Do all new blocks of land in Victoria have covenants on them to do with sub dividing

Hi,

It may not be all new land but you'll probably find that if it is in a new estate it will. Most new estates are aimed at the family market and while they might be close to shops, transport etc they may not be right for subdivision. Yes look for an old house because you will avoid this and probably get more land for your dollar. Some older properties are in better locations also. Don't worry about the old house it should only cost around $10k to get rid of and even if it has asbestos etc up to $15k.

Good luck Vic is nuts for subdivisions right now
D

I bought land in the new Wyndham Harbour marina development yesterday. I was concerned about the guy in front of me subdividing his 900 sqm block and building 2 houses, blocking my view. I was advised that he wasn’t allowed to. This certainly confirms that in a new development, even large blocks are unable to be subdivided. The covenants state one dwelling per block.

The covenants might be for a certain time period. And if they are there for reasons like keeping a certain level of landscape or ambiance then the guy might find this a big hassle. The council will send out letters to other residents (if it even gets that far) and then he will probably find that he has 20 or so other residents all opposed to his plans. I personally wouldn't try this but maybe that guy has some other info etc. Then again he just may not have read the contract properly ! I wouldn't have thought the builder would let someone else make a profit out of their project.

D

It costs an arm and a leg, takes forever and having your builder call you and tell you to get rid of the landscaper like today's little adventure is not for the faint hearted! But apart from that it is heaps of fun all the way through and you spend a lot of time on the phone and email learning something new every day!

 As for the real cost if you factor $50k for not doing it yourself and maybe 30k if you are you will be safe. This does not include holding costs and misc items that crop up. Will I do it again? Oh yeah! Will I do the subdivision part myself? Nup, I'll leave that to my guys, like I leave the tax part to the accountant, the legal part to the solicitor and the building to the builder. (I'm a fan of outsourcing to people more expert than I)

Hey JacM just tell me to be quiet if I keep ranting about the same ol same ol, lol! 

D

Wow $30k, for some reason I had guessed a much lower figure.  I guess it depends on the council being dealt with, and the number of pieces you're subdividing the original block into.

Pretty sure I can make it on the 4th, have to wangle a couple of days off work as I am currently doing a contract in Sydney

I'll let you know!!

Most new estates, and some older ones, have single dwelling covenants. These are extraordinarily difficult to get rid of. You can find out if a property is affected by a covenant by doing a search of the property title. As ever, DWolfe has given some good advice, that is to say most of the desirable areas for sub-division are the older established areas that are being progressively infilled.

Hahah, need to get a life do I? Too much lurking here? (Too much chatter ) You're the expert Christianb on subdivisions, nice website by the way just looking at it now!

D

Thanks for the compliments on the web-site. Yes, I want to be part of the get-together in Melbourne (as an investor, not a consultant!) but haven't received anything more on the email. What's the go with time and place?

A few tips I've learnt…

Near (walking distance, not backing onto the tracks!) railway stations is a good spot.
Covenants in NSW often expire after 10yrs, not sure about Vic. Ask council.

quickchick

Thanks, I saw Adam's update on the other thread initiated by you.
Look forward to catching up then.