What can we do? - Developer wants land back.

I have just received a phone call from my parents that concerned me and I thought I would post it here to get some more information regarding this as they and I are not sure where we stand.

The Property Diagram (hope it makes sense)


The Story:


My parents have lived in this house for at least 5 years. The house has a very large back yard which ‘rolls’ into an open drain (typical Nth QLD open drain/ditch) in a semi-rural area. Past the drain ‘was’ open paddocks with grazing cattle – very nice. Well urban expansion has claimed their peaceful property and the council have recently built a LARGE road crossing the paddock (another story!!). Around this is now a planned development/subdivision from a Sydney developer (won’t name publicly). Basically, the developer wishes to subdivide that area and create another suburb. Although there is nothing my parents could do about it that is not the problem.
The Drain area is abut 6-10m wide and runs along the back of the blocks properties. This is classified as a council drainage easement (from investigation).

The Problem:

2 days ago my parents received a ‘nice’ official letter from the developers lawyers stating that my parents property fence has encroached the drain, and therefore his property. They wish to get this property back. However, they have calculated the cost of that ~2m sliver of land at $31,000, but due to their good-will he his willing to reduce this cost to $21,000!. If they agree to this they need to send a ‘NO REFUNDABLE’ cheque for $8,000 by this Friday!!. Now this is north QLD, (Mackay) and I can’t see how a 2x10m sliver of land on a drainage easement is worth $31,000. After talking to a developer friend he has said that ‘the developer has worked out the full development cost of the land and divided it into 1m costs – and is being cocky and hoping you pay for it’. Now my concerns:

1. My parents realise (now) that building the fence flush with the back of the adjacent properties without surveying has resulted in them encroaching on adjacent land. It would appear that the angle of the original edge of the block was incorrectly measured from the right-hand end thus creating an every increasing problem right-to-left.

2. The council has stated that the developer can ‘just change the zoning’ of the easement and thus create a larger block on which to develop? The drain is required from experience for the large rains as their house is at the bottom of a court and all the hills water drains down into that ditch. Can a developer ‘just change’ the zoning of an open drain??

3. The developer has demanded the $8000 NON-refundable cheque… Is this possible/legal? Asking the council, the developer has not even submitted plans for the development so why does he need the money in 1weeks time!!?

4. My parents don’t really have an argument about the encroachment of the drain however their neighbours house (70yr old widow) had bought the house 8 years earlier with a fenced and ‘established’ back-yard. Obviously she did not complete a survey of the land (but not many people do – I have heard) so does she have any claim. BTW the sliver of land actually gets bigger into her property and she is up for $39,000 (offered $29,000). The next neighbour is even bigger but their backyard is empty.

5. What are the next steps?? Can they just do nothing? Make a claim to the council to keep the easement (needed – unless built underground), call A Current affair ;-) etc etc


The most likely result will just be them having to pull down a 2mth old fence (expensive) that they recently built trying to stop all the noise from the road and move it back 2m.
The quick road story. The council originally stated that the road would be built with a ‘quiet surface finish’. Well typical council didn’t do this step ($$$). The local suburb partitioned to try and get the council to put on the quiet surface but to no avail with the council stalling just long enough to sell all the land to the developer and now it ‘is the developers problem,’… Ahh gotta love councils. (But I realise that the council will still own the road)


My parents are basically p#%#ed off at the arrogance and seemingly dodgy methods this developer is doing to get ALL the land possible.

If anyone can offer any suggestions or advice to resolve this then I will gladly pass it on.

DaveJ
:eek:
 

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DaveJ said:
Now this is north QLD, (Mackay) and I can’t see how a 2x10m sliver of land on a drainage easement is worth $31,000.
That's $1500psm - seems a bit excessive !. Do you know how much land the developer bought & how much they paid - it's probably a tiny fraction of that psm. If they paid $50psm, offer to pay $25 since they can't use ther land anyway. But they'll be up for the boundary change costs.

DaveJ said:
Can a developer ‘just change’ the zoning of an open drain??
Get it it writing from council. Ask them if you can change the zoning without their permission too.

The developer has demanded the $8000 NON-refundable cheque… Is this possible/legal?
Sounds like Russian style negotiating - (read Herb Cohen).

What are the next steps?? Can they just do nothing? Make a claim to the council to keep the easement (needed – unless built underground), call A Current affair ;-) etc etc
Speak to the person who wrote the letter and ask them how they arrived at the $39K figure. Pay them for the land provided it's cheap.

I think ignoring it will not make it go away.

As an aside - a friend of mine had the adjacant large land owner put in for permission to build a huge pig farm next door to him. There was nothing he could do about it as it was legal. He responded by applying for planning permission for a similar pig farm adjacent to the land owners house. There was no law that stated you had to own the land where you applied for the development - the land owner withdrew his application.

