Lease by a reserve trust

NOTE: Minister’s consent is required unless the reserve trust has been authorised by the minister under section 102A Crown Lands Act 1989 to execute the lease.

Form 07LR (PDF 1756 KB)

Dealing type - LR

Legislation - s53 Real Property Act 1900 & pt 5 Crown Lands Act 1989

Stamp duty

Required

  • in the case of a lease in respect of which a lump sum is to be paid, whether 'rent' or 'premium', regardless of the date.
Note: Where stamp duty is required any alteration to the reference to title or premises description, or increase of the term or annual rent must be marked.

Not required 

  • for a lease dated on or after 1-1-2008 where no lump sum payment is involved .
Certificate of Title - required for: 
  • the land or premises affected by the lease
  • the servient tenement where an easement is included.
  • the common property where land is contiguous to or relevant to a strata scheme is leased as additional common property.
Not required where the registered proprietor (lessor) is the Land Administration Ministerial Corporation.


Note: The Certificate of Title is also not required where the Certificate of Title has not been issued, noting in particular that titles in the name of the State of New South Wales may not have been issued.

NOS form - not required

Standard form of Caveat - prevents registration but does not prevent registration where  a lease is by a mortgagee or chargee in possession.

Priority Notice noted on the Register - see Priority Notice page.

An expired lease will not be accepted for lodgment under any circumstances, even if it is accompanied by a variation of lease extending the term.

A lease for a term exceeding 3 years must be registered in order to pass an estate to the lessee.  A lease for a term of 3 years or less, including an option to renew, may be registered. See Baalman And Wells, Land Titles Office Practice, Lawbook Co. 2001 [280.100]. 

Minister's consent – Is required except where the lease is executed pursuant to section 102A of the Crown Lands Act 1989.

The lease must not include any reference to the lessor or lessee being a trustee, executor or administrator for another party.

Where a current registered lease with different lessees affects the same land or premises and the terms overlap:

  • the current lease must be noted in the Encumbrances.  The incoming lease will be treated as if it is a concurrent lease; or
  • the incoming lease must clearly indicate that it is a concurrent lease or
  • an accompanying letter must state that it is a concurrent lease, or
  • the current lease must be removed.
 (A) The reference to title for the land affected by the lease must be stated. Where the property leased is contained in a lease folio, the number of the lease folio only must be stated.
An extra fee is payable where the land description is reliant on a plan annexed to the lease.

A lease of:

  • part of the land for 5 years or less, including any options to renew, must fully describe the affected part by reference to a registered plan, a plan attached to the lease, or to another registered dealing. See Greg Stilianou, Land Titling Law and Practice in NSW, Lawbook Co. 2013 [12.370]
  • part of the land for more than 5 years, including any options to renew must describe the affected part by reference to a registered plan of subdivision that has been approved by the Local Council, see s23F and s23G Conveyancing Act 1919 (formerly s327AA Local Government Act 1919). Also see Greg Stilianou, Land Titling Law and Practice in NSW, Lawbook Co. 2013 [12.380]
  • premises must be fully defined by either:
    »   a unique description such as a shop name or number together with a full postal address, or
    »   a plan annexed to the lease.
    Vague or ambiguous descriptions such as 'including rear office' are not acceptable.
    For leases of adjoining air space see Registrar General's Guidelines for Deposited plans.
  • premises for a term exceeding 25 years must be accompanied by a plan defining the premises.  The plan does not require local council's approval. An extra fee is payable for the plan. See See Greg Stilianou, Land Titling Law and Practice in NSW, Lawbook Co. 2013 [12.400]
  • Land excluding premises must be considered as a lease of land. A lease of land excluding premises being for a term of 5 years or more, including any option of renewal, is a subdivision of land and requires a plan of survey with Local Council approval. Submit all cases to SM 99.
  • car spaces intended to be included in the leased premises must be clearly numbered.  Where car spaces are not clearly identified, e.g. 'together with 1 car space' rather than 'car space No. 1', a requisition will be raised.  Reference to car spaces elsewhere in the lease will be regarded as rights and will not be included in the lease notification.  Where the car spaces are also shown in an annexed plan, dimensions of the car spaces must be included in the plan.
  • creating an easement, enter the reference to title for the servient tenement in ITS.  See s47(2) & (3) Real Property Act 1900; Baalman And Wells, Land Titles Office Practice, Lawbook Co. 2001 [140.450].

(C) The full name of the Registered Proprietor must be stated and must be identical to the registered proprietor as shown on the Register.

(D) The full name of the lessor (Reserve Trust) must be stated and must be identical to the name  shown on the Register.

A lease by less than all of the registered proprietors may be lodged as regards their interest or share.

A lease affecting a multiple ownership title may contravene s23F and s23G Conveyancing Act 1919 (formerly s327AA Local Government Act 1919) where it is not between the registered proprietors themselves.

(E) The full name of the lessee must be stated.

A lease to Her Majesty Queen Elizabeth the Second must indicate the relevant statutory authority. The name of the statutory authority will be included in the notification, eg 'Her Majesty Queen Elizabeth the Second (State Rail Authority)'

(F) Tenancy/shares must be stated where there is more than one lessee.  Reference to the tenancy/shares will not be entered on the Register.

(G)

Item 1. Term

The term stated must agree with the period of time covered by the commencement and expiry dates as stated in Items 2 and 3.

See Greg Stilianou, Land Titling Law and Practice in NSW, Lawbook Co. 2013 re:
  • leases: duration/term of a lease and the description of leased land [12.320]
  • certainty of term [12.330].

or Baalman and Wells “Land Titles Office Practice” paragraph 280.450 regarding the Term of a Lease and paragraph 280.350 regarding the description of the land being leased.

