To make a profit you need to be aware of all the variables when it comes down to potential costs. Your biggest overheads are your upfront costs and the time that you put into making such a big project happen.
The expenses involved in a sub-division are widely varied and will depend on what suburb you are developing in and what type of subdivision you are undertaking. It also depends on how many lots you intend to have as each separate new lot needs to be registered with its own title. That means that if you’re subdividing into three lots, three titles are required.
Subdivision application fees:
- Amalgamation - $2,153
- 2 lots up to and including 100 lots - $2,985 + $68/lot
- 101 lots and greater - $9,798 + $24/lot for every lot in excess of 100 lots
Source: Department of Planning
Additionally, there costs associated with the physical development of the block, professional consultants fees, utility connects and finally sales agent fees. From our experience, a typical strata subdivision could cost in the vicinity of $15,000 - $25,000 per new lot created. Of course this is heavily dependent on many site specific factors, so let us assist you with your upfront feasibilities..
Unexpected hidden costs can easily blow out the budget of your project. However, with proper planning in the initial stages of a subdivision, along with a comprehensive feasibility they can easily be minimised or avoided.
Other fees and levies could apply to your subdivision. These may include growth area infrastructure contributions (GAIC), community and service authority levies, overland flow and public open space contributions.
Of course, all the costs listed above do not take into account your personal time. It could potentially take months to complete your subdivision in which case you need to put a value on your time to coordinate this process.
From experience, we can tell you that it takes a lot more than just a few forms and some patience to get the subdivision approved and that’s where we come in. At Developments by Impressions we can take care of the entire process for you from start to finish, keeping the process as stress free as possible to free up your time so you can do more important things.
To find out how your plans stack up, request a free property development assessment now.