QLD: Can a council compulsorily acquire strata common property?

Question: Can a Council compulsorily acquire an area of common property?

Answer: Yes.

Pursuant to s.5 of the_ Acquisition of Land Act (Qld) _1967 (‘ALA’), a constructing authority (such as the Gold Coast City Council) may take land from another person or entity (including a body corporate) for any permitted purpose. Schedule 1 of the ALA provides a comprehensive outline of purposes which may require an acquisition of land. For instance:

1. Purposes relating to transportation i.e. constructing parking, roadways and landing places;
2. Purposes relating to the environment i.e. the management, protection and conservation of areas or places; and
3. Purposes relating to education and cultural facilities i.e. construction of libraries, museums and schools.

Normally, a Council will engage in a voluntary acquisition process where it negotiates with the land owner (in this case, a body corporate) with a view to reaching a voluntary agreement prior to issuing a formal notice of intention to acquire land pursuant to s.7 of the ALA (‘Notice’). However, in some instances, the acquisition process may commence with the Notice.

The acquisition process is extremely complex and involves at least the following considerations:

1. general meeting approvals;
2. the preparation of new survey plans;
3. the filing of a new CMS;
4. impacts on lot entitlements (if any);
5. any basis to object to the resumption; and
6. the payment of compensation.
7. In light of the above, we strongly recommend that legal advice is sought if a body corporate is approached by a Council or a Notice is issued.

This post appears in Strata News #660.

Alanna Hill
Mathews Hunt Legal
E: alanna.hill@mathewshuntlegal.com.au
P: 07 5555 8000