Frequently asked questions about government land sales

This page outlines some frequently asked questions about government land sales.

Why does the Victorian Government sell land?

The Victorian Government sells land that is identified as surplus to requirements. It sells this land to:

  • provide for the renewal of sites which can become the target of vandalism and illegal activity
  • free up capital for reinvestment in new infrastructure such as such as schools, hospitals and public transport
  • reduce the cost of government services and deliver more services
  • eliminate unnecessary expenditure on maintenance and security services at vacated sites

Where does the money from land sales go?

The proceeds of surplus land sales are reinvested into important new infrastructure such as schools, hospitals and public transport.

Why is land surplus?

Departments and agencies are required to review their land assets at least annually and will identify land to be surplus where it no longer contributes to current or future service delivery requirements.

When a department or agency identifies land as surplus, it is offered for sale to all other Victorian Government departments and agencies, as well as to local government and the Commonwealth Government, before being listed for public sale.

What is the Government Land Planning Service?

The Government Land Planning Service (GLPS) allows Government landowning departments and agencies to seek assistance to rezone land or to correct planning scheme anomalies. This service is provided by the Department of Transport and Planning.

Often land that is owned by government agencies is zoned Public Use Zone (PUZ) or the proposed future use of the site is inconsistent with its current zoning. Land which is zoned PUZ cannot be sold publicly and must be appropriately rezoned prior to sale.

The GLPS is one of the many steps involved in releasing government land to the public market. Further information is available on the DTP’s Government Land Planning Service page.

How do I register my interest in purchasing a property?

If the property is listed as being marketed for sale, you may contact the appointed real estate agent.

Can I access due diligence reports for surplus properties?

To maintain integrity and impartiality in government land transactions, due diligence reports prepared for a property will be released with the sales documentation upon the commencement of the marketing campaign for the property and can be accessed from the appointed real estate agent.

What happens if a property doesn’t sell at auction or tender?

If a property passes in at auction or tender, it will proceed to private sale. All private sale offers are to be directed to the appointed real estate agent and will be assessed by the Victorian Government against valuations prepared for the property by the Valuer-General Victoria.

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