Closing Crown roads questions

What factors need to be considered when closing / purchasing the road?

• Each application is considered on its merits and there are no guarantees an application for road closure and purchase will be successful.
• All proposals to close and purchase a Crown road are closely examined to ensure significant natural resource or habitat areas are appropriately protected through the imposition of covenants.
• In assessing whether the road should remain open to the public, affected authorities and adjoining landholders are consulted and any objections to closure of the road are considered.
• Applicants are encouraged to obtain consents from any adjoining landholders (if possible) prior to lodging an application for closure of the road, as such consents may have a significant bearing on the successful closing of the road. However, if such consents cannot be obtained the department will still accept an application.
• Where possible, roads may be closed with access requirements being satisfied by including easements for access on title to benefit a particular parcel or parcels of land in lieu of the road.

Does the Crown Road Purchase Fee Schedule cover applications for the closure of Crown roads that are not held under Enclosure Permit (EP)?

• Yes. The lower fees can be applied to applications for closure of any Crown public road.
• The lower fees will also apply where any part of the road applied for is a Crown public road, even if some of the application, also  covers Council public road.
• Applications for closure of Council public roads which do not include Crown public roads are subject to the same fees that applied to applications prior to the introduction of the reforms.
• An application for closure of roads that includes any part of Council roads can only made by Council. If upon closure the land will vest in the Crown (which is the case where there has never been any construction on the road) for disposal to the adjoining landholders, the lower fee structure will also apply.

What happens if my application to close/ purchase is unsuccessful?

In the event your application is unsuccessful you will be required to continue to pay the rent due or you may cease to enclose the road.

Who will determine / assess environmental issues, public access and access corridors?

The Department of Lands will determine environmental issues upon receipt of an application to close / purchase through:

• Public consultation (advertising) 
• Reference to relevant authorities (eg Council, RLPB, Fisheries NSW, State Forests).
• Reference to adjoining landholders who may be affected by the proposed road closure. 
• Covenants may be applied to protect environmental attributes and these will be determined by the Minister. 
• Applicants will be advised of the terms of any covenants as part of road closing / purchase process.

If there is a covenant placed on the road can I withdraw my application? Will I get a refund?

You will be given the option to withdraw your application and you may be entitled to a refund of a proportion of the application fee, depending on the stage your application reached.

If I decide to purchase, what are the costs associated?

The administrative costs and processes to purchase a road have been reduced and streamlined. Refer to the Crown Road Purchase Fee Schedule

What will be the purchase price for the road/s?

The purchase price generally will be based on the land value of the adjoining land in the Valuer General's Register of Land Values (the value used to determine local council rates) as at the date the purchaser's application is lodged.

What if I disagree with the valuation determined by LPMA?

If you disagree with the valuation you should contact the LPMA's local office who will advise on the appropriate way forward. This may involve obtaining an independent valuation.

Can I pay the purchase price in instalments rather than all at once?

• Yes, LPMA will allow for payment by way of 3 equal annual instalments with the first instalment payable on settlement.
• If the property is sold before the debt is fully paid, the remaining balance will become payable upon transfer of the land.
• If payment is to be made by instalments, the title to the land will be encumbered by a registered memorandum to protect the Crown interest in the land until such time as the purchase money is paid in full.
• A Land Account Notice will be issued each year before the due date for the instalment.
• If payment of the annual amount due is made before the due date shown on the Land Account notice, no interest will be charged. 
• Payment of the balance of the account can be made at any time prior to the due date and the balance of the debt can be paid at any time within the 3 year period.

If I decide to close / purchase my road, will I have to have a survey undertaken or will LPMA identify the boundaries of the road?

