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Multiple units on small R30 block

Discussion in 'Development' started by db444, 6th Jul, 2015.

  1. db444

    db444 Member

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    Hi,
    have been looking at some small blocks for build and/or rebuild. They have been R30 and under 600m2 and at the current market price (In WA) they have not seemed very profitable. The building codes seem very restrictive in putting units on such small blocks but the potential rental income seems promising. I wonder if members have any experience to share or examples?

    Alan
     
  2. HD_ACE

    HD_ACE Game-Changer Premium Member

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    I have just finished developing an R30 block. Being average 300sqm and minimum 260sqm you would be looking at a 600sqm just to get two on. Throw in a 5% variation which may or not be approved your looking at a 570sqm block.

    You could look at multi dwellings but councils afe stamping down on them at R30 and some even at R40.
     
  3. db444

    db444 Member

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    Thanks for the reply HD. I approached the council they have no issues as long as it meets R codes. But being new in IP I wonder if it is commercially viable for blocks 450-550m2 or do you end up with little boxes nobody wants or are there decent designs availible?
     
  4. thatbum

    thatbum Well-Known Member

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    Commercially viable for what? You can't subdivide it if its R30 and under 600sqm in the normal case...
     
  5. db444

    db444 Member

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    Hi,

    Sorry to be clear I am not intending to sub divide but considering two dwellings
     
  6. thatbum

    thatbum Well-Known Member

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    Well in WA, its pretty much the same thing - its the same criteria when we're talking grouped dwellings.

    Different rules for multiple dwellings, or possibly single bedroom dwellings or ancillary dwellings.

    How well have you read through those Rcodes?
     
  7. Westminster

    Westminster Tigress at Tiger Developments Business Member

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    First things first, it does NOT meet the R codes if it is less than 600sqm (possibly minus 15sqm). So when Council say that they are ok as long as it meets R codes they are saying NO to putting two houses on a 450sqm block. The only way you can put 2 houses on a R30 450sqm block is to build a house and granny flat and have the 2 on one title.

    A 220sqm block will build a 3 x 2 with double garage - you see a lot of these in R40 subdivisons as the min size block is 180sqm and average block is 220sqm. But you cannot do this for R30, you will need 300sqm per block. At 300sqm per block you can actually build quite a decent 4 x 2 with double garage.

    You need to read pg58 of the R Codes more to get a feel for how the size blocks work for R30.
     
  8. stumpie

    stumpie Well-Known Member

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    ^ Listen to the tigress @db444
     
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  9. HD_ACE

    HD_ACE Game-Changer Premium Member

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    Don't waste your time if it Can't be subdivided. That's where the $$$ is made as well as increasing yield.

    If your after a cashflow play then a "granny flat" is an option. If this is the case you may aswell choose a good area for growth and maybe look for a large R20 block that is not subdivisable and have the gf properly seperated from main dwelling. Less competition and cheper out lay. Just be aware your capital maybe tied up for some time depending on area and valuations.

    The R-Codes are your best friend ;)
     
  10. Westminster

    Westminster Tigress at Tiger Developments Business Member

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    Tigress :) I like it :p