19 January 2024

Majura Valley farmers left in 'perpetual limbo' demand answers over rural land leases

| Claire Fenwicke
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View to the airport from Majura Valley Free Range Eggs

Farmers and producers in the Majura Valley had signed up to rural land leases of various lengths; however, some haven’t had a valid one issued by the ACT Government for more than a year. Photo: Fred McGrath Weber.

Imagine if you could be kicked out of your home with 90 days’ notice.

That’s the reality facing five Majura Valley farming families since the ACT Government changed the length and terms of rural land leases in the area.

Up until 2005, landholders could access 99-year leases for their properties. But since that time, the leases haven’t been renewed.

This initially affected five families whose leases had ended. However, other properties in the area are also coming to the end of their original 99-year leases.

Some have as little as three years before they face the same uncertainty.

Sherry McArdle-English has been advocating for Majura Valley farmers. She explained that in August 2022 the government had offered farmers a 25-year lease with no withdrawal clause.

“This was significant because over the past 18 years, not only did they have their leases stopped, they had the withdrawal clause put over each lease, which means they can’t [profit from] capital improvement [by selling the property] and can be asked to leave within 90 days.

“It is a disgraceful situation.”

The farmers had agreed to the 25-year lease offer, providing written confirmation to then-Planning Minister Mick Gentleman.

Nothing has happened since.

“Since then [the government] has been ghosting all of the farmers and has not provided them with any more information,” Ms McArdle-English said.

“They’re in the position now where four of those farmers from 2005 have died waiting.”

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Farmer Paul Kier, whose family has been farming in the Majura Valley region for five generations, had been offered $3.5 million from a Canberra businessman in 2019 to buy the capital improvement and take over his Majura Valley property.

Improvements included his house, sheds, tennis court, stables and equestrian centre.

Mr Keir had to advise the Planning Minister of the upcoming sale. This was refused and the deal fell through.

He’s now facing imminent foreclosure from the bank because a new lease for his land still hasn’t been guaranteed.

Ms McArdle-English said: “All we’re asking is for [new Planning Minister] Chris Steel and Chief Minister Andrew Barr … to provide a letter supporting the fact that [the 25-year lease agreement] is happening.

“Has the government reneged? All those farmers are asking for at the moment is written confirmation that the offer holds good and is still progressing.”

The Canberra Liberals have picked up their case.

Deputy Opposition leader Leanne Castley called on the ACT Government to get moving on the promised deal.

“Rural leaseholders in the ACT have been disrespected by Labor and the Greens at every possible opportunity and real people are being affected by the inaction and radio silence,” she said.

Shadow Planning Minister Peter Cain said urgent action was needed to protect rural Territorians and Canberra’s open green rural space.

“If even one farmer experiences foreclosure due to the uncertainty created by this situation, it will represent a significant failure of public administration,” he said.

“Labor and the Greens are not being fair to the leaseholders of Majura Valley by keeping them in perpetual limbo and, unfortunately, time is running out for some.”

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Some of the properties are ‘split blocks’, meaning part of the land is owned by the ACT Government and part is Commonwealth land.

The government has been working with the Defence Department to resolve the tenure issues and degazette the Commonwealth land components of the blocks.

An ACT government spokesperson said Defence had commenced its due diligence processes, but they couldn’t provide an update until more information had been received from the Commonwealth.

“The Department of Defence and the Department of Finance are the approving authority for off-market sales,” they said.

“No lease offer can be made until the land has been degazetted.

“Minister for Planning Chris Steel has met with some of the affected farmers and is working to support them through this process.”

Ms McArdle-English was a farmer in the Majura Valley area, and when her land’s lease ended in 2004, she asked the government why the withdrawal clause couldn’t be just on the national land portion of her property. That way, the ACT could renew her lease for the rest of the land.

This was approved.

“My question now is why can’t [the ACT Government] do the same with these farmers now?” she asked.

Ms McArdle-English also ridiculed the notion that Mr Steel had spoken to families stuck in limbo.

“There are several farmers in the valley that are not affected by the 25-year lease offer. He might have spoken to them, but he hasn’t spoken to the farmers impacted,” she said.

“It’s appalling this has gone on for so long. These farmers are decent people trying to manage farms they don’t even own.”

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The moral of the story is that if you represent anything not modern, technocratic or woke, such as the beloved older farmer, you can go and eat shizz and die.

What an absolute disgusting and unacceptable situation. This Barr government is nothing short of a disgrace. Word of this gets out beyond our borders they won’t need to worry about building new housing as no one would be insane enough to throw their money into investing here. Oh yeah and all the “for sale” signs in the molonglo Valley should be changed to “for lease” as its false advertising. Be great when we get rid of this inept bureaucracy.

Someone would do well to check just how many 99 year leases in Canberra are coming to an end soon. Most of us have been here for over 50 years, you know…

GrumpyGrandpa4:05 pm 19 Jan 24

@Michael M & Bloke48,
I think most of us can sleep easy at night, because residential leases can be simply extended, subject to an admin fee.

These rural leases are a bit unique, in that, they are only for 25 years, and they are commercial in nature. Their valuation is also of a commercial nature and takes into account the earning and residual term of the “sub-lease”. While, leaseholders deserve some certainty, undoubtedly some “sub-leases” might at some stage not be renewed due to ACT or Federal Government requirements.

I think the problem facings the Canberra Libs is that, if they were in Government, wouldn’t they also be wanting to protect their future land use options? At this stage, they are just complaining, but not offering a solution.
Maybe the fairest outcome would be if the Canberra Libs were a bit more proactive and released an election Policy Statement proposing a financial compensation package for rural leaseholders where their leases aren’t renewed. A Policy Statement might force some resolution from the ACT Government, at least for land not owned by the Feds.

You absolutely nailed it Grumpy!

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