Commercial property managers to be exempt from holding real estate licences in NSW

Commercial property managers to be exempt from holding real estate licences in NSW
Commercial property managers to be exempt from holding real estate licences in NSW

The NSW government will legislation to exempt large commercial property managers, such as Scentre Group and Vicinity Centres, from holding real estate licenses. 

After 15 years debate, the NSW government decided that requirement is little more than red tape.

The government will amend the Property, Stock and Business Agents Act in coming months. 

"These changes are long overdue and form part of the NSW government's real estate reform agenda," Minister for Innovation and Better Regulation, Victor Dominello said. 

"Training for training's sake is a drain on productivity. We must be always be vigilant to ensure that mandatory CPD is fit for purpose."

The Independent Pricing and Regulatory Tribunal's 2015 Reforming Licensing in NSW report recommends that large commercial property managers who manage an estimated property value of at least $40 million, or a gross floor area of at least 20,000 square metres, or are managing properties for a related corporate entity should be exempt. 

The Department of Fair Trading rarely receives complaints from large commercial property owners such as Westfield or Stockland about their managers who adhere to legally enforceable commercial contracts, but the cost to managers to obtain licenses is $4 million a year, the Australian Financial Review noted.

Jonathan Chancellor

Jonathan Chancellor

Jonathan Chancellor is one of Australia's most respected property journalists, having been at the top of the game since the early 1980s. Jonathan co-founded the property industry website Property Observer and has written for national and international publications.

Tags: 
Commercial Property Industry Reform

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