When freehold or leasehold land is sold, licences that provide a benefit to that land will automatically transfer to the new owner.
The new licence holder will be responsible for complying with the terms and conditions of the licence, including paying rent and any outstanding debt.
Licences that do not automatically transfer will not require any adjustments at settlement. In these cases, an application to cancel an existing licence and apply for a new licence must be submitted.
Licences that can be transferred
An automatic transfer will only occur if the licence:
- provides a benefit to the land
- is held in the exact same name as the name that appears on the registered title
- the ownership of the land is being changed by a transfer and not a transmission.
A transmission may occur where the ownership of land is transmitted to an executor, beneficiary, mortgagee, or other third party.
Examples
| Licence scenario | Eligible |
|---|---|
| Licences for domestic waterfront facilities that directly adjoin freehold or leasehold land | Yes |
| Licences for pump sites, pipelines, bore sites, channels, or other water supply facilities that deliver water to and/or from freehold or leasehold land | Yes |
| Licences that supply a service to and/or from freehold or leasehold land, such as access, sewerage treatment, electricity supply, telephone, or transmission lines | Yes |
| Licences for grazing and/or agricultural activities managed and utilised in conjunction with freehold or leasehold land | Yes |
| Licences where the associated freehold or leasehold land changes ownership by a mortgagee in possession | No |
| Licences where the holder is deceased and the associated freehold or leasehold land changes ownership by an executor or similar party via transmission | No |
| Licences for domestic waterfront facilities not utilised in conjunction with freehold or leasehold land or not within close proximity | No |
| Licences for stand-alone structures and/or facilities that do not provide a benefit to freehold or leasehold land | No |
Crown land conveyancing search for sale or purchase of land
It is recommended that during the conveyancing of freehold or leasehold land, the purchaser(s) conduct a Crown land conveyancing search. This search will identify any licences associated with the land, and whether they are eligible for automatic transfer or if the purchaser will need to apply for a new licence.
If the licence is eligible for automatic transfer, the purchaser should also familiarise themselves with the terms, conditions, and scope of the current licence to understand its limitations and obligations.
If you do not want a licence to automatically transfer when purchasing a property, the current licence holder must arrange for the licence to be terminated before settlement.
If the termination is not fully processed and approved by us before settlement, the licence will automatically transfer to you.
Fees
We will send you an invoice for the application fee after we receive your application.
Notify us about an automatic transfer
Once freehold or leasehold land has transferred, the new owner must notify us of the transfer within 28 days by lodging an Automatic Transfer Notification Form.