Our Expertise

Compulsory
Acquisition

Andrew Beatty of Beatty Hughes & Associates is recognised as a leading expert in the application of compulsory acquisition law around Australia.

We have advised on the application of the law in this field in all States and Territories and have acted in some of the most significant and technical matters to come before the Courts. We have acted for a variety of dispossessed owners, from large corporate property developers to single homeowners, in a wide range compulsory acquisition matters including:
  • acquisitions of prime commercial real-estate in the Sydney and Parramatta CBDs;
  • acquisitions of rural land; and
  • substratum (underground) acquisitions in NSW and QLD;
We have long-running and successful working relationships with a number of valuers, town planners, quantity surveyors and other experts who regularly provide advice in the context of compulsory acquisition matters, which enables us to quickly and accurately assemble an appropriate and tailored team that is responsive to the unique circumstances of each acquisition. We made submissions to and were invited to appear at the 2022 NSW Parliament (Portfolio Committee No. 6 – Transport and the Arts) inquiry into the acquisition of land in relation to major projects.

How we can assist

Advising on the statutory rights granted under the applicable compulsory acquisition legislation across Australia and providing guidance on the compulsory acquisition process (which may differ between jurisdictions).

Corresponding with representatives of the acquiring authority or other statutory authorities (such as the Valuer-General of NSW) in negotiations regarding compensation.

Advising on appropriate experts and barristers to brief and retain having regard to the unique circumstances of each acquisition.

Advising on the most appropriate bases for formulating and presenting claims for compensation to acquiring authorities, statutory authorities or the Court including market value, disturbance and reinstatement claims.

Advising on the land value implications of heritage listings in the context of compulsory acquisitions and land tax appeals.

Advising on the value of interests in land other than fee simple such as leasehold interests, options to purchase land or substratum interests.

Advising and representing in relation to appeals of compensation in courts of competent jurisdiction, including superior Courts of Record including the Land and Environment Court of NSW and the NSW Court of Appeal.

Our recent experience in Compulsory Acquisition

G&J Drivas Pty Ltd v Sydney Metro [2023] NSWLEC 20 – Acting for the dispossessed owners in a Class 3 claim for compensation in relation to land compulsorily acquired by Sydney Metro in the Parramatta CBD, resulting in an assessment of compensation for our client in an amount over $600m.

Viva Energy Australia Pty Limited v Transport for New South Wales [2021] NSWLEC 67 – Assessment of compensation of leasehold interest over part of land used for a service station.

Glenmarie Capital Pty Limited v Valuer General of New South Wales [2020] NSWLEC 1291 – successful application to have identified heritage values taken into account in determining land value under the Valuation of Land Act 1916 (NSW).

Advising on a complex claim for compensation for the substratum acquisition of land for the Cross-River Rail under a prime commercial property in the Brisbane CBD.

Acting for the owners and tenants of highly valuable land in the Sydney CBD acquired for the Sydney Metro Project.

Parliamentary inquiry

Related News + Insights

Under s 10A of the Just Terms Act, the “genuine attempt” needed from acquiring authorities for dispossessed owners must be altered in the requirement of offers for market value needing submission with an opening letter, as well as advance payments of compensation being needed. Enhanced negotiation and mediation processes are also necessitated, with hardship provisions for disadvantaged situations.
The NSW Court of Appeal has held that Sydney Metro’s substratum construction works which caused subsidence of 1.5mm was considered to be ‘trivial’ and did not disturb the overlying soil. Therefore, compensation was not awarded.
The current process of resumption of one’s land is adversarial, forcing landowners to accept unsatisfactory offers or face substantial risk and costs to further their cases. Recommendations to the Just Terms Act involve authorities paying an advance of compensation and engaging with all aspects of a claim, statutory protection for costs incurred where acquisitions are withdrawn before the issue of a Proposed Acquisition Notice, and the minimum negotiation period being renewed when the authority’s plans for required land change.
An analysis of section 56(3) of the Land Acquisition (Just Terms Compensation) Act 1991, which facilitates the award of compensation on a ‘reinstatement’ basis in certain circumstances.
This article outlines a few key recent developments in compulsory acquisition law, including acquisitions for new Metro Stations and recent decisions in the Land and Environment Court addressing “relocation” under the Just Terms Act and “profit rental” as a valuation method.