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Environmental data and property transactions

On 3 June 2025, Lotsearch and Guthrie Legal presented at InfoTrack’s webinar on Managing environmental risks in property transactions using the latest data. The session explored some of the challenges and opportunities when managing property transactions in light of the growing amount of environmental information in Australia.

Background

There is a wide range of environment and planning information available in Australia. New datasets are emerging (and being regularly updated) in relation to contamination, environmental licensing, natural hazards such as bushfire, and development matters, to name just a few. For practitioners, staying on top of what exists is challenging because datasets are owned, maintained and published in a variety of formats by different government agencies.

It can be difficult to know what information exists as this changes periodically. It can also be time-consuming and laborious to undertake your own manual searches of available data. For example, some public datasets are presented as lists rather than as spatial information on a map. This presents risks that important information could be missed, for example if the information is included on a list but recorded with a subtly different street address (e.g. for a corner lot) or from having to manually review lengthy documents.

Environment and planning data in property transactions

Vendor disclosure

Property laws of the States and Territories mandate disclosure by vendors of certain information to purchasers. Vendor disclosure statements in most jurisdictions are required to include some environmental and planning information.

Whilst practitioners are seasoned at making such property disclosures, it is important to note that some jurisdictions (for example Victoria and Queensland) separately require additional disclosure of environmental matters by virtue of separate environmental laws such as the Environment Protection Act 2017 (Vic). These environmental disclosures supplement the disclosures required under property law and require careful consideration.

On 1 August 2025, the Queensland Property Law Act 2023 and Property Law Regulation 2024 will come into force. This will bring the disclosure regime that currently exists within the Environmental Protection Act 1994 (Qld) more clearly within the vendor statement. The disclosure requirements could go beyond the standard Contaminated Land Register / Environmental Management Register search available from the Queensland Government as the disclosure of additional notices issued under the Environmental Protection Act 1994 may be required.

The level of disclosure of information to a purchaser always depends on the facts and circumstances of the case. Vendor disclosure requirements under statute are minimum requirements and may be supplemented having regard to legal and other risks associated with the sale.

Purchaser due diligence

Whilst there is a trend towards increased vendor disclosure, the “buyer beware” principle still applies.

This requires prudent purchasers to undertake environmental due diligence associated with proposed transactions, particularly in relation to matters that fall outside vendor disclosures. This is reflected in various government recommendations. By way of example:

  1. The Consumer Affairs Victoria Due Diligence Checklist for home and residential property buyers includes recommended questions about some aspects of environmental due diligence as follows:

Extract from the Consumer Affairs Due Diligence Checklist.

  1. The Seller Disclosure Statement effective from 1 August 2025 in Queensland expressly excludes certain information and buyers are encouraged to make their own inquiries about these matters:

Extract from the Seller Disclosure Statement from 1 August 2025.

Conclusion

The approach to managing environmental and planning matters in property transaction is growing increasingly complex. Careful consideration is required in relation to both vendor disclosures and to environmental due diligence by purchasers.

Lotsearch is the industry leader in providing best-in-class environmental reports, to help clients identify potential environmental risk to land and property. Available nationally, their searches can assist practitioners with the sale and purchase of property.

Lotsearch continues to develop specific searches to help legal professionals meet their obligations including seller disclosure obligations in Queensland. 

To learn more, book a demonstration

Disclaimer

The information in this article provides a summary and general overview on matters of interest. It is not intended to be comprehensive, nor does it constitute legal advice, strategic advice, consulting advice or product advice. You should always seek independent legal or other professional advice on specific cases and before acting or relying on any of the content. Whilst attempts have been made to ensure that the content is current, Lotsearch Pty Ltd does not guarantee its currency.

If you have any legal questions about environmental and planning due diligence in property, project or corporate transactions, please contact to Gabrielle Guthrie at Guthrie Legal. Gabrielle is an independent environment, planning and climate change lawyer.