With a fresh supply of rezoned properties available in Perth’s established suburbs, subdividing is proving an attractive proposition for a growing number of would-be developers.

In the City of Joondalup, for example, there are 10 newly designated Housing Opportunity Areas where existing homeowners and those on the hunt for an investment project have been looking into the potential for duplex, triplex and multi-unit developments.

Kane Williamson, Business Development Manager at Developments by Dale Alcock, says the revised Residential Planning Codes, or R-Codes as they are known, have created a range of new development opportunities Perth.

“Many people are already sitting on what could be a property goldmine, while others are keen to snap up a block that offers fantastic development potential,” Mr Williamson said.

Reflecting residential density, the R-Codes, or ‘zonings’, indicate how many dwellings can be built in a specified area, taking into account block size and providing minimum requirements for outdoor living space, street frontage and setbacks.

“While some people will subdivide with a view to selling off the new parcels of land, the bottom line is that they will realise more potential if they are able to subdivide and build a house on each new block,” Mr Williamson said.

“A building company that specialises in residential subdivision and property development will be able to assess the viability of a proposed project, even before you purchase the block, and can advise on the best possible development solution.

“Property development is not for the fainthearted and it can be easy to misinterpret the R-Code specifications and over-estimate what you achieve.

“That said, it’s just as easy to underestimate the potential. If you talk to the experts you’ll know you’re getting the best possible design and build solution and maximising your investment.”

Top tips:

  1. Consider working with a builder who is not only experienced in residential property development, but can also handle everything involved in the subdivision process as well.
  2. Identify early on any hidden nasties and unexpected problems associated with the block of land you plan to develop as these could end up having a major impact on your budget and the potential for property development. The information might not change your mind about the block, but at least you are armed with all the facts.
  3. Get a clear picture of what is already provided on the block in terms of key services, and whether you will need to relocate any water, power, sewer or gas infrastructure, for example.
  4. Find out about any changes that might happen in the future that could affect your development, such as road widening, heritage area requirements, noise impact and split zoning. You can then plan and budget accordingly.
  5. Take advantage of the free feasibility study and information offered by Developments by Dale Alcock.

For more information about subdividing and property development in Perth, ring 9242 9500.

Article featured in the Sunday Times Development Guide-Sunday 22nd May 2016.