A lease for a specific period that is not continuous, eg for particular days or weeks of the year, will include reference to the specific time periods in the lease notification. 

Item 2. Commencing Date

The date of commencement must be stated and can be in the past. The lease may commence on a specific date and/or the happening of a certain event. The term of the lease must commence within 21 years of the date of the lease. See Greg Stilianou, Land Titling Law and Practice in NSW, Lawbook Co. 2013 [12.340] or  Baalman and Wells “Land Titles Office Practice” paragraph 280.450.

Item 3. Terminating Date

The date of termination must be stated or be ascertainable from the lease.
A lease will not be registered if the term of the lease has expired, regardless of the lease:
  • being lodged before the expiry date,
  • containing an option to purchase and/or renew, or
  • being accompanied by a variation of lease extending the term.

Item 4. Option To Renew

(must be completed, or be deleted and verified)

The period or periods of time for the option(s) to renew and the relevant clause number in the lease annexure or memorandum must be stated.  Any clause referred to must contain the details of the option to renew. Reference to several option periods will be included in the lease notification.

Item 5. Rights

(must be completed, or be deleted and verified)

A lessor may reserve or a lessee may grant certain rights, eg. right of entry, use of stairways, together with car spaces etc.  The relevant clause number of the rights in the lease annexure or memorandum must be stated.  If the rights constitute an easement the certificate of title for the servient tenement is required.

Item 6. Annexures

(must be completed, or be deleted and verified)

Additional clauses and covenants relating to the lease may be contained in an annexure.  Plans, consents and other documentation intended to be filed with the lease must be treated as annexures.  The annexure must be identified, e.g. "Annexure A".  Each page must be numbered.  The first and last pages and any alterations or additions must be signed by all parties.

Item 7. Memorandum

(must be completed, or be deleted and verified)

The clauses and covenants relating to the lease may be contained in a memorandum filed in LPI.  Addition to, modification, or deletion of matters referred to in the memorandum is acceptable by way of a schedule attached to the lease.

Item 8. Rent

The item/clause number and identity of the annexure containing details of the rent payable must be stated. Note  Any alteration to the rent must be marked by Revenue NSW.

(H) The dealing must be executed by the lessor (Reserve Trust) and be witnessed. See execution by a reserve a trust for the requirements for execution by the lessor.

The consent of the State of New South Wales must be by a delegate of the Minister administering the Crown Lands Act 1989. 

Note: Minister’s consent is not required when the reserve trust executes the lease pursuant to section 102A Crown Lands Act 1989. The date of authorisation is required to be stated.

(I) The dealing must be executed by the lessee and be witnessed, or be executed on their behalf as follows:  
Attorney1 and witnessed Solicitor or Barrister Authorised Officer and witnessed Licensed Conveyancer
Lessee Tick Tick Tick Tick

 Where the lessee is the Owners Corporation of a Strata scheme, execution must take the form as set out in Strata Schemes Approved Form 23 (PDF 128 KB).  The following certificates are also required:

  • Strata Schemes Approved Form 13 (PDF 23 KB) and
  • Strata Schemes Approved Form 10 (PDF 8 KB) where the initial period is not shown as expired on the common property title. 

Where the lessee is the Association of a Community, Precinct or Neighbourhood scheme, execution must take the form as set out in Community Title Schemes Approved Form 18 (PDF 20 KB).  A certificate as in Community Title Schemes Approved Form 21 (PDF 20 KB) is also required. 

 See execution requirements for companies, witnesses etc. pages

Staff processing information

Where the lease affects a folio of the Register bearing the notification:

'DP... Note: Plan Is A Subdivision For Lease Purposes - s289K(3) Local Government Act 1919',
the following points apply:
  • the term together with any option to renew cannot exceed 20 years and
  • the lease may be accompanied by a letter requesting the issue of a certificate of title for the leasehold estate; no fee is payable (paid with plan).

Refer to SD31     A lease by a Reserve Trust  in the first instance

Refer SD31 then to SM99

A lease:
  • of contiguous land or land otherwise relevant to the strata scheme for addition to the common property of a strata scheme (s23 (1) Strata Scheme Development Act 2015)
  • of adjacent land for addition to the association property of a community, neighbourhood or precinct scheme
  • of an electricity sub-station
  • of part of the land
  • of premises for a term exceeding 25 years
  • of land excluding premises
  • that creates an easement
  • that refers to a plan
  • that refers to a maritme structure, e.g a berth, berthing area, boardwalk, jetty, mooring, pier, marina
  • where a leasehold title is to be created.

Refer to SD31 then to Legal through the Senior Examining Officer

A lease:

  • containing a holding over provision where the lease has expired before it is in order for registration
  • with an uncertain term or a term measured in other than days/years.

Registration procedure

Lease of whole

PRIME CODE    L

CODE (name)    P, C or Q  [name of lessee]

LEASE EXPIRY DATE    [date] or click See Lease

OPTION OF RENEWAL    ... Years [And ... Further Options Of ... Years]

Lease of premises

PREMISES DESCR    Of [description of premises including address].

Lease with a specific future commencement date

PREMISES DESCR    Of [description of premises including address] Commences [date].

Note:  If the future commencement date cannot be ascertained enter 'See Lease For Commencement Date'.

Concurrent lease

PRIME CODE    L

Usual lease entry.

ADD. TRANSACTION    UNDR

PRIME CODE    code of current registered lease as shown on the Register

PRIME NUMBER    number of current registered lease

SUB CODE    UA

DETAILS    Concurrent Lease.