Masters v Chief Executive, Department of Natural Resources

The case of Masters v Chief Executive, Department of Natural Resources, concerns an appeal by Peter W Masters against the unimproved value applied to his land as at 1 October 1998 by the Chief Executive, Department of Natural Resources, under the Valuation of Land Act 1944. The land in question is situated at 35 Lewis Street, Clayfield, comprising 58 allotments of 2.459 hectares, with various parts having access to Jackson, Milman and Kemble Streets. The primary legal issue before the court was whether the valuation of the unimproved land at $300,000 was appropriate, considering the difficulties and expenses faced by the appellant in developing the property.

The court considered the arguments presented by both parties. Masters contended that the unimproved value should be minus $1.5 million, citing the substantial costs and obstacles he faced in developing the land, which included significant legal expenses and opposition from the Brisbane City Council. The respondent, however, argued that the valuation was reasonable, based on the land's potential for development, the existence of building approvals, and comparable sales in the area. The court found that a hypothetical prudent purchaser would consider the land's potential for development, the availability of building approvals, and the fact that the land was not entirely undevelopable, despite its challenges.

The court concluded that the valuation of $300,000 was appropriate, given the land's size, potential for development, and the existence of building approvals. The court rejected Masters' argument that the land had a negative value, as a prudent purchaser would consider the land's overall potential rather than the specific difficulties encountered by the appellant. Therefore, the appeal was dismissed, and the respondent's valuation was affirmed.