PPOR re-zoned 2(2) Development potential???

This is my first post, so here goes and thanks for your help in advance.

I am resonably well read on property investing and I own one IP. Planning to buy more when I start my new job shortly.[biggrin]

In the past I haven’t been much interested in developments (thought they were beyond my area of knowledge and finance)… until today when I went to visit my local Council to ask if I could sub-divide my PPOR, or demolish the existing house and put a duplex on it.

The lady said no to both my requests. So I thought O.K…. what can I do then?

She explained that the area (approx 20 houses, bounded by 4 streets) had been
re-zoned 2(2) medium residential (units), at the end of last year.

She was very helpful and suggested that it may be possible for me to purchase the house next door (you need at least two adjoining blocks for a development), then demolish both houses and put up units.

She also kindly gave me the name of an architectural draftsman (said they were cheaper)who was familiar with all councils regulations etc.

She asked if any developers had been knocking on my door offering to purchase the property… when I said no, she assumed they must still be on holidays, but wouldn’t be far away.

She genuinely seemed excited and wished me luck, adding that Council would look favourably on this type of D.A.

Sorry about the long expanation.
My questions are….

1. Has my PPOR just increased in value due to the re-zoning?
2. What are your thoughts on buying the house next door and doing my own development? Strata title?
3.What designates ‘medium residential’ single level, 2 story, 3 storey?
4.Should I try to buy up as many surrounding houses as I can, before the developers do? (No disrespect to any developers out there)
5. What would be any foreseeable difficulties in financing the development. Would it be seen as commercial?
6. Any good books on residential development?

I would very much appreciate your thoughts/comments/advice.
Thanks, Sharon

Sharon