Increasing rent due to significant cost increases
31 Increasing rent due to significant cost increases
This section applies if —
the park operator wants to increase rent payable by a long‑stay tenant under a long‑stay agreement; and
the increase in rent is intended to cover —
significant increased operational costs in relation to the residential park in which the tenant is occupying a site or other park premises, including a significant increase in rates, taxes or utilities; or
significant unforeseen repair costs in relation to the residential park in which the tenant is occupying a site or other park premises;
and
the increase —
is not provided for in the long‑stay agreement; or
is not consistent with a term in the long‑stay agreement.
The park operator may increase the rent payable by giving the long‑stay tenant a written notice in the approved form stating —
the amount of the increased rent; and
the reason the rent is being increased; and
the day from which the increased rent becomes payable; and
that the tenant must give the park operator, within 28 days after receiving a written notice from the park operator, a written notice stating whether the tenant agrees or does not agree to the proposed increase; and
if the tenant does not give the park operator a written notice stating the tenant agrees with the increase in rent — the park operator may apply to the State Administrative Tribunal to increase the rent under section 63A.
The day from which the increased rent becomes payable must be at least 60 days after the day on which the notice is given to the long‑stay tenant under subsection (2).
The park operator may increase the rent payable —
in accordance with the notice given under subsection (2) only if the long‑stay tenant gives a written notice to the park operator stating that the tenant agrees to the proposed increase; or
if the State Administrative Tribunal made an order under section 63A(2)(a) or (c) — in accordance with the State Administrative Tribunal’s order.
[Section 31 inserted: No. 28 of 2020 s. 29.]
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