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ARTICLE · 24 JUNE 2020

How can I claim compensation for an adverse planning change?

Holding Redlich
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Who can claim & how, when the value of interest in land is reduced as a result of a change to a planning scheme.

AustraliaReal Estate and Construction

The Planning Act 2016 allows a person with an interest in a property (known as an 'affected owner') to claim compensation from a local council when the value of the person's interest is reduced as a result of a change to a local planning instrument (i.e. a change to a planning scheme). The Planning Act refers to these changes as 'adverse planning changes'.

In order to claim compensation, a person must have an interest in the property at the time the change to the local planning instrument took effect.

In most cases, a claim can be made when the change:

  • limits the use of the property to its lawful use at the time the change was made, or the change is for a public purpose (this is known as a 'public purpose change');

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This publication does not deal with every important topic or change in law and is not intended to be relied upon as a substitute for legal or other advice that may be relevant to the reader's specific circumstances. If you have found this publication of interest and would like to know more or wish to obtain legal advice relevant to your circumstances please contact one of the named individuals listed.

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