Costs of Subdivision/Development

Hi,

A good start would be to get in touch with a couple of local town planners (can be found in the phone book). Give a couple of these a ring and outline what you want to do and ask them about their service / fees. Often there is a fee to do an initial appraisal on the place and then they can outline a cost structure and plan for managing the process from start to finish.

I've just started doing something similar and found this a good place to start.

Thanks Mate. I have contacted some companies as suggested. i also contacted some one who will draw me a site plan of the property to start with. This will give me a better idea before i go and spend $1500 on a town planner for assessment.

I have been quoted $2000 by a company for an initial assessment. does that sound right?

Hi Nepash
that sounds high to me but we are in WA.
A good surveyor should be able to give you a fair idea of the project the whole way through and then you just pay for different steps as they are completed.  I guess as with everything, it doesnt hurt to get a couple of quotes and opinions.  You need to discuss other details with the council as well..eg public open space costs if any, driveway requirements eg curbing storm water drainage etc, power eg underground,  etc etc.  Again a good surveyor familiar with the area should be able to help too.  If you would like to chat feel free to PM me.
Good luck with it
Michelle

Hi Michelle ? whats PM. Oh Perth, i used to live there many years ago.

Well this company is pretty good according to the information available in its website. They do complete planning & building service. They have even won many awards. Its too late now but i have already engaged their services via phone to look at the feasibility of placing another property in the block. I sent them the title, plan etc, and address. They got back to me today and said that " They have completed preliminary research. There are several options for putting additional dwellings on the subject site. they would like to arrange a site meeting to have a look and discuss, and that as agreed the fee would be payable
when they provide the summary report on site. Its up to 2000 + GST, but i do not know the exact figure yet.

Am I Stupid ??

Hi Michele,

Just while you are here, can you please tell me how long does it take for the council to approve the sub division plans. I know i could ask them that question which I may tomorrow morning but just thought i find out now.

Krishna

G'day Nepash,

Sounds like you're already well on your way to getting things happening.

Something to bear in mind (and you have probably already done this), but have you put together a feasibility on what you want to do?

Certainly worth doing so you can work out what sort of profit, if any you are going to make out of it at the end. Before you spend too much with the planners or surveyors they should be able to give you a good idea of all the costs involved on the actual subdivision (including council fees, engineering works, driveway construction, services connection, surveying costs, council contributions etc...). Then add in your holding costs - interest on any loans for the property, R/E agent fees for sale, legal fees etc..

Not sure where you are but basic '1 lot into 2' residential subdivisions in parts of SE QLD at the moment are at least $30,000 to $50,000 to get it to the selling point. One good thing, as MichelleandColin said, it is mostly broken up into various costs which you can pay along the way over a 1 to 2 year period.

Whatever you end up doing, you are obviously keen - good luck with it

Sorry Nepash,

Just read back through you're 1st post and saw you are in Adelaide - not sure about costs there, but 1 way to find out is to ring several different planners or surveyors and compare prices for what they do.

Not sure if you've got access to council websites but some councils post planning documents for various current developments. You can find some that are similar to what you are doing and see who they used as a planner / surveyor and give them a ring and get some reccomendations that way.

Thanks Rhino for your Help. I have been given the options by this company. 4 options, best and most expensive and extremely profitable to the cheapest and easiest and achievable by me. I am gonna do some thinking and decide in a few weeks. according to the company. Another $5-8K would take me to the planning application stage.

I have a question. If I am going to be building a house on this new subdivided land to live in. Would i qualify for the New FHOG Boost for building a new home. If not would i qualify for at least the original $7K.