposal; and

(b) if the Surveyor-General considers security is required for the proposal – seek the Minister's approval for the requirement.

(2) The purpose of the security is to provide for any damages that may be payable to a claimant if there is a failure of the developer:

(a) to comply with this Act; or

(b) to complete the development.

(3) The Minister may:

(a) give the approval; and

(b) specify in the approval the following requirements:

(i) the form and amount of the security;

(ii) how and by whom the security must be given and maintained.

(4) If the Minister gives the approval, the Surveyor-General must, when approving the proposal:

(a) specify the requirements mentioned in subsection (3)(b) as conditions for the approval of the proposal; and

(b) specify that the approval of the proposal is subject to the compliance of the conditions.

(5) In this section:

claimant means:

(a) a proprietor of a lot in the development; or

(b) a person who has entered into a contract with the developer for the purchase of a proposed lot in the development.

26TLodgement of disclosure statement for registration#

(1) As soon as practicable after he receives a notice under section 18 in respect of an estate development proposal, the proprietor of the Estate shall lodge with the Registrar-General a copy of the disclosure statement, certified by the Surveyor-General as being a true copy.

(2) An approval under section 15 in respect of an estate development proposal has no force or effect until a copy of the disclosure statement has been registered.

(3) In this section estate development proposal includes a variation, in pursuance of section 26W of such a proposal and disclosure statement, in relation to such a variation, includes a new proposal referred to in section 26W(2)(a).

Division 3 Failure of development and variation of disclosure statement

26UTransfer of developer's interest#

(1) This section applies if:

(a) a units plan for a completed stage of an estate development is registered; and

(b) the developer proposes to transfer all or part of the developer's interest in the development to another person (the transferee).

(2) The developer must not do so unless:

(a) the developer applies to the Minister in the approved form for the Minister's approval of the transfer; and

(b) the Minister approves the transfer in writing.

(3) The Minister must not approve the transfer unless:

(a) if an application has been made under section 26W for a variation of the disclosure statement for the development to take effect after the transfer – the variation is approved by the Surveyor-General; and

(b) if security is required for the variation – the security has been given and is maintained as so required.

(4) The developer must:

(a) before applying for the approval of the transfer, give a written notice of the proposed transfer to each corporation arising from a completed stage of the development; and

(b) give a written notice of the Minister's decision on the application to each such corporation after being notified of the decision.

(5) In this section:

approved form means a form approved by the Minister.

the developer's interest in the development does not include the developer's interest as the proprietor of:

(a) a lot in the development; or

(b) a unit into which a lot in the development is further subdivided under this Act.

26VDamage for failure of developer#

(1) Where a developer fails to comply with a disclosure statement or complete an estate development in accordance with the disclosure statement, the proprietor of a lot, or a person who has contracted with the developer to purchase a proposed lot in the estate development may, in addition to any other right at law or in equity he may have, sue for and recover such damages from the developer as the Tribunal thinks fit.

(2) Without limiting the generality of subsection (1), the proprietor of a lot, or a person who has contracted with the developer to purchase a proposed lot, in the estate development shall be entitled to recover any expected loss of capital appreciation of his lot or proposed lot arising out of the failure, calculated to the date on which the estate development was to be completed in accordance with the disclosure statement.

(3) The proprietor's consent to a variation of the statement does not prevent the proprietor from acting under this section in relation to the statement as in force before the variation.

(4) This section has effect subject to any agreement between the proprietor and the developer.

26WVariation of disclosure statement#

(1) At any time the developer may apply to the Surveyor-General for a variation of the Surveyor-General's approval of the subdivision proposed in the disclosure statement.

(1A) A transferee mentioned in section 26U may apply to the Surveyor-General for a variation of the disclosure statement under subsection (1) as if the transferee were the developer.

(2) An application under subsection (1) shall be accompanied by:

(a) a disclosure statement in the form required under section 26R indicating the manner it is proposed that the estate development proposal be varied and the new proposal;

(b) a development permit under section 57 of the Planning Act 1999 indicating the consent of the relevant consent authority under that Act to the proposal as varied;

(c) where the variation, if approved, will affect common property – the consent in writing, in an approved form, of each proprietor of a lot in the estate development;

(d) a fee of $300 or such other amount as is prescribed; and

(e) a revised schedule of lot entitlements for the whole estate development prepared by a valuer,

and the developer shall serve a copy of the application, and the documents required by this subsection to accompany it, on the estate management corporation.

(3) If the developer applies to a proprietor of a lot for consent to a proposed variation and the consent is refused or is not, within 28 days after the application, granted, the developer may apply to the Tribunal for an order consenting, in the name of the proprietor, to the proposed variation and the Tribunal has jurisdiction to hear and determine the application and make such an order.

(4) Subject to this section, an application under subsection (1) shall be dealt with by the Surveyor-General in the same manner as an application for the approval of the subdivision proposed in the original disclosure statement.

