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Latest news and analysis

Light at the end of the tunnel?

24/08/2021
Ros
The long-running dispute over electricity charges in land lease communities continues. Just over 12 months ago we became aware of, and reported on, operators relinquishing their right to on-sell electricity to home owners and passing that responsibility to Hum Energy, or another energy retailer. At that time the Energy and Water Ombudsman of NSW (EWON) and NSW Fair Trading had both determined that neither the operator nor Hum Energy had broken any rules or laws regarding this arrangement. However, some home owners were resisting the transfer and the Tenants’ Union was working with Tenants Advice & Advocacy Services and the Tweed Residential Park Homeowners Association (TRPHA) regarding options for those home owners to resolve their disputes. We can now report on two developments.
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Review overview

24/08/2021
Outasite logo
At the end of 2020 the NSW Government released the Discussion Paper on the Statutory Review of the Residential (Land Lease) Communities Act 2013. Individuals and organisations were invited to provide feedback via a survey on the NSW Fair Trading website or by making a submission. Consultation was initially scheduled to close on 26/02/2021 but the deadline was extended to 12/03/2021.
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Reckless retaliation?

24/08/2021
Margaret
Many Outasite readers will know the name Margaret Reckless. She is the home owner whose name was given to the method to calculate electricity charges for home owners on embedded electricity networks because Margaret’s dispute with her operator went right up to the Supreme Court of NSW. The decision of the Supreme Court on 4 September 2018 in Silva Portfolios Pty Ltd trading as Ballina Waterfront Village & Tourist Park v Reckless [2018] NSWSC 1343 defined the parameters for electricity charges. When the dispute went back to the NSW Civil and Administrative Tribunal (NCAT) to determine exactly how the charges should be calculated, the ‘Reckless’ method was born.
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Community by definition

24/08/2021
Emma
In the vast majority of land lease community cases that we encounter, it is generally clear and accepted by all parties that there is a land lease community in operation and subsequently that the Residential (Land Lease) Communities Act 2013 (RLLC Act) applies to the relationship between operator and home owner.
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Damage, loss and abandonment

24/08/2021
Flooding
A number of land lease communities were impacted by the floods in the Mid North Coast in March 2021. Some homes in those communities were significantly damaged by flood waters, leaving home owners unable to sell their homes to incoming prospective purchasers.
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Unstable ground

24/08/2021
Under Mark's home
Land lease living is often talked about as an affordable housing option, particularly for retirees who want to downsize and free up funds. New, modern homes can be expensive but, when compared to the cost of traditional house and land options, even the top end homes are often cheaper. Other contributors to affordability include the ability to claim Commonwealth Rent Assistance to help meet the cost of site fees, no stamp duty is payable when purchasing a home, and home owners do not have to pay council rates.
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Local Government complications

24/08/2021
Jean
The list of issues surrounding the interaction of local councils and local government regulations with land lease community operators and home owners is long. To bring some of these issues into focus we have decided to highlight the plight of home owners in four land lease communities in the Illawarra.
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An Independent Voice

24/08/2021
Jill Edmonds
The Independent Park Residents Action Group began to take shape in 2013 when twenty-two home owners’ representatives travelled to the Central Coast for an urgent meeting. The meeting was prompted by two issues.
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Interference with Sale of Home

24/08/2021
Reece's home
Allan and Lynn Reece are home owners and age pensioners. They live in a land lease community called Emerald Tiki Village Caravan Park at Anna Bay in NSW. In early June, 2017 the Reece’s met Mr John Frost, the owner/operator of Emerald Tiki Village. The operator was selling the home on site 10.
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Age restriction rule allowed

24/08/2021
children on a trampoline
A challenge to an age restriction rule has failed and new home owners and their occupants must be over 55 years of age despite the community being a holiday park marketed at families with young children. We agree with the home owners, an age restriction rule in such communities is nonsensical.
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