Hi,
I have two adjoining blocks of land, each of which have a house on them. I want to build a further three units on the two blocks. They will then be strat titled.
My question is this (and bear with me if the answer is obvious as I have never done this before!): I would like to sell the two existing house before developing the block. I was initially told that this couldn’t be done and that I would have to hang on to the two original houses until the strata title was issued after the three units were built.
However, I have also been told, by the building designer, that it is possible if the existing houses have separate driveways to the units to split the houses out (onto seperate titles, I assume) – and therefore be able to sell them now.
Basically, I would like to (a) use the funds from the sale to finance the units and (b) I don’t particularly want tenants in two newly rennovated properties for a year. Being able to sell them now would solve this.
Also, who would know the answer to this question – a solicitor or a surveyor?
I would be really grafteful for any advice.
Best regards
Andy
It sounds possible to me. My drafting guy (very experienced with the Council I deal with) told me that once approval to build has been issued, subdivision is issued as a matter of course. Speak to a surveyor too. I have built a new townhouse behind an old house and it all went as above. I wouldnt be telling the prospective house purchasers that you will be building as the construction noise, trucks etc. might put some people off
Fern
Originally posted by fernfurn:It sounds possible to me. My drafting guy (very experienced with the Council I deal with) told me that once approval to build has been issued, subdivision is issued as a matter of course. Speak to a surveyor too. I have built a new townhouse behind an old house and it all went as above. I wouldnt be telling the prospective house purchasers that you will be building as the construction noise, trucks etc. might put some people off
Fern
A development apprioval or building approval does not mean you will get a subdivision “as a matter of course.”
Sopme councils require an assurance of what will be built on the remianer of the proeprty and that it will be built. You may need expensive agreements with the council and bonds or sureties.
But the answer is you should be able to subdivide and then build.
You may find after subdividing off the houses you will get reasoable values for the houses without the big back yard and you may be able to refinance these to provide development funds.
Michael Yardney
METROPOLE PROPERTIES
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FREE subscription http://www.metropole.com.auOkay, I’ll speak to the surveyor/council. It’ll make everything a lot easier if I can sell the houses off now.
Best regards and thanks,
Andy
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