Maybe your parents (& their neighbours) could apply to rezone as a pig farm and see how the developers responded. Which direction are the prevailing winds ?

KJ
 
My understanding in NSW is that if you have a fence built in the wrong place, then all they need to do is get the fence built in the right place.

I assume that's cheaper than paying them any money.

Also the cost of the fence should be split between the two parties.

Assuming I'm not misunderstanding the situation , I'd get a quote to have the fence built in the correct place and then send a nice letter to the other side saying that to correct the situation you enclose a quote to get the fence rebuilt in the correct position and you are writting to them to confirm they are agreeable to this , and requesting their confirmation that they are prepared to pay their half of the costs of replacing the fence . ( can it be moved ? )



See Change
 
Dave,

Rezoning is not a simple process, and can be made far more difficult if there are legitimate objections, which it sounds there would be. You should consider negotiating with the developer on the grounds that if they give the land to your parents, they will support an application to rezone the easment (you could add a condition about providing sufficient drainage, but you don't need an easment for a drain).

In any case get lawyered up.

Regards
Alistair Perry
www.town-planning.com.au
 
APerry said:
In any case get lawyered up.

Regards
Alistair Perry
www.town-planning.com.au

Why the ..... would you want to get a lawyer involved at this time...

Simple things first . Do they want this to develop into an expensive bun fight ?

If the the other side don't respond to an initial suggested solution , fine, but ...

See Change
 
See change,

If the developer is using a lawyer, getting your own lawyer to respond is sensible, they would need one anyway to draw up an agreement, if they are to negotiate. It doesn't necessarily mean there will be a bun fight or that it the situation will get overly expensive.
 
Hi Dave J
It'd be nice to make the problem go away in a friendly manner, buy it looks like the developer is too accustomed to using the dozer.
If it's negotiation time, then so be it, but be prepared.
Hopefully the DA is not approved yet and you can still make objections.
1. It's possible the developer may be required to build a substantial fence at the rear of your parents' property to insulate them from noise, dust, eyesore, safety, now, during construction, or later.
2. Complaining neighbours can dramatically increase building costs.
3. If the developer has not yet been granted a DA, better find some endangered frogs, blue spotted nitwits or some nesting baublers or whatever.
Crank up the green machine, delays are expensive, and negotiable.
4. Drain ? OOOOhh altering water courses are we ?
5. Perhaps you can abandon the fence and donate it to them as another problem, while negotiating for a shared cost fence.
6. The developer, if he's a genuine developer and is serious about completing the development and not just privvy to some fencing errors, is at the scary start of a long road. Some peace of mind about the co-operation of neighbouring properties could be worth more than $8K.
Just food for thought. Hope your folks get the kind consideration they deserve. good luck
cheers
crest133
 
Wow... The responses always amaze me

Thanks all ALL that responded!! The information on this forum is truely amazing!!

I will take a copy of the responses here to my parents and let them think about it all. It seems a few more things have happened in the meantime.

1. The Dep. Mayor came out to look over their problem... Basically he has said 'It looks like the developer has you over a barrel!' Sheez not a good sign -especially from the council... :(

2. The developer has written another 'nice' letter stating that because they have built such a LARGE fence that there is now increased expenses relating to the drain/drainage he has to create and is now demanding another $3000!! to cover those costs :eek: Really starting to dislike this developer...

3. My parents are starting to think it is all too hard and they have higher priorities in life and thus might just move the fence (about 8-10k) then sell up and move to somewhere without the hassle (and future noise).

Anyway thanks to all for the information and i will post here on what happens...

DaveJ


Did i mention i believe in Karma?? Now where do i get some of those spotted frogs?
 
Dave,

Whatever you do, remember it takes a long time and costs a lot of money to make anybody do anything. This developer is being stupid acting the way you have described. You are a position where you can cause him a lot of trouble.

Time is most definately money to a developer, especially when realestate prices are stagnant.

Regards
Alistair Perry
www.town-planning.com.au
 
Dear Dave,

Some good advice has already been posted.

These types of developers give development a bad name and I agree with Alistair that he is acting unprofessionally.

Maintaining an amicable relationship with development neighbours I see as one of the keys to good development. If standover tactics are being used and the DA has not already been granted then I would be looking at organising some sort of community opposition group. It would be a vehicle that your parents could use to ensure that their concerns were voiced and also to be used as leverage against any "standover" tactics.

Delays certainly cost money.

Cheers,

Sunstone.
 
