Monday 26 November 2012

Victorian Government to Change Subdivision Planning Permits Process

The days of the most popular backyard subdivision are coming to an end following sweeping land zoning reforms set to be the biggest planning legislation reform in 20 years.
The new legislation was announced on 11, July 2012 by Planning Minister, Matthew Guy, who stated that the overhaul is the state government’s attempt to “keep the backyard.” The proposed reforms would change planning permits and limit the number of backyard developments in well-established, traditional residential areas and encourage higher density development in new areas.
There are three new zones proposed:
•    Neighborhood residential zones – Areas where backyards are to be conserved and further subdivision generally discouraged.
•    General residential zones – subdivision of suitably large sites will be permitted.
•    Residential growth zones – minimal control on subdivision size.
The zoning reform will give developers and Councils clearer guidelines on suitable densities for new residential areas, however, it constrains the traditional infill developments that have made property owners financially independent over the last ten years. The proposed changes will not take effect until October 2012, to allow people who have already subdivided or who are about to subdivide time to complete their project. If you want to subdivide your property get your planning applications in now! This is the time to act! If you delay, the process for obtaining planning permits will be much more difficult and you risk missing the window and losing out on a huge financial reward.
Backyard subdivisions are ideal for people who:
•    Intend to stay in their current house and would benefit financially from the opportunity their backyard presents. 
•    Do not need or want a large backyard due to the maintenance involved.
•    No longer need a sizeable backyard now that the family has grown up and moved out.
•    Can see the financial befits of dividing their property in two.
There are a number of perceptions and misinformation surrounding backyard subdivisions and the planning permits to obtain them. The most frequently asked questions include:
•    Can the Council refuse to let me subdivide even after spending a lot of money on a subdivision planning applications? It is true that the Council will not permit an unsuitable subdivision and that there are criteria that a property must first meet for a subdivision to be approved. It is best to contact a professional who has experience subdividing in your area and within your council to assess whether or not your property is suitable for a subdivision.
•    I’ve heard subdivision takes a long time… Submitting planning applications for a subdivision is largely an administrative process with very little work actually being undertaken onsite. The subdivision process is never held up by external factors that can prevent the process moving as swiftly as possible. This is a major advantage to the construction industry where factors such as the weather or a developer going bankrupt can severely damage a project’s viability. It is true that a subdivision can be held up, but having an expert town planner managing your planning applications ensures it can be completed in the quickest possible timeframe.
•    Can I subdivide my property without having approved planning permits for a new house on the property? Councils prefer that when you subdivide your property you also submit plans in your planning permits for the new dwelling. However, through Council you are able to subdivide your property with a “building envelope” or “building exclusion zone” on the new block. This is essentially an outline of where the new house can be sited on the block.
•    How much does it cost to subdivide from start to finish? A minimum of $15,000 and a maximum of $20,000 for a two-lot subdivision, including planning applications and planning permits costs.


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