• Roads are generally not measured parcels of land. To enable the issue of title and the transfer to freehold land, a plan will be required to be registered which defines the boundaries of the road. The cost of plan registration will be payable by the applicant.
• In many cases it may be possible to compile a plan from existing survey information for the creation of title. Plan compilation is undertaken using information from surrounding plans. However in a smaller number of cases this may not be possible and it will be necessary to have a full survey undertaken by a registered surveyor.
• The applicant has the option of arranging for a plan of the road to be compiled by the department at the scheduled fee providing a plan compilation is acceptable to LPI, or by private arrangement at their own cost. 
• If a compilation plan is all that is necessary the cost to the applicant will be the scheduled fee. 
• In instances where a group application for road closure has been processed as a single application, costs may also be reduced for applicants when one plan is registered which contains multiple lots to be purchased by different holders. Any proposal for a multiple lot plan must be approved by the department in the first instance, as these may be more complex and thus become a matter for the applicants to arrange through a private Surveyor.
• If a full survey is necessary the applicant will be advised and it will be a matter for negotiation between the applicant and their consultant surveyor.

Does the scheduled fee for plan compilation apply for each plan where multiple compiled plans are required?

The scheduled fee for plan compilation is only to be charged once for each application for road purchase regardless of the number of plans required to cover an application for road closure and purchase. It should be noted that an application for closure and purchase of a road will only be accepted over roads within the same Local Government Area and proximity.

Where a family holds property in different names, can they make a single application?

A group application for road closure may be made but an application for purchase of a closed road under these arrangements can only be made by the registered holder of the adjoining land. The one family may not constitute the one legal entity as per Land and Property Information.

Can I close and purchase a crown road that traverses land held under lease?

Even if an application for closure of a Crown road is approved, sale of the land may not be approved if it will remove legal access to crown land or sever crown land. Where the land traversed by the Crown road is a perpetual lease, the holder should be required to convert the lease to freehold. In some instances, the closed road may be sold to the adjoining holder or, if it is considered beneficial in the interests of land management, the closed road may be added to the lease.

Is the fee for road closure paid upfront or is it paid once the closure is completed?

The fee is payable upfront and should be lodged with the application form.

If the application is rejected will I receive a refund?

• If the application is rejected, an applicant may be eligible to a partial refund of the application fee. This will be assessed having regard to the amount of work undertaken by the Department as at the time of rejection. For example, if advertising has not been undertaken then the refund would be greater.
• It is recommended that you liaise with your local Crown Lands Office prior to lodging an application for road closure to establish the status of the road and also to ensure that all Crown roads that are attached to or within your property whether held under Enclosure Permit or not are included in your application for closure of the roads.

When legal access is required but the practical access is via other means, can the road be closed?

Where it is agreed that a road can be closed, but that legal access is required to be maintained for private purposes, the landholder may wish to negotiate a legal access over the practical access or alternative route by way of an easement or right of way on title with the landholder who owns the land that the road goes through. This would be entirely the responsibility of the landholders. However, once legal access was established then the road may be deemed to be unnecessary and an application for closure of the road may be successful.

Are there any alternatives available to provide legal access other than via a public road?

• Legal access can be maintained on land via a right of carriageway or an easement for access (not public access) which would burden one lot (the closed road lot) and benefit another lot (the lot to which the closed road previously gave access). This can be achieved by a dealing over the closed road lot whilst the land is held in the name of the State of NSW (prior to sale/transfer of the land) or can be undertaken by a subsequent dealing following purchase with the consent of the holder and all other registered interests.
• Easements are created by means of a Section 88B instrument under the provisions of the Conveyancing Act 1919 and must be accompanied by the plan of survey.
• The fee for any easement imposed on title of the closed road is payable by the client. Provided the easement site complies with Land and Property Information's compiled plan guidelines (affects the whole of the lot or the site is parallel or perpendicular to existing boundaries of the surveyed lot), a plan of survey is not required. Otherwise a plan of survey is required that defines the easement.
• Once the easement for access is in place any disputes would be a matter for resolution between the parties involved.

What if I have already applied to close the road and the application was refused?

If circumstances that prevented the closure have changed, ie. the reasons why the application was refused, then holders may apply again to have the road closed.

How long will it take to process my road closing / purchase application?

• As part of the process involves plan compilation, public consultation and contact with other authorities, no definite time frame can be given at this stage.
• Each application is considered on its merits and due to the large volume of applications expected it may take some time to process. The LPMA will endeavour to process the application as soon as possible and is investigating ways to streamline the process.
• There are no guarantees an application for road closure and purchase will be successful.
• You are still required to pay rent on your Enclosure Permit while your application to close the road is being processed.