(5) Where the Surveyor-General approves a variation under this section or the Tribunal consents under subsection (3) to the variation, the developer shall lodge with the Registrar-General for registration the instrument of approval or order of the Tribunal and the revised schedule of lot entitlements referred to in subsection (2)(e).

(6) A variation approved because of subsection (1A) may take effect only after the transfer mentioned in section 26U to which the variation relates has occurred.

(7) In subsection (1):

Surveyor-General's approval, of the subdivision proposed in the disclosure statement, includes the Minister's approval of such a subdivision given before the commencement of the amendment of this section by the Land Title and Related Legislation Amendment Act 2008.

Division 4 Miscellaneous

26XReassessment of unit entitlements after completion of estate development#

(1) At any time in the third to sixth year after the completion of an estate development the estate management corporation may apply to the Surveyor-General, in an approved form, for the Surveyor-General's approval to a revised schedule of lot entitlements for the whole estate development prepared by a valuer and shall serve a copy of the application and revised schedule on the owner of each lot.

(2) Where the Surveyor-General approves a revised schedule of lot entitlements lodged under subsection (1), the estate management corporation shall lodge with the Registrar-General for registration the instrument of approval and the revised schedule.

26YFurther subdivision#

(1) Subject to the Planning Act 1999, a lot may be further subdivided under this Act into units and common property.

(2) Where a lot is further subdivided under this Act into units, the Registrar-General shall note on the certificate as to title of each unit into which it is subdivided that the lot comprising all the units and common property in that further subdivision has the relevant lot entitlement for the purposes of this Act.

(3) The Regulations may prescribe how the relevant entitlement of each unit into which a lot is further subdivided shall be determined and an entitlement so determined may be expressed as a number that is not a whole number.

26ZRestrictive covenants#

For the purposes of imposing a restrictive covenant on the use of a lot in accordance with the disclosure statement, the common property shall be deemed to be the dominant tenement for the benefit of which the covenant is imposed (notwithstanding that no part of the common property may be contiguous to the lot), and the burden of the covenant shall run with the land comprised in the lot.

26ZADisclosure statement deemed part of contract of sale of lot#

(1) Each contract entered into by a developer for the sale of a lot, proposed lot or other interest in an estate development, other than an interest referred to in section 26U(1)(a), shall, in addition to any other condition to which it is expressed to be subject, be deemed to be subject to the condition that the developer will construct and complete the estate development in accordance with the disclosure statement, and each successor in title to a unit or interest so sold shall be deemed to be the original purchaser from or contractor with the developer and may enforce the contract accordingly.

(2) A person is incapable of contracting out of the effect of subsection (1).

26ZBRights of developer in respect of access and development zones#

A developer shall have against the estate management corporation of, and the proprietor of each lot in the completed stage or stages of, an estate development such rights in relation to the construction and access zones specified in the disclosure statement in respect of each stage of the proposed estate development as is provided in the disclosure statement.

26ZCApplication of Part V#

The Regulations may vary the application of Part V (other than Division 1 of that Part) and Schedule 1 to and in relation to an estate development corporation and the management of the affairs of the estate development and, where they do so, that Part or Schedule 1, as so varied, applies accordingly.

26ZDBy-laws relating to estate development#

(1) An estate management corporation may, by special resolution, in respect of its estate development, make By-laws, not inconsistent with this or any other law of the Territory, relating to:

(a) the management, use and maintenance of the estate development;

(aa) the health and safety of persons;

(b) the control of vehicles in areas that are not part of public roadways;

(c) the control of vessels;

(d) the control of wharf's and berths;

(e) the control of polluting substances and pollution control and clean-up;

(f) the imposition and collection of dues and other fees and charges incidental to the management, use and maintenance of the common property;

(g) noise and other nuisance control;

(h) the enforcement of the By-laws and prosecuting persons for offences against the By-laws;

(j) the duties of owners and occupiers of lots; and

(k) such other matters as are necessary or convenient to be provided for by by-laws.

(2) The By-laws may prescribe penalties, not exceeding 100 penalty units, for a contravention of, or failure to comply with, the By-laws and, in addition, may prescribe a penalty, not exceeding one penalty unit, for each day during which the offence continues.

(3) A pecuniary penalty recovered on prosecution for an offence against the By-laws is payable to the estate management corporation and may be recovered by it as a debt due to it.

(3A) Nothing in the By-laws limits or otherwise affects the operation of any other law of the Territory.

26ZETransitional#

(1) At any time before an estate management corporation first meets after its incorporation the Minister may make a by-law on any matter which, under section 26ZD, the estate management corporation could make a by-law.

(2) A by-law made under subsection (1) may be revoked or amended by a by-law under section 26ZD by the estate management corporation.

Previous: Part IVA Condominium developmentContentsNext: Part IVC Building development