All Topics / Value Adding / subdivision cost?

Viewing 20 posts - 1 through 20 (of 27 total)
  • Profile photo of roy22roy22
    Member
    @roy22
    Join Date: 2009
    Post Count: 37

    Would anyone be able to give me a rough estimate of what it costs to subdivide? would it be better to go through a company and let them handle all the process? Or is it cheaper and managable to do it yourself? please share your experiences as i am considering it but need to know the costs and difficulties involved.Thank you

    Profile photo of DWolfeDWolfe
    Participant
    @dwolfe
    Join Date: 2009
    Post Count: 1,253

    Hi,

    If it your first one use a company that has done plenty of them before. You will gain extra out of them that you don't really pay for such as call after call to slack council who don't get permits approved in a timely manner!

    It really depends where you are and what you want done. If you are going to just split a backyard and sell it it may cost you around $20k. If you are doing a subdivision and want to build several units and want them to handle the project all the way up until you get the keys to the new houses then more like $50k. This doesn't include construction costs and you will still have other costs that spring up along the way as well as any holding costs if you already own the property or can't negotiate a long settlement. Better to always budget a higher figure than be stuck for money at the end.

    Personally I would use a professional as they will save you time and money and councils have a tendency to try and waste both of it for you. I have heard of people just getting a draftsman and going through all the planning themselves but I'd leave that up to people who have plenty of time and who could cope with the run around.

    Get prices of both and then check the councils website to see how detailed the subdivision process is. This may help with how much time you'll need to put into it.

    Good luck it is great fun to do and watch being built.

    D

    DWolfe | www.homestagers.com.au
    http://www.homestagers.com.au
    Email Me

    Profile photo of christianbchristianb
    Participant
    @christianb
    Join Date: 2009
    Post Count: 386

    Hi,

    The process isn't particulalrly difficult, however, as DWolfe points out you may get some extra mileage from calling in the professionals for the first project. Once you know how it's done you can probably go on to take care of parts of the process yourself. The sub-division of land (in most areas) requires a TPP, which in turn can trigger the need for an explanation as to what you intend to do with the land once sub-divided! So what starts out as a simple request to sub-divide your land can become an extensive process. I would recomend, as a first step, going to the town planning department of the local authority (council) and discussing this with the planners. A simple "this is what I'd like to do, what issues do you have with this porposal" can usually save a lot of time and resources. If you're not comfortable fronting the town planners yourself, have someone who knows what they are doing do it for you.

    Christian.

    Profile photo of DWolfeDWolfe
    Participant
    @dwolfe
    Join Date: 2009
    Post Count: 1,253

    Hey Christian,

    Where abouts are you located?

    D

    DWolfe | www.homestagers.com.au
    http://www.homestagers.com.au
    Email Me

    Profile photo of christianbchristianb
    Participant
    @christianb
    Join Date: 2009
    Post Count: 386
    DWolfe wrote:
    Hey Christian,

    Where abouts are you located?

    D

    Melbourne

    Profile photo of DWolfeDWolfe
    Participant
    @dwolfe
    Join Date: 2009
    Post Count: 1,253

    Thanks, will prob seeya in Feb :)

    DWolfe | www.homestagers.com.au
    http://www.homestagers.com.au
    Email Me

    Profile photo of roy22roy22
    Member
    @roy22
    Join Date: 2009
    Post Count: 37

    thanks for the advice. i have got a quote from a company saying it will cost approx 30k for subdivision, architect plans drawn up for a 2 bedroom unit, all permits, the whole works. so right up to the point where i can sell it to a builder ready to go. i will have to provide utilities like power , sewerage and water which will cost about 5k max i think. i could sell land with plans for 300-350k (being on the safe lower side), going on the surrounding streets which have done this already.

    Do you think 30k is too much, or do you think it would be beneficial for me to organise this for myself for less?

    Profile photo of DWolfeDWolfe
    Participant
    @dwolfe
    Join Date: 2009
    Post Count: 1,253

    Hi,

    Look I think it sounds ok, might be worth getting another quote just to compare to make sure you are getting the right price give or take.

     As long as after you take the $35-40k off the asking price you still make a nice profit for the months you will have to wait for approval.  You can always get them to talk you through each part and then attempt the next one yourself. I would go with having a definitely successful project first and then take more risk later when you have more cash to prop you up.  

    Keep us posted :)

    D

    DWolfe | www.homestagers.com.au
    http://www.homestagers.com.au
    Email Me

    Profile photo of christianbchristianb
    Participant
    @christianb
    Join Date: 2009
    Post Count: 386
    roy22 wrote:
    thanks for the advice. i have got a quote from a company saying it will cost approx 30k for subdivision, architect plans drawn up for a 2 bedroom unit, all permits, the whole works. so right up to the point where i can sell it to a builder ready to go. i will have to provide utilities like power , sewerage and water which will cost about 5k max i think. i could sell land with plans for 300-350k (being on the safe lower side), going on the surrounding streets which have done this already.

