A 99-year land lease — sometimes called a long-term land lease or a perpetual lease — is a formal legal agreement in which a landowner grants a tenant the right to occupy a defined portion of land for a period of up to 99 years.
In return for that right, the tenant (the lessee) pays the landowner. Depending on how the lease is structured, that can be periodic rent over the term or a single upfront payment for the whole term. Under the Buy My Backyard model, it is a one-off lump sum paid up front.
The critical point: the landowner retains full ownership of the land throughout. Nothing is sold. The land title does not change. The landowner is simply paid for granting the documented right to occupy a portion of their land.
Ninety-nine years is a common term for long-term land leases because it is long enough to give the tenant meaningful security — making the arrangement genuinely attractive to tenants — while remaining a finite term that the landowner and their estate can plan around.
Shorter terms (25, 50, or 75 years) can be negotiated, but a longer term gives the lessee more certainty — which is why it is commonly used where the lessee is funding a building on the land.
A standard residential rental agreement typically has a fixed or periodic term (6 months, 12 months), covers the dwelling, and involves the tenant renting the property from the owner.
A 99-year land lease is fundamentally different:
| Standard Rental | 99-Year Land Lease | |
|---|---|---|
| What is leased | The dwelling | A defined portion of land |
| Term | 6–12 months, periodic | Up to 99 years |
| Who pays the owner | Tenant, as rent | Lessee, as agreed in the lease |
| Tenant security | Low | Very high |
| Owner's title | Unchanged | Unchanged |
| Registered on title | No | Yes |
The lease is registered as an interest on the land title — protecting the tenant's right to occupy, and protecting the landowner's rights as the owner.
In the context of the Buy My Backyard programme, the structure works as follows:
You do not receive rent or any ongoing payments, and you have no landlord responsibilities — no tenants to find, no maintenance and no vacancy risk.
Yes. Long-term land leases are a fully recognised legal instrument in all Australian states and territories. They are used extensively in retirement village structures, land lease communities, residential developments, and commercial arrangements across Australia.
The specific legislative framework governing long-term residential land leases varies by state:
Each state has its own framework covering the rights and obligations of landowners and tenants under long-term lease arrangements. Independent legal advice — from a solicitor familiar with your state's legislation — is strongly recommended before entering any long-term lease. If you have a mortgage, we recommend disclosing the arrangement to your lender, as your lender's consent may be required.
No — not in the way that subdivision does. Your property title is unchanged. You remain the registered owner of your full property throughout the 99-year lease.
The lease is registered as an encumbrance on the title — similar to how an easement (such as a right of way) is recorded. This means anyone doing a title search on your property will see the lease, but your ownership is unaffected. You can still sell the property; the buyer takes it subject to the lease.
The 99-year lease is attached to the land — not to you personally. When you sell the property, the lease stays with the land and the buyer takes the property subject to it. The lump sum you received is already yours.
The lease is disclosed to prospective buyers through the standard conveyancing process. If you are considering selling, speak with your solicitor and agent about how the lease is presented to buyers.
In the residential context, 99-year land leases are most commonly used in:
The Buy My Backyard programme applies the same legal structure that has been used in large-scale land lease communities for decades — but makes it accessible to individual homeowners with a single backyard.
The free property assessment is the first step. We review your specific property — lot size, backyard configuration, council zone, and local planning controls — and advise you on whether it qualifies for the programme. No cost, no commitment, response within 48 hours.
This article provides general information. Land lease legislation varies by state and individual circumstances vary by property. Seek independent legal advice before entering any lease arrangement.
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