In part one of Do you have plans for 2012? Part 1 – Your homework, we talked about looking for a suitable property to purchase, for development and sub-division. Perhaps you don’t have to look any further than a property you already own.
There are many people who already own a property that is suitable for development.
So how do you know if you can develop?
You can hit the ground running in 2012 if you already own a property, by engaging Brutal Art Design + Build to provide you with a Property Development Assessment to ensure you can legally develop you site. 72 hours later, you will know whether or not you can sub-divide your site, what planning and zoning controls effect your site and their impact, along with a summary of development options – how many dwellings and what type you can fit on your site, taking into consideration the sites attributes. You will also be provided with a high level feasibility which will be of use when talking to a financier.
Now that you know it is possible to develop your site (you will have completed Step 1: Assessment), we have a structured process to take you from town planning, through to signing up a builder to build your project.
Step 2: Strategy will provide you with council feedback on your proposed development, and a direction for your project.
Step 3: Concept will give you the understanding of what your dwelling/s will look like, ie where are the bedrooms, kitchen, living area, etc. You and council will also have the opportunity to provide feedback, for refining the plans.
Step 4: Application is the preparation of a town planning application, advertising and notice of decision – a town planning permit.
Step 5: Detail is where the working drawings are produced, the specification prepared and the engineering done ready to engage a builder.
Step 6: Build will leave you with your dwellings/s built, ready to sell, rent out or occupy.
This is a basic summary of a process that can take between 12 and 24 months to complete, without complications. There are many layers to property development, so it is important to engage a professional who understands the process.
PLANS FOR 2012?
Thinking of developing? Engage us for a Property Development Assessment today!
Are you looking to develop a property in 2012? If so, now is the time to start doing your homework. There are a few things you can do to begin the new year with a clear development plan.
What type of development are you looking to do? This will determine the size of the land that you need to find. You can read one of our earlier articles on What is the minimum size of land to subdivide in Victoria?, which will discuss this in more detail, however if you use the ‘300m2 per dwelling rule of thumb’, this will guide you to properties with development potential. If you are looking in areas of higher density, then different rules apply.
Now it’s time to look for a suitable property. What makes a suitable property you ask? There are a number of factors that make a property suitable for development; its location, convenience to transport and amenities, the precedent of sub-division in the area, location of the existing house, zones and overlays, and location and number of large trees on the site.
Researching what properties are currently on the market that fit with your requirements and speaking with local real estate agents, will continue to refine your search for properties with development potential. Local agents will be able to give you a ‘feel’ for the area, what accommodation type is in need and current rental demands.
Funding your project is another factor in the property search. We generally find that the value of the land often reflects in the margin, that is to say, a lower acquisition cost for a property, does not necessarily make for a more profitable project.
Rather than going straight to the bank, summarise your proposal and book a meeting with a financier who understands development and subdivision finance. Get an understanding of what borrowing capacity you have, because this will influence the type of project you can undertake. We suggest talking with the team at Onyx and if you tell them we sent you, they will look after you.
Having reduced your list to just a few possibilities, it is important to know that the site can be legally developed and the development options available. Brutal Art Design + Build are able to prepare a Property Development Assessment to ensure your potential property can be developed, prior to purchasing the site.
PLANS FOR 2012?
Thinking of developing? Engage us for a Property Development Assessment today!
Christmas is fast approaching and the Brutal Art Design + Build team are busy doing the December dash.
If you would like a Property Development Assessment to ponder over the Christmas break, you will need to order and pay for it by close of business Friday 16 December 2011, to ensure we can have it back [...]
In Part 1 of Intergeneration Housing: Shifting Wealth, we talked about the expense of land and the difficulty of adult children being able to purchase property in the neighbourhood in which they grew up. We discussed two scenarios on how intergenerational housing could work and this week, we discuss another two scenarios.
“Let’s face it, we don’t have expensive housing in Australia, we have expensive land. The average cost of residential land overtook the median cost of constructing a dwelling, across all Australian capitals, about five years ago. The difference between the two is now considerable and growing.” Michael Matusik.
In Two up: Dual Occupancy Developments – Part 1 we discussed what a dual occupancy development is, some history around land sizes and sourcing properties. In this article, we will discuss some financial benefits of a dual occupancy development.
A dual occupancy development is a great way to start or expand your property portfolio. There are plenty of properties on the market that make ideal dual occupancy development sites.
Did you know that plasterers often wear stilts when plastering ceilings and installing cornices? Whilst it is unlikely to be the latest fashion trend, it is an important part of their toolbox.
There is a lot that goes into a successful property development. Four ingredients seem to be common to a successful outcome: Commitment, Creativity, Continuity and Capital. Think of it like you are baking a cake, you leave out one ingredient and the outcome may not meet your expectations!
6 star energy rating – what does this mean for my project?
From 1 May 2011, all new homes, renovations and additions in Victoria will be required to meet a minimum 6 star energy rating, with inclusion of either a solar hot water system or a rainwater tank.
PLANS FOR 2012?
Subscribe via RSS
Follow us on Twitter