Transfer aquaculture lease

The transferor is the individual or corporation who currently owns the lease and is submitting an application to transfer the ownership of the lease to another party.

The transferee is the individual or corporation who is buying the lease and who will be the new lessee following the transfer.

A transfer application may be submitted at any time while the lease is current. If the lease is about to expire, a renewal application will need to be submitted with the transfer application. A lease cannot be transferred if it has expired or has been otherwise terminated.

If a mortgage or other interest is endorsed over the lease, the written consent of the party who has a registered interest in the lease will be required before a lease is transferred.

All aquaculture leases must be authorised by a current aquaculture permit. If the transferee does not hold a current permit, they may:

• nominate an aquaculture permit to authorise the lease via a sublet agreement.
• lodge an application for a new aquaculture permit.

A transfer application will not be finalised until an appropriate arrangement is in place to ensure the lease is authorised by an aquaculture permit.

A duly made application must consist of the following:

• A completed lease transfer application form. Every section of the form must be completed and all parties must sign the declaration.
• The original lease documents. If the lease documents have been misplaced, the current lessee must submit a statutory declaration to replace the lease documents (fee applies).
• Payment of the application fee (refer to the aquaculture fee schedule).

An application that is not duly made will be rejected and returned to you.

When the department receives your lease transfer application, it will send you an invoice for the application fee. Payment options will be provided on the invoice.

If a lease application is withdrawn or refused, the department is not required to refund the application fee. The department may refund the fee, or a portion of it, if the circumstances are appropriate.

The department will check that the application is duly made and there are no issues that may hold up its progression (for example, overdue debt on your aquaculture account).

If the application can be progressed, the department will update its records with the details of the transfer. The lease documents will be endorsed with the change in ownership and returned to the new lessee. The permit holders will receive an updated copy of their permit.

For estimated transaction processing times, refer to the aquaculture transactions fact sheet.

If you are selling a lease, your lease security arrangement will only be adjusted if you hold a refundable arrangement (cash deposit or bank guarantee) and the lease transfer results in a decrease in the total area you hold under your permit.

If you are buying a lease, your lease security arrangement may be adjusted if you have a refundable arrangement (cash deposit or bank guarantee) and the lease transfer results in an increase in the total area you hold under your permit. You may also be charged for additional lease security if the transferor had a refundable arrangement which has been adjusted following the transfer.

No, lease rent and permit fees that have already been charged for the current billing period are not transferrable. The transferor will remain responsible for the payment of these fees.

The transferee will be charged all relevant lease and permit fees in the next billing period (starts on 1 July each year).

If the transferor wishes to recoup any lease or permit fees that have already charged to their account, these should be added to the sale price of the lease.

An application to transfer an aquaculture lease may be refused if:

• the applicant is disqualified from holding an aquaculture permit.
• the applicant fails to complete any requirement of the transaction within a specified timeframe.
• the applicant has debt on their aquaculture account which is more than 90 days overdue.
• the applicant has failed to clean up a previously terminated lease.
• the transfer of the lease is not in the public interest.

Before an application is refused, the department will give the applicant an opportunity to resolve any issues or to lodge objections to the refusal of the application.

For information about subletting an aquaculture lease, contact aquaculture administration via email at aquaculture.administration@dpird.nsw.gov.au

This checklist will help you to lodge a successful application.

• Have you completed every section of the application form?
• Have all applicants signed the declaration on the form?
• Does the transferee hold a current aquaculture permit, or have they submitted a sublet application or a new permit application?
• Have the original lease documents been attached to the application, or has a statutory declaration been completed (fee applies)?
• If the lease is about to expire, has an application to renew the lease been submitted?
• Have any outstanding aquaculture accounts been paid?
• Have the applicants addressed any outstanding clean up issues on an expired, cancelled or otherwise terminated lease?
• If there is a mortgage or other interest over the lease, have you got the written consent of the mortgagee or other party?