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Guidelines for the disposal of surplus Defence real property (land)
Disposal Step 2 - Prepare the property for disposal - Scenario 1 Open Market Sale

Activity

Considerations

Outcomes of all activites

1) Prepare Property Disposal Project Plan

  • Project management support required
  • Business case from Step 1
  • Time lines
  • Estimated costs
  • Property ready for disposal.
  • Due Diligence complete.
  • Environmental compliance.
  • Disposal strategy / sale conditions from FaHCSIA / Finance and Deregulation.

2) Prepare Procurement and Evaluation Plan

3) Complete due diligence.

  • Engage required consultants. 
  • EPBC Act
  • Land Title and Native Title issues
  • Current zoning
  • Market valuation
  • Potential land use
  • Environmental issues such as flora, fauna, heritage, site contamination and asbestos

4) Undertake environmental and other works as required.

  • Obtain PWC approval if required.
  • Contamination remediation
  • Heritage stabilisation.

5) Obtain Environmental clearances.

  • EPBC Act
  • Environmental Clearance Certificate

6) Refer the proposal to the Minister for Finance and Deregulation and the Minister for Housing for consideration.

7) Dispose of the property – proceed to Step 3a.

  • Disposal Step 3a.

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Disposal Step 2 - Prepare the property for disposal - Scenario 2 Priority Sale
Activity Considerations Outcomes of all activities

1) Defence receives submission from proponent via the Parliamentary Secretary (Defence) for a Priority Sale.

  • Government decision on Priority Sale proposal in accordance with the Commonwealth Property Disposal Policy.
2) If the property is surplus, consult Dept of Finance and Deregulation.
  • Care should be taken not to commit the Commonwealth or create an expectation that a Priority Sale will be approved.
  • Confirm property is surplus to requirements and on the approved disposal program.
3) Refer the proposal to the Minister for Finance and Deregulation and the Minister for Housing for consideration and approval.
4) Obtain LAA approval from Department of Finance and Deregulation.
5) Advise proponent of decision (subject to due diligence).
  • Include Contract of Sale and request agreement.
  • Due diligence investigation.
  • Contract including ‘Security of Purpose’ clauses and special conditions from Step 3.
6) Complete due diligence studies and work as required.
  • Refer to Scenario 1 Step 3, 4, and 5.
7) Dispose of the property – proceed to Disposal Step 3b.
  • Disposal Step 3b.

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