    Do you think 30k is too much, or do you think it would be beneficial for me to organise this for myself for less?

    The fees seem reasonable, but you must take care with the "all permits" part!

    There are often levies for private open space, sewer, storm-water etc. that must be paid. If you are intending to sell the land with permits, a builder will need to be satisfied that the project documentation is complete or will make assumptions about how much they need to allow for the missing information. In order for the proposed building project to commence there needs to be building permit documentation that concurs with the town planning documentation. You needn't supply the building permit documentation in order to sell the land.

    Ensure that your planner/architect has allowed for the surveyors fees, section 55 (in Victoria) or design response documentation, services design (so you can have those services connected) and it might also be a good idea to have a local builder give you an opinion on the proposed plans before you get too far advanced. If there are significant trees, or if the property is affected by one of the many (heritage, density, LSIO) overlays you may also need additional reports to satisfy the town planning department.

    So, there are probably things you can organise yourself and save a little cash on (only if you have the time) but the important thing is understanding the process. The council, or the planner/architect should be able to advise you of any overlays, covenants or other nasties affecting the property.

    Profile photo of roy22roy22
    Member
    @roy22
    Join Date: 2009
    Post Count: 37

    thanks for that info christian. im am going to continue looking into it. might speak to a town planner to see what the process and cost would be going with them. do you recommend a town planner to organise this process?

    Profile photo of christianbchristianb
    Participant
    @christianb
    Join Date: 2009
    Post Count: 386
    roy22 wrote:
    thanks for that info christian. im am going to continue looking into it. might speak to a town planner to see what the process and cost would be going with them. do you recommend a town planner to organise this process?

    Try to go with someone recommended to you.
    I do this sort of work myself, but I'm not here to advertise my wares.
    Good luck with the project.

    Profile photo of roy22roy22
    Member
    @roy22
    Join Date: 2009
    Post Count: 37

    thanks again christian
    Good work with not advertising. This enquiry is for my parents house and im not sure if they want to go ahead. but if i continue this path for myself,  i will contact you professionally if thats ok.
    thanks again

    Profile photo of christianbchristianb
    Participant
    @christianb
    Join Date: 2009
    Post Count: 386
    Profile photo of drs10drs10
    Member
    @drs10
    Join Date: 2010
    Post Count: 11

    Hi all
    Any recommendations for a Town Planner or other company to do the above in Perth?
    cheers
    D

    Profile photo of jcso99jcso99
    Participant
    @jcso99
    Join Date: 2005
    Post Count: 95

    Hi Christian,

    Can you please send me a private message as I am looking for draftsman/architect who can help me with 4 units development in Bayswater, victoria? My email is [email protected]

    Cheers
    John So

    Profile photo of jcso99jcso99
    Participant
    @jcso99
    Join Date: 2005
    Post Count: 95

    Hi Christian,

    Can you please send me a private message as I am looking for draftsman/architect who can help me with 4 units development in Bayswater, victoria? My email is [email protected]

    Cheers
    John So

    Profile photo of maternicmaternic
    Member
    @maternic
    Join Date: 2010
    Post Count: 9

    Hi all,

    Could anyone recommend a town planner in Melbourne?

    Thanks

    Profile photo of BreeceBreece
    Participant
    @breece
    Join Date: 2011
    Post Count: 43

    Hi Maternic,
    We work all over Melbourne and I’m happy to provide you a free consultation to get you moving in the right direction.

    All the best,
    Breece

    0438026077
    [email protected]

    Profile photo of SashSash
    Member
    @sash
    Join Date: 2010
    Post Count: 91

    I can recommend a company that has taken care of the whole process from start to finish and guarantees permits. They have been extremely professional have guided me with my multiple questions every step of the way. Loads of support – I have complete faith in them handling my affairs and I dont have to stress. They are a melbourne based company with alot of experience and have expanded drastically since I engaged them. The most reassuring thing is that I ran into some trouble on my block with a council owned laneway at the back that wasnt picked up until the application was about to be granted. This caused problems but have been worked out now through great knowledge and negotition.

    PM me if you want there details.

    Profile photo of yfleeyflee
    Member
    @yflee
    Join Date: 2011
    Post Count: 1

    Sash,
    Please provide me with details of the company. Thank you.
    Cheers,
    Yau.

Viewing 20 posts - 1 through 20 (of 27 total)

You must be logged in to reply to this topic. If you don't have an account, you can register here.