18 May, 2009

Proposed legislative attack on "The Castle"???

Barely just over 6 weeks ago, the High Court decided that Parramatta City Council cannot compulsorily acquire land owned by the claimants, R & R Fazzolari Pty Ltd and Mac's Pty Ltd without their approval. Before this decision, the claimants successfully challenged the Council in the Land and Environment Court of NSW. On appeal, Council succeeded in the NSW Court of Appeal

Many in the media at the time likened this battle over the intended compulsory land acquisition by Council as akin to the small guy versus the big guys theme in 1997 "The Castle" movie.

Parramatta City Council proposed to develop a block within its CBD in a Public Private Partnership between Council and 2 developer companies. Council agreed with the developer to compulsorily acquire the claimants' land, then re-sell it to the developer to enable the development to proceed.

The Local Government Act provides that if land is being acquired for the purpose of re-sale, it can't be compulsorily acquired without the owner's approval. Council argued the acquisition was primarily to implement its "Civic Place" project, and not for the purpose of re-selling. The High Court rejected that argument.

It has recently been reported in the Sydney Morning Herald, here and here, that there's now legislation before the NSW Parliament proposing to give councils the right to compulsorily buy private land and transfer it to developers for resale for profit.

The Herald's article reports that Mr Fazzolari, one of the original claimants, to have said "If this happens, no one is safe ... this is not about public purpose - this is about money".

I think it couldn't have been better said!

Go here for more information I've previously posted about compulsory land acquisition in NSW.

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