(1) Subject to
subsection (3), when under a planning scheme any land has been reserved for a
public purpose, no compensation is payable by the responsible authority for
injurious affection to that land alleged to be due to or arising out of such
reservation until —
(a) the
land is first sold following the date of the reservation; or
(b) the
responsible authority —
(i)
refuses an application made under the planning scheme for
approval of development on the land; or
(ii)
grants approval of development on the land subject to
conditions that are unacceptable to the applicant.
(2) Compensation for
injurious affection to any land is payable only once under subsection (1) and
is so payable —
(a)
under subsection (1)(a) to the person who was the owner of the land at the
date of reservation referred to in subsection (1)(a); or
(b)
under subsection (1)(b) to the person who was the owner of the land at the
date of application referred to in subsection (1)(b),
unless after the
payment of that compensation further injurious affection to the land results
from —
(c) an
alteration of the existing reservation of the land; or
(d) the
imposition of another reservation of the land.
(3) Before
compensation is payable under subsection (1) —
(a) when
the land is sold, the person lawfully appointed under section 176 to determine
the amount of the compensation is to be satisfied that —
(i)
the owner of the land has sold the land at a lesser price
than the owner might reasonably have expected to receive had there been no
reservation of the land under the planning scheme; and
(ii)
the owner before selling the land gave written notice to
the responsible authority of the owner’s intention to sell the land; and
(iii)
the owner sold the land in good faith and took reasonable
steps to obtain a fair and reasonable price for the land;
or
(b) when
the responsible authority refuses an application made under the planning
scheme for approval of development on the land or grants approval of
development on the land subject to conditions that are unacceptable to the
applicant, the person lawfully appointed under section 176 to determine the
amount of the compensation is to be satisfied that the application was made in
good faith.