Glenella landowner wins appeal against TMR over resumed land for Mackay Ring Road

A Mackay region landowner has appealed a $1m compensation payout over land resumed for the Mackay Ring Road arguing the figure is too low.

A Glenella landowner has appealed against a $1m compensation payout over land resumed for the Mackay Ring Road increased as being too low – and won.

It comes as the Department of Transport and Main Roads had its bid for the figure to be reduced rejected and has been ordered to pay costs.

Clive Desbois was forced to sell off part of his Bruce Highway adjoining property when, in August 2016, TMR took back 1.934 hectares ahead of the $565m project’s construction.

Clive Desbois was forced to sell part of his Glenella property for the Mackay Ring Road project.

He was one of a number of landowners in the area forced to fully or partially sell their property for the highly anticipated bypass road.

Mr Desbois applied to the Land Court of Queensland to determine his compensation entitlement for the resumed land – he had been pushing for $1,702,000 while TMR claimed it was only $67,000.

Ultimately he was awarded $948,961, which included $781,385 loss in land value, $83,576.08 interest and $84,000 for disturbance.

However a recent judgment revealed both Mr Desbois and TMR, “being dissatisfied with the amount determined”, lodged appeals with the Land Appeal Court of Queensland.

Both Mr Desbois and TMR disagreed on the value of the land before it was resumed, the judgment read.

Mr Desbois had argued the “highest and best use” of part of the reclaimed land fronting the Bruce Highway was for a type of commercial use like a service station/truck stop.

Whereas TMR contended “that planning approval would not be granted for a commercial use in a rural zone” – and as a consequence argued “the whole site only had rural value”.

TMR argued the presiding judge had erred in finding there were good prospects of planning approval for a service station/truck stop in the rural zone.

MACKAY RING ROAD: Mackay MP Julieanne Gilbert, Main Roads Minister Mark Bailey, Dawson MP George Christensen, Capricornia MP Michelle Landry and Mackay Mayor Greg Williamson at the official opening of the highly anticipated project. Picture: Melanie Whiting

TMR further argued if any part of the site was valued for this type of commercial use it would be 1.8 hectares not the 2.25 hectares, proposed by Mr Desbois and used in determining the value.

“None of DTMR’s grounds of appeal concerning the land value should be upheld,” the recent judgment read.

Mr Desbois’s property had been valued at $400,000 per hectare even though the primary judge accepted this was too low and as such applied a 15 per cent discount instead of a 30 per cent discount per hectare.

Mr Desbois had argued the value of his property had been incorrectly determined and this was upheld by the Land Appeal Court.

It was found there was a failure “to determine separately the appropriate rate per hectare that should be derived from the comparable sale for the subject site and the appropriate discount that should be applied to that derived rate per hectare”.

Although the court did not accept the arguments the rate per hectare should have been $600,000.

The matter will be remitted to the Land Court for the value to be determined.