Wild Oaks Properties Pty Ltd v Valuer General

Land and Environment Court

New South Wales

Medium Neutral Citation:	Wild Oaks Properties Pty Ltd v Valuer General [2018] NSWLEC 192
Hearing dates:	2 October 2018
Date of orders:	29 November 2018
Decision date:	29 November 2018
Jurisdiction:	Class 3
Before:	Sheahan J
Decision:	The appeals are dismissed. See paragraphs [56]-[57]
Catchwords:	VALUATION OF LAND – Whether three lots of land should be valued separately as two parcels of land – appeal pursuant to section 37(1) of Valuation of Land Act 1916 – dominant uses of parcels of land - statutory construction – applicability of sections 27(2) and 28A of Valuation of Land Act 1916.
Legislation Cited:	Land Tax Management Act 1956 Local Government Act 1993 Taxation Administration Act 1996 (NSW) Valuation of Land Act 1916
Cases Cited:	Justin John Enterprises Pty Ltd v Valuer-General [1999] NSWLEC 208 Leppington Pastoral Co Pty Ltd v Chief Commissioner of State Revenue [2017] NSWSC 9 SH Camden Valley Pty Ltd v Camden Council [2015] NSWLEC 104 Sisters of Mercy Property Association v Town of Newtown and Chilwell (1944) 69 CLR 369 Triguboff v Valuer-General (2009) 166 LGERA 128; (2009) 71 ATR 819
Category:	Principal judgment
Parties:	Wild Oaks Properties Pty Ltd (Applicant) Valuer General (Respondent)
Representation:	Counsel: Mr B L Jones, barrister (Applicant) Ms M Carpenter, barrister (Respondent)   Solicitors: Baker Mackenzie (Applicant) Crown Solicitors Office (Respondent)
File Number(s):	2018/743962018/2591462018/259147

Judgment

Introduction

1. These three valuation appeals were heard together, following an inspection of the subject rural lands, on 2 October 2018.

2. They concern the statutory valuations, for the years 2015, 2016 and 2017, of Lots 101 and 102 of DP1122102, and Lot 2 of DP1171468 (formerly Lot 103).

3. The central issue in dispute between the parties is whether the subject lands should be valued as one “parcel” or two.

4. The parties agreed upon a Court Book (“CB”).

5. The subject lands are owned by the Applicant company, zoned “RU1 – Primary Production”, and located at, and known as, 50 (sometimes stated as 40) Strathmore Road, The Oaks.

6. Lots 101 and 102 each comprise approximately 40 acres, and Lot 2 approximately 108 acres (a total area of 75.78ha). Approximately 57 acres of this area is currently unsuitable for use by the Applicant (CB p149, par 49).

7. The Applicant’s operations on the lands comprise two “streams” – spelling and conditioning of racehorses (a quite intense use on Lot 2), and breeding thoroughbreds for sale (exclusively on Lots 101-102). The two operations were distinguished in detail in various submissions made to Property NSW (see, e.g., CB p173, par 2.5), and are delineated in a “Farm Useage Map”, which occurs frequently in the material (see CB pp30, 45, 77, 114, 177, 218, and 245).

8. Appeals against decisions of the Valuer General (“VG”) are often concerned largely with a valuation’s consequences for the imposition of local government rates and/or State land tax.

9. The breeding operation in the present case would be regarded as primary production, on rural land, so as to attract taxation concessions and exemptions, but the use of…