Dudded by the Government !

Anyone thinking of buying a home in Sydney would be well advised to do a property search before signing on the dotted line.   Many distraught residents have found to their horror that the introduction of light rail in city streets and both a metro systems and rail extensions have made it necessary for compulsory acquisition of property to clear the way for these improvements.  At the same time, the building of widened highways to relieve the commuter snarl is adding to the volume of property acquisitions.

The government is required by law to maintain what is termed the "Register of Restrictions ", which lists any interest government departments may have on land that a purchaser is interested in buying.  In this way, a potential buyer is warned if a property may become parts of a future government development or be subjected to the intrusion of drains, easements or overhead wiring that may affect property values.

A statement by the Finance, Services and Property minister advises that this department has issued incorrect certificates through the Central Register of Restrictions from June 27 until October 24.   During that period it received 309 requests for searches, and of these 140 are believed to have proceeded to purchase.

The error relates to the F-6 freeway which is the missing link providing access to central Sydney from southern Sydney and the south coast.  This has been on the drawing board for many decades and much of the required land is already in government hands, but if it becomes reality a degree of compulsory acquisition will be inevitable.

Divided, multi lane expressways have been built to the north coast and westward to the Blue Mountains, and a similar link was provided between Engadine and Wollongong decades ago - but the connection from Engadine to St Peters repeatedly lacked funding.   It has regained attention to ensure that the West Connex integrates traffic and allows a smooth flow to and from the north, south and west of the city.

This error means that 140 people have been incorrectly informed that their property is free of government acquisition interest, and that opens an interesting can of worms.   Heading the list of grievances would obviously be the land value.   Should a buyer think of reselling because of the future acquisition danger that will now be reflected in the search advice - and probably adversely  affect the valuation.

Recent buyers affected by this error may look for compensation but to further muddy up the water there is no chance that work on the F-6 extension will commence in the foreseeable future. The timetable for finance is at least ten years away and should that eventuate creating the road structure would extend over a similar period.  It is most unlikely that actual acquisition of any property may happen for at least a decade.

This looks like developing into one of those messy claims that will be batted away to be decided when - and if - events are resolved by an acquisition order.   The only decisive factor would be a buyer selling a property that failed to reach the price achieved before that incorrectly issued certificate, despite the ever upward march of Sydney property prices.    That would constitute the sort of logic to be determined by a court.

Of course there must be other purchasers who didn't bother getting a property search, but who are theoretically affected by that lack of valid information affecting the property they purchased.  This looks like being a blunder that will filter through the court system for years.