I could be totally wrong, but if the fences have been in place for a number of years, not sure how many, does not title pass to the occupier. I know that we lost a strip of land in Victoria because of a surveying mistake and a fence was built in the wrong place. That error was not picked up for years and because of the time that passed we lost claim to it.
blondie.
 
blondie said:
I could be totally wrong, but if the fences have been in place for a number of years, not sure how many, does not title pass to the occupier. I know that we lost a strip of land in Victoria because of a surveying mistake and a fence was built in the wrong place. That error was not picked up for years and because of the time that passed we lost claim to it.
blondie.
A v. distant relative in the the UK grazed horses on (someone elses) land for 20 years without objection & fenced it off. Due to the above law he kept it. It was rezoned - he's recently sold 1 acre for almost 1M pounds - he's got another 17 acres left!
 
Firstly, adverse possession does not operate on slivers of land, only full parcels.
secondly, easements are there to burden and benefit parties and sit "on top" of any zoning....zoning is a land use......
Thirdly, Sea_change is quite right, the developer has to pay half of any fence costs.
My advice? move the fence back to the correct legal boundary, bill the developer for half the cost of the move and resist all attempts by the developer to have any further involvement.
If the "zoning" of land changes, there should be a full public consultation process, (yes, even In Qld !!!!) Your parents should have received a letter inviting them to comment on any such proposal.

Start looking at the Council for "failure to consider" under any AAT legislation Qld may have or, as a final resort, the federal Administrative Decisions (judicial Review) Act 1977.

Pls let me know how it goes. Also, PM me with the name of the developer, I might know him as I have had lots of involvement with developers in Sydney.

Bottom line, protect yourselves and don't fold in the face of this, it sounds like a massive try-on !!!!!. The Council sounds like it needs an arse-kicking!
 
Dave -


DaveJ said:
1. The Dep. Mayor came out to look over their problem... Basically he has said 'It looks like the developer has you over a barrel!' Sheez not a good sign -especially from the council... :(

QUOTE]


This was the Mayor of the municipality?

It's amazing how a non-qualified, non-professional person can make such a comment and becuase of their 'position' their words are taken at face value.

The Mayor (gosh, what an important person!) and all the other Councillors are elected, not appointed, to their position.

None of them could be there after the next council election.

When I was a municipal councillor I was often amazed at how some of the other councillors offered their opinion on technical matters without even speaking with the (trained, professional) staff first!

At times, this got the council into very hot water indeed as people either proceeded with or abandoned projects because of quick, cheap expressions of opinion.

This project may be an important project to the municipality and one which they wish to support. However, this does not mean that the council nor the developer can ride roughshod over the existing landholders and residents.

The lack of public consultation for such a large project is a matter of concern. There would be statutory advertising periods and each adjoining / affected owner should have been directly notified of the proposal and instructed how they can view the plans and how they can lodge objections.

Your parents should make sure they keep a file on all this, including diary notes of phone calls and conversations with council staff and of site visits and correspondence.

Shifting the fence seems the most straightforward way of dealing with the issue and the adjoining owner (the developer) will be legally required to contribute their share of the cost of a fence built to the general standard of the area.

If that is a wooden paling fence but your parents prefer Colorbond then the developer only has to contribute to the share of the paling fence etc

It is important that all the neighbours affected by this boundary are united and uniform in their approach to the issue and don't complicate things further by responding individually to the letters.

But at the end of the day, this sounds as if the developer is making a mountain out of a molehill and producing officious letters pretending to have more legal standing in the matter than they really do.

Cheers

Kristine

PS And yes, it was your parent's responsibility to make sure they had the boundary accurately fenced. As it was not, they have to bear the cost of the loss of the fence although only the proportionate cost of erecting a new one.
 
One question, the 'easement' you drew on the plan seemed to have parallel lines, as easements do... but the yards ended not parallel to the easement, who does own this triangle of land at the moment? Have the developers bought it? Does the council still own it?

I'd be starting by visiting my 'local member', and don't forget the Federal member, and opposition candidate, since the erection is imminent...

sorry for the really quick post, but it's taken me 3 hours to do this, in between other stuff, will psot more later...

asy :D
 
Hi all,

:D I can't help myself.

Asy, does this type of talk exite you?? ;)

"I'd be starting by visiting my 'local member', and don't forget the Federal member, and opposition candidate, since the erection is imminent..." :p

I know , your a super mod, you can delete the whole lot if you like.

bye
 
Yes, Asy, what were you thinking at the time? Erection - Election. The 'R' and 'L' are nowhere near each other on the keyboard. :p ;)

Olly
 
I was stepping out a block in a country town yesterday. It had been abt 1 acre, resurveyed into 4 but one corner peg was well over 1M beyond the "old" fence line which would have been accepted for a century. The drawings even note a concrete slap protruding accross the new line.

There must be plenty of these errors out there from the 19th century.

T
 
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