Ministers consent to sublicence
Depending on the conditions of the lease and notifications on the Lands Title Register, it may be necessary to obtain the consent of the minister to sublicence a Crown land lease. The initial assessment of the application will determine if there are any obvious objections to the proposed sublicence of the lease. We may refuse the application at this stage if the sublicence of the Crown land lease is not in the interests of the Crown.
Assessment to sublicence a lease
Any decision regarding the eligibility of an application must:
- be lawful
- offer natural justice
- be based on evidence
- give reasons and provide accountability.
What you need to apply
The following supporting documentation should accompany the application form and prescribed fee:
- copy of the proposed sublicence
- plan showing the location of the premises being sublicensed
- certified copy of the registered power of attorney where applicable
- ASIC current and historical company extract of the proposed sublicensee
- a certificate of incorporation where the sublicensee is an incorporated association
- confirmation from the sublessor that it considers the proposed sublicensee (Declaration as part of the application form)
- is a fit and proper person
- has the business acumen and financial capacity to operate the business and meet the terms and conditions of the sublicence
- holds or will be able to obtain all relevant licenses, approvals, and/or registrations to operate from the site
- holds or will be able to obtain an insurance policy that meets the sublicensee’s risk and indemnity requirements as per the provisions of the sublicence
- copy of a current search of the National Personal Insolvency Index for each sublicensee.
The sublicence document should contain provisions to ensure that the sublicensee is aware of and bound by the terms and conditions contained within the Head lease:
- The sublicensee hereby acknowledges and agrees that the sublicensee has read and is aware of the terms, conditions and covenants on the part of the parties to <Insert Lease Identifier> (the ‘Head Lease’) between the State of New South Wales as Lessor of the one part and the Sublicensor (as Lessee) of the other part.
- The sublicensee hereby covenants and agrees to observe, perform and comply with the covenants and agreements contained in the Head Lease subject to and for the purpose of this sublicence.
- The sublicensee covenants with the sublicensor to keep the Lessor indemnified against any liability under the covenants and conditions in the Head Lease so far as they are applicable to the Premises.
- In the event of and to the extent of any such conflict or inconsistency the provisions of the Head Lease shall prevail and the Lessor shall prevail and take precedence.
- In the event that the Lessor taking action whereby the Head Lease is terminated then the sublicensor shall be entitled to terminate this sublicence and in such event the sublicensee shall not claim nor shall the Lessor be liable for any compensation whatsoever by reason of termination of this sublicence.
- The sublicensee acknowledges the terminating or expiring date of the Head Lease (including any option to renew) and that the Head licensor has no right of renewal.
Supporting information may be required if the application involves foreign individuals or entities.
See below definitions of foreign person or entity:
- An individual or an entity is a “foreign person” or a “foreign entity” if: an individual not ordinarily resident in Australia; or
- a corporation in which an individual not ordinarily resident in Australia, a foreign corporation or a foreign government holds a substantial interest; or
- a corporation in which 2 or more persons, each of whom is an individual not ordinarily resident in Australia, a foreign corporation or a foreign government, hold an aggregate substantial interest; or
- the trustee of a trust in which an individual not ordinarily resident in Australia, a foreign corporation or a foreign government holds a substantial interest; or
- the trustee of a trust in which 2 or more persons, each of whom is an individual not ordinarily resident in Australia, a foreign corporation or a foreign corporation or a foreign government, hold an aggregate substantial interest; or
- a foreign government; or
- any other person, or any other entity that meets the conditions, prescribed by the regulations of the Foreign Acquisitions and Takeovers Act 1975 (Cth).