You need to talk to a surveyor and civil engineer in relation to how and what pitfalls are involved in subdividing.
Your surveyor should know what town planning issues you may have and advise on fees in relation the council and other authorities.
Your engineer should be able to give you preliminary costing in relation to services (sewer, water ect) check with your local electricity supplier as to the availability of power, the power may be close to your block but you may have huge costs involved in upgrading the transforers to supply enough power to your blocks. Phone too.
Lastly find a very good land solicitor to draft you offer, in your instance I would make the offer subject to development approval, finance est this will serve 3 purposes.
1 you wont have to settle on the block saving you interest.
2 if the council dont let you subdivide for whatever reason you dont have to settle on the block.
3 the most important you have time to sell the blocks, your solicitor can set it up so you can sell the blocks before you own them and with no title. you should be able to buy and sell under the margin scheme. to sell 1 or 2 blocks before you get land title maks for a safe development.
Do your figures right as it seems to me at 195K is to high a price for the land price. you should have a development profit of aroung 30% or look for the next deal. dont need to go broke on the first one. calculate the GST correctly
Good luck

Dennis