The Byron Shire Mayor says the $750,000 asking price for a cabin in a beachside council-run caravan park is another sign of a property market gone mad.
The two-bedroom cabin at Suffolk Park is being offered for sale on a local real estate website, but the purchase price does not include the land.
Councillor Michael Lyon said current caravan park legislation was designed to allow for affordable housing.
But he said the council could not interfere with the sale process.
"If someone's got that much money to spend on a moveable dwelling, they certainly shouldn't be benefiting from the affordable fees that you get from living in a caravan park.
"It's not right, but unfortunately that is the way the legislation is."
Cr Lyon said the council was legally bound to come to an agreement with whoever bought the property in the council-run park.
"The person that owns it at the moment is perfectly entitled to sell it," he said.
"Even though they are really only selling the rights to get another lease in that caravan park, plus the value of the dwelling.
"Which I am sure would leave change out of $750,000."
'Next-level madness'
The proposed sale has caused a stir on social media.
Luke Jolly, who runs the Byron Bay Community Facebook page, described it as "next-level madness".
"Everyone I've spoken to about it is dumbfounded by the price, and as to who would even consider buying something like this," Mr Jolly said.
"I guess it could be a small price to pay for the ultra-wealthy to have a permanent holiday reservation, but it's hard to fathom any regular person looking at it."
The ABC has approached the real estate agent involved for comment.
