Queensland Consolidated Acts
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PROPERTY LAW ACT 1974 - SECT 157
157 Intended improvements
(1) Despite section 156 , compensation shall not be payable in respect of any
improvement mentioned in schedule 4 , part 1 unless the tenant has, not more
than 3 months nor less than 2 months before beginning to make such
improvement, given to the landlord, or to the landlord’s agent duly
authorised in that behalf, notice in writing of the tenant’s intention to
make the improvement and of the manner in which the tenant proposes to do the
(2) The landlord may within 1 month from the giving of such
notice serve upon the tenant a dissent in writing to such intended improvement
and require the matter in difference to be referred to arbitration, and on
service of the dissent and requirement a reference may be had in manner
provided by this division.
(2A) If the arbitrator is satisfied that any
improvement specified in the tenant’s notice will increase the value of the
holding to an incoming tenant and will be a suitable and desirable
improvement, the arbitrator shall make an award accordingly, and the tenant
shall be entitled to compensation for every improvement which the tenant makes
under such award.
(2B) If the arbitrator is satisfied that such improvement
will not increase the value of the holding to an incoming tenant, and will be
an unsuitable and undesirable improvement, the tenant shall not, if the tenant
executes such improvement, be entitled to any compensation in relation to the
(3) If no agreement is entered into within 1 month after such
notice has been given, or if there is a reference to arbitration, then, within
1 month after the award has been made the landlord may, unless the notice of
the tenant is previously withdrawn, undertake to make the improvement, and may
make the same accordingly in any reasonable and proper manner the landlord
thinks fit, and may charge the tenant interest at the rate of 5% per annum on
the outlay incurred in making the improvement.
(3A) Such interest shall be
payable and recoverable as rent in the same manner and at the same time as the
rent in respect of the holding is payable and recoverable.
(4) In default of
any such agreement or undertaking, and also in the event of the landlord
failing to comply with the landlord’s undertaking within a reasonable time,
the tenant may make the improvement, and shall in that case be entitled to
compensation in respect of the improvement.
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