Bow v Blacktown City Council [2008] NSWLEC 211

Bow v Blacktown City Council [2008] NSWLEC 211

Compensation for compulsorily acquired land is to be determined with reference to the market value disregarding the public purpose zoning, with appropriate adjustments reflecting real risks of environmental requirements and physical constraints as evidenced by comparable sales, but not to the extent of speculative or excessive discounts; in this case, compensation is to be assessed at $3,395,628.70, calculated on a developable area and riparian corridor at rates supported by the most reliable comparable sale (lot 31), with a modest deduction for species impact risk and associated development risks.

Parties
Applicant: Norman Bow; Respondent: Blacktown City Council
Jurisdiction
Australia
Judgment Date
28 July 2008
Procedural Posture
Compensation Claim (compulsory Acquisition of Land) / Final Judgment
Outcome
Applicant awarded compensation
Legal Topics
Market Value, Compensatory Offsets, Threatened Species, Comparable Sales, Zoning, Development Constraints
Property Law Environmental Law Compulsory Acquisition Market Value Compensatory Offsets Threatened Species Comparable Sales Zoning +1 more

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Parties

Norman Bow

Applicant

Blacktown City Council

Respondent

Procedural Posture

Compensation Claim (compulsory Acquisition of Land) / Final Judgment

Legal Issues

  1. 1 What is the appropriate amount of compensation for compulsorily acquired land under the Land Acquisition (Just Terms Compensation) Act 1991?
  2. 2 What effect does the presence of an endangered ecological community (Cumberland Plain Woodland) and a creek have on the market value of the land?
  3. 3 How should comparable sales be evaluated for land with environmental and development constraints?

Ratio Decidendi

Compensation for compulsorily acquired land is to be determined with reference to the market value disregarding the public purpose zoning, with appropriate adjustments reflecting real risks of environmental requirements and physical constraints as evidenced by comparable sales, but not to the extent of speculative or excessive discounts; in this case, compensation is to be assessed at $3,395,628.70, calculated on a developable area and riparian corridor at rates supported by the most reliable comparable sale (lot 31), with a modest deduction for species impact risk and associated development risks.

Court Disposition

Applicant awarded compensation

Orders

  • Mr Bow's claim for compensation is determined in the amount of $3,395,628.70.