The state government has unveiled guidelines it will use to assess unsolicited bids from the private sector for state-owned land.
The state government has unveiled guidelines it will use to assess unsolicited bids from the private sector for state-owned land.
Lands Minister Terry Redman said the guidelines would provide a transparent and consistent framework to deal with unsolicited bids received through the government’s land asset sales program, where it is aiming for over $260 million of potential sales.
An unsolicited bid is a market-led proposal by the private sector not formally requested by the government.
“The government is committed to promoting transparent and competitive processes in the sale or lease of state-owned land, and ensuring unsolicited proposals put to it are appropriately assessed on public interest grounds.” Mr Redman said.
“We also recognise that circumstances may occasionally arise where it may be beneficial to deal exclusively with one party outside of a competitive process.
“This new guideline could potentially open up new development opportunities across the state.”
The minister said all unsolicited bids would be subject to thorough government approvals processes and will require state cabinet approval.
The state government will deal exclusively with one bidder when:
- the proposal is unique;
- the proposal will have a significant and beneficial impact on the economy, community or environment;
- the proposal delivers value for money to the state;
- the proposal is feasible;
- the proposal aligns with relevant government policy;
- the land is not required for core government business; and
- there are no competing proposals or interests in respect of the land.
The guidelines are designed to address concerns that unsolicited bids may be problematic due to the lack of competition and transparency.
Property Council of Australia WA division welcomed the state government’s decision to adopt the unsolicited bid guidelines, with deputy executive director Lino Iacomella saying it will unlock much needed private sector innovation and investment in the state’s property sector.
“Most other states have a similar guideline and WA has been missing out on investment inquiries without a guide to making an unsolicited bid,” Mr Iacomella said.
“There is enormous private sector interest in participating in WA’s asset sale program and the guideline will help to introduce more interest.
“We welcome the government’s willingness to engage with the private sector in adopting the guideline for unsolicited bids.
“This will certainly assist in the strategic objective to keep WA growing through property development and investment.”
