Case Note: Trinity Place Investments Pty Ltd v Kealley [2024] QDC 77

In Trinity Place Investments Pty Ltd v Kealley [2024] QDC 77, the District Court of Queensland considered whether a duplex cabin located within a residential park constituted a "manufactured home" under the Manufactured Homes (Residential Parks) Act 2003 (Qld) (“the Act”). The answer to this question would determine whether the Act applied and, in turn, whether the park owner had to seek termination through QCAT rather than the Court.

The Facts

• Ms Kealley leased a site at “Maroochy Cabins” under a 97-year lease and owned “Cabin 34,” which was one half of a duplex structure.

• Trinity Place Investments, as park owner, sought possession of the site following alleged non-payment of amounts owing.

• The dispute centred on whether Cabin 34 was a “manufactured home” under the Act. If so, the lease would be a “site agreement,” and only QCAT could order termination.

The Legal Issue

The central issue was whether Cabin 34, being one half of a duplex, could be considered a “manufactured home.” The Act requires such a home to:

1. Be a structure;

2. Have the character of a dwelling house;

3. Be designed to be moved from one position to another; and

4. Not be permanently attached to land.

Expert evidence showed the entire duplex could be relocated as a single structure, but Cabin 34 alone could not.

The Decision

The Court held:

• Cabin 34 was not a manufactured home because it was not designed to be moved independently.

• As a result, Ms Kealley was not a “home owner” under the Act.

• The lease was not a “site agreement” under the Act.

• Therefore, the Act did not apply, and the Court - not QCAT - had jurisdiction to hear Trinity’s possession application

Practical Implications

This outcome highlights a legislative gap: duplexes in manufactured home parks may fall outside the protections of the Act, leaving residents without the statutory safeguards typically afforded to manufactured homeowners.

Risks When Purchasing a Manufactured Home in QLD

Buying a manufactured home in Queensland differs significantly from buying traditional real estate:

• Ownership split – Buyers usually own the dwelling but lease the land from a park operator. This means you do not gain freehold land title.

• Regulatory grey areas – As seen in Kealley, duplex or unusual structures may not be covered by the Act, limiting your protections.

• Termination risks – If the arrangement is a “site agreement” under the Act, termination usually requires QCAT orders, providing residents with safeguards. If it is not, you may be exposed to eviction through the courts.

• Depreciation and resale difficulties – Manufactured homes are often harder to sell, and the resale market is typically narrower than for traditional houses.

• Dependence on park management – Your living environment depends heavily on the park owner’s conduct, fees, and management of communal facilities.

How Manufactured Home Tenure Works in QLD

Manufactured homes are regulated by the Manufactured Homes (Residential Parks) Act 2003 (Qld). Key points include:

• Site Agreements – These are leases between the homeowner (who owns the dwelling) and the park owner (who owns the land).

• Security of Tenure – The Act restricts the grounds on which park owners can terminate agreements. Termination typically requires a QCAT order.

• Rent and Fee Controls – The Act sets out rules for rent increases, dispute resolution, and transparency in charges.

• Assignment and Sale – If you sell your home, you may assign your site agreement to the buyer, subject to park owner consent (which cannot be unreasonably withheld).

• Dispute Resolution – Most disputes are resolved through QCAT or mandatory mediation processes.

What a Buyer Should Be Aware Of

If you are considering buying a manufactured home in Queensland:

1. Check the structure – Ensure the dwelling meets the legal definition of a manufactured home (i.e., can it be moved?). Duplexes or modified structures may fall outside the Act.

2. Review the Site Agreement – Understand the lease terms, fees, and obligations. Seek legal advice before signing.

3. Understand your rights – Be aware of protections under the Act, including limits on eviction, rent increases, and resale rights.

4. Consider long-term security – Manufactured homes can be affordable, but they rely on the continued operation and goodwill of the park owner.

5. Due diligence on the park – Investigate the park’s financial health, community rules, and history of disputes.

This article is general in nature and does not constitute legal advice. If you require legal advice in relation to your personal circumstances, you must formally engage our firm, or another firm to provide legal advice in relation to your matter. Bradley & Bray lawyers takes no responsibility for any use of the information provided in this article.

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