Bruce J Small No 1 Pty Ltd v Chief Executive, Department of Lands

The appellant, Bruce J Small No 1 Pty Ltd, appealed against the valuation of the Chief Executive, Department of Lands, for the unimproved value of land located on Stradbroke Island. The appeal was heard in the Land Court. The appellant contended for a valuation of $140,000, while the Chief Executive determined the unimproved value to be $326,000 as at 31 March 1992. The court was required to determine the appropriate unimproved value of the subject land and whether the Chief Executive erred in the valuation process.

The court found that the best basis for assessing the unimproved value of the subject land is the use of sales of vacant or lightly improved parcels of land. The court also found that the unimproved value assessed by the Chief Executive is presumed to be correct, and the appellant bears the onus of proving the grounds of appeal. The court considered the evidence from both parties and concluded that the appellant failed to show that the valuation should be reduced to $140,000. However, the court found that the Chief Executive erred in relying too heavily on a problematic sale and in proceeding on the basis that it was probable that a residence could be constructed on the subject land. Therefore, the court reduced the valuation by 20%.

The court upheld the appeal and set aside the valuation of the Chief Executive. The unimproved value of the land was determined at $260,000.