Your Investment Property forum is the place for positive industry interaction and welcomes your professional and informed opinion.

How to find properties with subdivision potential

Notify me of new replies via email
Your Investment Property | 06 Aug 2015, 12:00 AM Agree 0
Find a big block of land, knock up a brand new duplex and voila: you’re an instant developer earning instant profits. Right? Not quite. If subdividing and developing land were that easy, everyone would be doing it. We show you some of the traps to avoid, and the surefire steps required for a successful project. Sarah Megginson reports.
  • AuArchitecture | 17 Sep 2015, 04:53 AM Agree 0
    In Melbourne the closer one is to the city the smaller the lot size. In mid to outer rin subdurbss 300sqm per lot is common and higher in outer suburb. The lot size is also governed by overlays and the schedule to the zones. Some councils impose minimum lot sizes for subdivision in the Neighbourhood Residential Zone.
  • AuArchitecture | 17 Sep 2015, 04:59 AM Agree 0
    What is the Ultimate property subdivision site in Melbourne?
    Here are some of the key criteria to look out for when trawling realestate websites.

    The local council zone should allow the number of units you want to develop. Generally a General Residential Zone should work for two or more units. A Neighbourhood Residential Zone will usually support two units unless the Schedule to the Zone says otherwise
    There should be no minimum lot size specified in the planning scheme or if it is specified, the property should be able to meet the minumim lot size as specified
    No overlay burdens do help as the overlays protecting vegetation can be an issue in properties where significant trees exist on the site itself or near the common boundaries. Other overlays can also affect the design like the Design Development Overlay, or the Neighbourhood Character or Heritage Overlays to name some
    Trees and vegetation are items not to be taken lightly as some property owners think they are. There are strict standards to be met when it comes to siting the dual occupancy home or town house near a tree. Even VCAT will take that tree protection zone and structural root zone information into consideration.
    The Schedule to the Zone should be studied carefully as there could be a requirement for large open spaces or less site coverage etc
    The longer boundaries should face north and south with the driveway being on the southern boundary in the ideal scenario. A rear facing north is also good. Street frontages facing north can be problematic
    A wide frontage may support two crossovers but some councils in greater Melbourne are placing restriction on number of crossovers (driveways)
    The site width should allow for cars to exit in a forward direction as more and more councils are insisting on that safety factor
    The driveway to the rear of the lot for a tandem dual occ should be a minum 3m wide an a bit more is better to allow for some landscaping which councils are pressing for
    The property should be serviced with the legal point of discharge in close proximity. Watch out for sewers which are outside any easements!
    Take note of any restrictions on the property title which prevents development or places conditions on the type of development design
    The property should be relatively level to save on building costs for the dual occupancy
    Check the contribution payable to the council for 3 or more units. Dual occupancy developments do not usually attract such contributions which can be 5% or more of the UCV as noted in the council rates notice
    Sometimes it helps if the property does not face a main road
    The size of the property is important but the above factors are equally critical
    Generally speaking the closer the property is to the city or CBD the smaller the new subdivision lot sizes.The further the property is away from the city the opposite applies. As a very general rule each lot in the newly created subdivision should be about 300sqm however that is not set in stone. I have worked on dual occupancy subdivision lot size of 48sqm in the inner city area and in some Councils with restrictive overlays the lot size was much higher than the 300sqm..



Post a reply