Unsolicited offer exemptions
Currently, exemptions may be granted where:
- A building or an area of a building used for police or security operations
- A rating cannot be assigned.
On 12 February 2015, the BEED Amendment Bill passed the Senate which allowed the CBD program to grant an exemption (from disclosure provisions) to building owners who receive unsolicited offers for the sale, lease or sublease of their office space.
What is an unsolicited offer?
A building owner who is not offering to sell or lease their building is approached by another party wishing to purchase, lease or sublease their building and makes an offer to start negotiations. Following these initial discussions the building owner may wish to start negotiations with the party making the offer.
If the building owner doesn’t wish to commence negotiations then the proposal is null and void and no further action is required, however if the building owner wishes to commence negotiations and possibly move to exchange of contracts the building owner needs to apply for an exemption in accordance with section 17 (3) (c) of the BEED Act 2010.
Further information can be found in the Unsolicited Offer Exemption Guidance note.
Applying for an Unsolicited Offer exemption
Applications for exemptions must be made to the Secretary of the Department of Industry, Science,Energy and Resources through the Unsolicited Offer Exemption Application Form.
Please ensure you have read the guidance note prior to submitting the form. The offering party's details are required before you can submit the application and they will need to waive their rights to Section 12 of the BEED Act 2010 before the application can be granted. If you are not able to meet all the conditions set out in the guidance note and application form the exemption may not be granted.
There are no fees for this exemption application.
A granted exemption is valid for a period of 12 months.
If once an unsolicited offer exemption is granted and the negotiations to sell, lease or sublease take longer than the validity period of 12 months prior to exchange of contracts the building owner may apply for an extension.