Subdividing your property

TIP 1

Establish your zoning

Before you get started on your strata development, you must be sure the block is able to be subdivided. It is important to understand the building codes that are implemented in your location, and your local council will be able to advise you.

If you’re planning a strata subdivision, make sure you know what needs to be satisfied to get the process through council smoothly.

The building code may vary from one side of the street to the other, so don’t assume just because the Jones’s did a strata subdivision that you can too!

TIP 2

Check for factors that could halt a subdivision

There are a lot of issues that can block or hinder your land subdivision, including:

• Storm water drainage
• Block size
• Driveway – would the existing driveway need to be relocated?
• Zoning
• Easements (walk-ways or parking spaces)
• Encumbrances (minimum and maximum dwelling sizes or type of material to be used)
• Removal of trees (permissions can be required)

TIP 3

Is your block worth subdividing?

From rates and land tax, installing water meters, demolition, surveyors, and titles costs, there are dozens of items to take into account.

It’s important to check, and have a clear idea of how big ticket items such as retaining walls, drainage and engineering requirements will apply to your specific block.

TIP 4

Know your market

Next, you’ll need to know who is likely to purchase or rent your planned strata development. For example, if your building codes allow your block to be subdivided into three lots, it doesn’t necessarily mean that’s what you should do.

If your property is in a more affluent area, your buyers or renters may be after a larger section of land. If you’re likely to have tenants, this may impact your decisions on the fixtures and finishes of the house on your strata development.

TIP 5

Choose your builder

House behind house developments are a great way to maximise the potential of your block. But to make it a success, you need the right piece of land to subdivide, the right timing and most importantly – the right advice.

Summit has more than $500 million of successful unit developments to its name as specialist house behind house builders. If you’re starting out in property development, download our free guide to backyard investments below.