Log in or register
Share on LinkedInShare on LinkedIn

ARTICLE · 25 MAY 2016

Check new off-the-plan laws before buying property in NSW

Stacks Law Firm
Explore more from Stacks Law Firm

Off-the-plan buyers now will have greater protections that require developers to justify any sunset clause termination.

AustraliaReal Estate and Construction
Merrill Phillips
Merrill Phillips
Author LinkedIn connections

Six months ago Legal Light raised concerns home buyers and investors who bought apartments off-the-plan were shocked by developers dumping their contract and reselling the property for a far higher price.

The developers were exploiting a sunset clause loophole in off-the-plan purchasing conveyancing laws. The original purpose of the sunset clause was to protect both buyers and sellers in unfinished developments so that either side could get their money back if the building wasn't completed or the buyer didn't complete their payment.

But with the soaring property market some developers delayed completing construction until the sunset clause kicked in, then demanded more money or they would rescind the contract and raise the sale price of the property.

We operate a free-to-view policy, asking only that you register in order to read all of our content. Please login or register to view the rest of this article.

Register for freeORLog in

Related Articles

Legal Intelligence Newsletters: sign up for the latest legal and regulatory news on your chosen topics

Read more about

Related Comparative Guides

See more popular content from

Article

Personal Guarantees In Commercial Leases: Risks For Directors

Directors who sign retail leases on behalf of company tenants often provide personal guarantees without fully understanding the scope of their liability. This liability can extend far beyond unpaid rent to include outgoings, interest, make-good costs, and enforcement expenses, persisting even after resignation or business sale. Understanding the distinction between guarantees and indemnities, and knowing when statutory protections may apply, is essential for directors seeking to limit their personal exposur
AustraliaReal Estate and Construction
Stonegate Legal
Stonegate Legal
Article

Data Centre Approvals: Community Engagement And Social Licence Are Essential

The development assessment process for data centres in Australia has become a critical battleground for social licence, where community concerns about energy consumption, water usage, noise pollution, and local impact must be addressed with evidence rather than assurances. As jurisdictions across Australia move to establish enforceable regulatory frameworks, developers face an evolving landscape where early investment in genuine community engagement and rigorous impact assessment determines whether projects
AustraliaReal Estate and Construction
Corrs Chambers Westgarth
Corrs Chambers Westgarth
Article

Project Distress In Queensland: Lessons From The Bathla Collapse

The collapse of the Bathla Group has sent ripples through Australia's construction sector, raising critical questions about financial distress management in major projects. With Queensland delivering an unprecedented infrastructure pipeline amid margin pressures and market uncertainty, are project participants adequately prepared to identify and respond to insolvency warning signs before external administrators arrive?
AustraliaReal Estate and Construction
Holding Redlich
Holding Redlich
Article

The Concept Of ‘Interior Face’: Where Does The Boundary Lie?

A Supreme Court of Victoria decision has overturned a tribunal ruling on apartment balcony ownership, establishing that deteriorated tiles, waterproofing and screed constitute common property rather than private lot ownership. The case clarifies how 'interior face' boundaries should be interpreted in Plans of Subdivision, determining whether owners corporations or individual lot owners bear responsibility for maintenance and repairs in high-density residential developments.
AustraliaReal Estate and Construction
Kennedys
Kennedys