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Due Diligence on development opportunity

Discussion in 'Development' started by Luca, 24th Mar, 2016.

  1. Luca

    Luca Well-Known Member

    Joined:
    28th Jan, 2016
    Posts:
    124
    Location:
    Melbourne
    Hey PC, common feedback for a good investment is often buy a property on a lot big enough for future development (e.g. 3/4 townhouses) or additional granny flat.

    With the exclusion of the typical DD (location, jobs, various indexes, growth etc.) what`s your check list? Do you start from the council requirements? Do you have a chat with you architect before making an offer?

    I am trying to develop a checklist to tackle the perfect lot size :)

    Thanks everyone.
     
  2. Blacky

    Blacky Well-Known Member

    Joined:
    25th Jun, 2015
    Posts:
    1,103
    Location:
    Bali
    Learn the design codes off by heart, inside out and back to front.

    You can the get the property's zoning and know immediately what MAY be possible.

    Blacky
     
    Skilled_Migrant likes this.
  3. TobyRichardson

    TobyRichardson Active Member

    Joined:
    20th Jun, 2015
    Posts:
    41
    Location:
    Perth
    If I am to assume that you don't do it regularly then I would say that at the least you should have it checked out by a surveyor and a town planner during your DD period that you specify in the contract.

    This all comes after you have decided on what you want to do/think you can do on the property.
     
    docplus likes this.
  4. Luca

    Luca Well-Known Member

    Joined:
    28th Jan, 2016
    Posts:
    124
    Location:
    Melbourne
    Thanks guys, it looks like it is not an easy and quick process. For not experienced people (e.g. me) maybe worth to pay someone then :)
     
  5. wombat777

    wombat777 Well-Known Member Premium Member

    Joined:
    18th Jun, 2015
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    Location:
    33°41'24.7"S 150°55'34.3"E
    Learn something about the codes yourself. Then when you spot something use services like @RPI that provide a quick assessment for a small fee. Perhaps faster than going to council.

    Also read DAs in the area you are interested in. That will give you some idea of what is possible.