Hey All,
Does anyone know of any good companies to take care of subdivisions / developments in Adelaide?
Cheers,
Matt.
Hi Matt
Why not do it yourself? I'm in Adelaide and I do it all the time. It is a bit more work than getting someone to do it for you, but you end up with a lot more in your pocket.
Cheers
K
Hi K,
I'd love to do it myself, but this will be my first project so I thought I might be better off getting someone else's help before attempting to do it on my own.
Would you mind sharing some of your experiences? I'd love to hear about how you go about the process of selecting a property and some examples of the type of projects / profits you have made.
To start with I am looking at a simple subdivision project. Buy an old house on a big block, demolish it, subdivide and then sell the two blocks of land. Once I have some more capital behind me I will start developing the land, but for now I have to stick with subdividing and selling the land only.
Have you had any experiences with this kind of project? I would really appreciate any insight you could share, especially given you are in Adelaide as well.
Cheers,
Matt.
Hi Matt,
Rather than demolish and sell vacant land why couldn't you select a block where the house is offset to one side. Do a makeover on the existing bulding. While doing that subdivide and then sell the vacant land and/or renovated house. Saves on demolition and you would get better return than selling to vacant blocks I think.
An alternative is to pruchase a house offset on the block. Get TPP/DA approval for a second dwelling and sell to a developer ready to renovate the existing dwelling and build a new one without the hassles of getting their own TPP/DA. I did this option recently and made a profit.
Andrew.
itsandrew
Go as far as you can see and you will see further.
Hi Andrew,
Thanks for your reply. That would be my ideal scenario however I’m finding it hard to find properties that would fit this criteria. Especially in suburbs where land would fetch a premium.
I’d like to hear an example and see the numbers of your recent project.
Cheers,
Matt.
Hi Andrew
We are all looking for that property!!
K
grab one for me too !!!!
What to comapnies usually charge to take care of a subdivision? I have a block in hunter valley that I would like to subdivide and build in the backyard. Does anyone one know what the cost might be to get someone to do it for me?
Hey Matt,
If your going to buy, develop, demolish and attempt to sell each block this could be a bit risky unless there is a high demand in new land in your suburb. You don’t want to be holding two blocks that aren’t producing income while repayments keep coming in and worst case you are forced to sell and make no profit or even a loss.
You could always buy an investment property with development potential and hold for the medium to long term and subdivide it and keep renting it for 5-10 years before looking to sell as a whole or blocks individually. Something like this? 9km from Brisbane CBD, direct train line, looks like a pretty straight forward subdivision (havent looked into it at all). Salisbury has had decent growth and a low vacancy. Was not flooded in 2011. If you could knock down the price its looks pretty inviting to me.
http://www.realestate.com.au/property-house-qld-salisbury-110403437As others have said why not look for a property where the house can be retained or even moved on site. This is pretty popular in Brisbane. I did some work on a report for a house within a Demolition Control Precinct (DCP) on a large block with a large frontage recently. The house was positioned horizontally across the front and we achieved a DA for the house to be rotated 90 degrees to fit on one block and create a new entrance fitting with the character of area. The block was subdivided, the investor renovated the old queenslander and sold off the vacant block.
I am still a town planning student but what I have found so far through my course and part time work that a lot of the time you just need to have a bit of imagination and get the right people involved that can work things in your favour. There are some rules that cannot be challenged but there are also many that if you have a good town planner on your side you can achieve. For example that block in Brisbane specified that area had zoning that said subdivisions of land that were character and in a DCP required a min block size of 450 and 10m frontage. So in our case the second block had a 420m2 but a 13.5m frontage so we seeked a relaxation of the lot size as the frontage was significantly greater. A good planner can negotiate with the local council as well as produce a good arguement with justification working towards your goal.
Overall, call your local council planning department – be polite and give them the address and ask them for a vague indication on their opinions of subdivision potential. As you would expect if properties with similiar dimensions and characteristics in your surrounding area have been subdivided then it is probably more likely yours will be approved as council would have already approved theirs.
Overall simple 1 into 2 lot subdivisions are generally pretty straight forward – just call a local private planning consultancy in your area and they will usually discuss options of your lot for free and you can then decide to move forward or not. I wouldn’t go looking for a development company to help you – any town planner with experience should guide you in the right direction and get you a result.
DY
Hi,
I operate out of Adelaide doing small sub divisions.I have and always will use Alexander and Symonds,they do the lot,all you have to do is pay the bills.I have always let them do the due dilligence,they dont charge for this,and can get you the upfront costs,so no surprices.
Regards
Jim
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