VIC Conversion of house into specialist medical rooms

Discussion in 'Property Analysis' started by Investiveloper, 20th Dec, 2017.

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  1. Investiveloper

    Investiveloper Member

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    29th May, 2016
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    Sydney
    We have a house close to a hospital & are considering converting a house into specialist medical conaulting rooms.

    Has anyone done this and what are the key issues or things to watch out for?

    Thanks
     
    Investiveloper, 20th Dec, 2017
    #1
  2. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    Assuming the zoning allows and the parking is available

    what does your lender ay ?

    ta
    rolf
     
    Rolf Latham, 20th Dec, 2017
    #2
  3. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    Consider what you have agreed to in the mortgage agreement too - if any.
     
    Terry_w, 20th Dec, 2017
    #3
  4. Paul@PAS

    Paul@PAS Tax, Accounting + SMSF + All things Property Tax Business Plus Member

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    GST...The rent becomes commercial rent. The $75K threshold test would apply. If annual rent exceeds $75K then GST registration is required. The test is based on USE by the tenant not what type of property the construction is.

    Council DA required - Perhaps more than one.
    Parking would need to comply with local govt rules for area
    Disabled access, public facilities (WC), mobility etc etc all need to be complied under DA
    Noise, lighting etc

    Worth discussing with local commercial agents to determine if it enhances value. If the neighbours also do it the land could become attractive for commercial development for a suite of offices.
     
    Paul@PAS, 20th Dec, 2017
    #4
  5. Colin Rice

    Colin Rice Mortgage Broker Business Member

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    Speak to a town planner at the LGA to see if it is even feasible and go from there.
     
    Colin Rice, 20th Dec, 2017
    #5
    Paul@PAS likes this.
  6. Candlebark

    Candlebark Well-Known Member

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    Location:
    Eltham, Vic
    You'll need to check out your zone and overlays to begin with regards planning permits.

    There are planning exemptions for the use based on size and location. In the GRZ the exemption is as follows:
    The gross floor area of all buildings must not exceed 250 square metres. Must not require a permit under clause 52.06-3. The site must adjoin, or have access to, a road in a Road Zone.

    In the NRZ it's slightly different.

    The reference to 52.05-3 means that you need to provide all required car spaces.

    Neighbours hate medical centres opening next door because of the extra car movements, so don't be over optimistic on timeline.

    First stop for you is a town planner.
     
    Candlebark, 28th Dec, 2017
    #6