Removal Restrictive Covenant - Single Dwelling - Perth WA

Discussion in 'Legal Issues' started by tiagodanda, 24th May, 2019.

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  1. tiagodanda

    tiagodanda Member

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    Perth
    Hi All
    I've read a few threads on the topic, but none of them were WA specific neither answer the question I'm about to ask, so I'm hoping anyone can help out here.

    In summary my title has a "Single Dwelling" restrictive covenant back from the 1970s.
    Before purchasing the house/block I enquired about this with Landgate and the City of Joondalup where the block is located. Both of them explained that this is an old covenant that could be removed as the new zoning in the area allowed this to happen. They told me 'on record' and via written response that it was a straight forward process to remove the covenant after the DA approval came through. Process is also explained in their website: Varying a restrictive covenant on a title – City of Joondalup
    I also checked this with the WAPC for subdivision. There were also examples of the subdivision on the same street that gave me confidence with this.
    All facts lined up and I made a decision to purchase the house with the intention of subdividing and building two houses.

    Since then, I have obtained both WAPC conditional approval for subdivision AND also obtained DA approval with City of Joondalup. I then followed the process and requested recommendation letter with City of Joondalup to then file an application with Landgate for this restriction to be removed.

    It is now 6 weeks since application and I just followed up with Landgate and they advised me that the process is still being examined and the final decision could take several months and needed to be approved by the Commissioner. I'm in no rush to obtain titles, as I haven't even started the construction yet (going through finance now).

    I'm wondering whether this would be an issue as I'd like to start construction of both units BEFORE this process is finalised. Fully understand that I will need this to be sorted before obtaining two new titles, but this may be a while still.

    I just wanted to make sure that this is not going to be a hold-up to commence the construction and that the builder will not encounter any impediments to obtain building permit etc and to commence.

    Can anyone see any issues with this strategy? I understand that the advice here is only general advice and I need to consult with a property lawyer, but I wanted to get some general feedback whether anyone had any experience with this before.

    Thanks to all in advance!
     
  2. thydzik

    thydzik Well-Known Member

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    Is this for survey strata or green title subdivision?
    The DA approval that came through was for two independent buildings on the same title?
    What were the conditions on the subdivision from WAPC, did it mention the restrictive covenant needing to be removed?

    I've done a similar process with Joondalup, but wasn't rushed to build on the land. Removed the restrictive covenant first, then did the green title subdivision.
     
  3. tiagodanda

    tiagodanda Member

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    Perth
    Hi @thydzik

    It is for a survey strata subdivision. DA approval for two buildings in two separate lots. No conditions from WAPC mention the covenant.

    I spoke to landgate today and they said that I could not apply or obtain new titles until this covenant was removed, but they didn't get involved in what I did with the land before this was processed.

    How long did it take you to remove the covenant? Was it a single dwelling restrictive covenant as well? Also would you mind sharing the suburb?

    Thanks again!
     
  4. Perthguy

    Perthguy Well-Known Member

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    You can construct in accordance with your DA approval prior to subdivision but there are risks you need to understand if you are going to do that.
     
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  5. tiagodanda

    tiagodanda Member

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    Hi @Perthguy
    Thanks for your reply.
    Do you mean that there could be some risks that the Commissioner won't approve the removal of the covenant and therefore my builds are ilegal, or I can't obtain separate titles?
    Cheers
    Tiago
     
  6. Perthguy

    Perthguy Well-Known Member

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    Risks are:
    - finance
    - subdivision isn't approved
    - delays with getting the covenant removed

    For risk mitigation, council will do a built strata.

    It shouldn't be a huge problem but I just think if you are going to do something you should know the risks
     
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  7. thydzik

    thydzik Well-Known Member

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    Apologies, didn't see the reply.

    The covenant was removed in 2008. took close to 2 months. As the council plus landgate get involved.
    It was a 1000sqm corner block in Ocean Reef, which planning scheme 2 made it zoned R20, two grouped dwellings.

    If the DA approval is for two separate lots, there shouldn't be an issue.
     
    Perthguy likes this.