NSW Can sale of assets be delayed

[TerryS]

Hi, My Mother died recently and my sister and I are about to inherit the proceeds of the sale of the house. Executor and Administrator is the Public Trustee. The property is currently zoned R4 and we have been offered more than $2M for it However, in about 6 months it will be rezoned to 8 stories (already approved but process not yet completed). We should then be able to get $3M-$3.5M for it. Can we ask the Executor to delay the sale of the property until rezoning is completed or are they required to liquidate the assets ASAP? I currently live in the property.

 

[Tim W]

Speak to the Public Trustee directly.
If the Trustee is the executor, then they are the owner at law,
and the property is not yours to sell.

Beware of advice from real estate agents on this subject.

 

[winston wolf]

You can ask but they are not bound to take you advice.
If they refuse and you are confident it could be worthwhile at $1M to challenge their decision in the court as they are supposed to be looking after your interests.

 

[Rod]

If nothing else, a challenge may delay the sale.

 

[Tim W]

If nothing else, a challenge may delay the sale.

That said, while it is well settled law that while the PTG has a duty to get the best possible price for land (or indeed for any asset),
a beneficiary has no general power of veto over the actions of the Trustee.
Which means that if you try to get an order on the Trustee to go for this deal over that deal,
then you can expect it to be resisted, most likely successfully, with costs against you.

 

[TerryS]

Thanks for that advise Tim. We're not really looking to get the Trustee to go for this deal over that deal, rather just hold off altogether until the rezoning has been finalised and the up for auction to the highest bidder with no interference from us. Is that reasonable? At present we're just holding off handing over death cert., etc. in order to delay and then I'll most likely have difficulty finding a rental so I won't be able to vacate in the short term.

 

[Rod]

I accept getting the PTG to delay a sale voluntarily is the best solution. If it looks like they won't listen to a well reasoned argument, and it has been known to occur (though I don't have one example to bring to the table, only 3rd hand hearsay from years ago), then taking court action, losing and paying costs may still be justified.

All depends on the probability of a future action occurring. Rezoning has certainly made some people rich. It has also cost people money when it didn't occur as speculated.

 

[TerryS]

Thanks Rod. Rezoning isn't speculation, it has already been approved by Council and Dep Land & Environment. Been handed back to Parramatta Council to action but they haven't started the process yet. Rezoning appears certain in about six months or so. This is a huge redevelopment project in our area, Telopea.

 

[Tim W]

I maintain my earlier suggestion of speaking to the PTG directly.