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Change in Land Use/Renewal of Lease

State lands are sold at a price based on the proposed use and intensity at the time of sale. The use and intensity are stipulated as conditions in the State title.

Subsequent to the sale, if planning approval is obtained for the land for a proposed development where the approved use and/or intensity exceed that stated in the State Title, an application to the SLA for the payment of differential premium must be submitted before proceeding with the development works.

Differential Premium

A payment, known as differential premium (DP), will be charged for lifting the title restriction. The DP is the difference in value between the use and/or intensity stated in the State title and the approved use and/or intensity in the provisional planning permission.

DP is computed based on the Development Charge (DC) Table of Rates. The material date of determination of DP is pegged to the date of Provisional Permission (PP) or the date of the second and subsequent PP extensions. Where the tenure of the land is leasehold, the DC rates will be adjusted to reflect the remaining tenure of the land using the Leasehold Table.

Where the use stipulated in the title restriction does not fit into any of the Use Groups in the DC Table, the DP payable will be determined by the Chief Valuer on a case-by-case basis.

More Information
The above is a short summary of the DP system. For more information and to obtain the application form, please click here.

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