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Buying OTP - Internal size in DA subdivision plan substantially less than marketing materials

Discussion in 'Development' started by swok, 30th Oct, 2015.

  1. swok

    swok New Member

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    Hi guys,

    I am looking at buying my first apartment off the plan in a small boutique block of six.

    The marketing materials and floor plans I have been given by the agent list the internal size of the apartment as 125 sqm. This does not include balconies, car spaces or storage which are all listed separately.

    However, when I looked up the DA on the relevant council website I found that the internal size listed in the subdivision plans are just 105 sqm - substantially smaller.
    The other units are also shown to be substantially smaller - 83 rather than the marketed 95 sqm.

    The developers have no track record in Sydney, and I am worried that this may be another greedy developer promising one thing and delivering another.

    My guess is that the sizing in the marketing materials includes external walls.

    Has anyone had any similar experiences? Any advice?

    Thanks!
     
  2. Terry_w

    Terry_w Solicitor, Finance Broker, CTA Business Member

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    The contracts will probably allow for changes in size up to 10 or 20%.
     
  3. Big Daddy

    Big Daddy Well-Known Member

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    i think its 10% before the contract is void. If you have the contract then it may state this number.
     
  4. Big Daddy

    Big Daddy Well-Known Member

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    Did it say 125sqm living area? Or 125 internal area?
     
    Kangaroo likes this.
  5. Kangaroo

    Kangaroo Well-Known Member

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    What is the difference of these 2 ?
     
  6. spludgey

    spludgey Well-Known Member

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    All signs are saying run, why would you seriously consider purchasing one of the apartments?
     
  7. Westminster

    Westminster Tigress at Tiger Developments Business Member

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    This is actually quite normal and down to how calculations are done and which the REA will use.
    In terms of strata you only own the inside of the walls and most likely this is the 105sqm. The REA is most likely using measurements to the outside of the walls which is where the 125sqm is coming in.

    Now BOTH will under calculate and round up. The developer will round down every space he can to squeeze his plot ratio into the allowed amount with Council. The REA/Developer then will round up everything he can come selling time to make it appear as large as possible.
     
    The Y-man likes this.
  8. swok

    swok New Member

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    I have just received the contract and @Westminster is correct - the 125sqm 'internal area' used by the REA includes exterior walls. How exterior walls could ever be considered 'internal area' I have no idea??!

    Contract also contains clause that I would have to maintain and repair my external walls. Has anyone heard of this before?

    The REAL internal area is the 105 sqm as indicated on subdivision plans.

    I think given this I will offer the REA a lower price probably at an order of a 12% discount and see what he says (given the 16% reduction in internal size).

    I just hope that the other unit buyers realise that the marketed interior area is not accurate!
     
    Last edited: 31st Oct, 2015