What is a Caravan Park?

Since caravan parks were first established in Victoria, the industry has constantly evolved, not only as an important and much loved tourist accommodation sector but as a place to call home for many with the growth of residential land lease communities.

In Victoria, caravan parks (both tourist and residential parks) are registered with local government authorities and regulated under the Residential Tenancies (Caravan Parks and Movable Dwellings Registration and Standards) Regulations 2024.

Caravan parks can be located on freehold land or under a Crown Land lease.

The traditional caravan park is usually a tourist park offering a mix of sites for visiting holidaymakers with their own caravan or tent, as well as dwellings such as cabins or ‘glamping’ tents owned by the park business and rented out for short periods.

Many tourist parks cater for annuals – people who own a dwelling (caravan or cabin) and rent the site on the dwelling is located for holiday purposes. These sites are subject to a non-renewable 12-month annual agreement and fees. New agreements may be offered at the conclusion of current agreements.

Some caravan parks have both tourist and residential accommodation and are known as mixed use parks. These are an important contributor to the supply of affordable housing.

Also registered as caravan parks are the increasingly popular Residential Land Lease Communities (RLLCs), catering for people wanting to ‘right-size’ their living arrangements and age in place. These communities often offer resort style settings characterised by high levels of safety and community.

These communities are generally marketed to people over 55 and must comply with Part 4A of the Residential Tenancies Act 1997 by offering permanent residency in an unregistrable moveable dwelling (UMD).

Under the land lease model, the dwelling (UMD) is purchased by the occupier (Part4A Site Tenant), who leases the land on which the dwelling is placed under a Residential Site Agreement, paying a site fee for the land on which their dwelling sits to support the provision and maintenance of onsite facilities.

This homeowner/land renter model provides a cost effective living arrangement, often supported by Commonwealth Rent Assistance.

Did you know?

Glen Cromie Caravan Park in Gippsland is thought to be the oldest caravan park in Victoria, established in the late 1800s when Joseph Cromie, a draper from Warragul, purchased the land to use as a getaway for his employees.