Page 3079 - Week 10 - Thursday, 15 September 1994

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MINISTER FOR THE ENVIRONMENT, LAND AND PLANNING

LEGISLATIVE ASSEMBLY QUESTION

QUESTION NO 1356

Private Housing - Construction Covenant Extensions

Mr Cornwell - asked the Minister for the Environment, Land and Planning -

In relation to advice (Estimates Committee uncorrected proof transcript, 24 June 1994, page 399) that the period between purchase and construction time for private sector housing had been extended from 12 to 24 months with a possible extra extension of another 6 months -

(1) What controls exist to prevent the owner sitting on-this property for the full 30

month period to allow its value to increase because of surrounding development.

(2) What controls exist to prevent the owner from selling the land after the full 30

months period during which time the surrounding land has been developed.

(3) How many (a) extensions beyond 24 months have been granted and (b) blocks

did those extensions represent and (c) in what suburbs were the blocks located

since construction time was extended from 12 to 24 months.

(4) How many applications to sell blocks have been received from owners who have

held the blocks undeveloped beyond 24 months.

(5) How many residential leases have changed hands before building commenced

since construction time was extended from 12 to 24 months.

(6) Why was (a) construction time extended from 12 to 24 months and (b) the

opportunity, in certain circumstances, given for a further extension of up to 6

months.

(7) What are the circumstances that would justify a further extension beyond 24

months.

Mr Wood - the answer to the Members question is as follows:

The question refers to a permitted extension period of 6 months. There is no particular restriction on the amount of time that can be provided to lessees to meet their obligations under their leases. The circumstances of each particular case are considered, to determine whether an extension is warranted. The 6 months referred to relates to the period of extension that can be approved by the Building Controller. Extensions beyond that must be considered by the Lease Administration Branch of the Department of the Environment, Land and Planning.

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