Shop top housing development over multiple lots - Canterbury-Bankstown

Discussion in 'Development' started by tonkatron, 12th Mar, 2021.

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  1. tonkatron

    tonkatron New Member

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    Is it possible to build shop top housing over multiple lots?

    Shop top housing meaning retail on ground floor, basement parking and ~4 levels of residential units above.

    I have previously been told that the site would need to be consolidated (not sure if this meant lots or titles?) which will trigger a CGT event. If this is the case, I think this is an unecessary cost if the new entity owining the land will effectively be controlled by the same owners of the separate lots.

    My aim is to keep costs down to provide affordable housing and so I am looking at all aspects of the development to reduce costs where possible. This will include also include not strata titling the individual units as the development will be retained by the original owners.

    The development site in question is in the Canterbury-Bankstown area if this helps.

    Any input would be much appreciated.
     
  2. Scott No Mates

    Scott No Mates Well-Known Member

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    There are currently changes afoot for the LEP in Canterbury-Bankstown, make yourself aware of these provisions as they may be in force by the time you lodge your DA. - Linky

    Are you familiar with: Linky?

    Have a chat with a town planner to discuss your options, also your accountant for specific tax (CGT) advice.

    Consolidation refers to the titles (which is also the lots) - why would you be required to consolidate the site unless the planning controls imposed minimum site sizes?
     
    Last edited: 12th Mar, 2021
  3. Paul@PAS

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

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    You wont have a complying "affordable housing" site under the new scheme unless a Community Housing Provider registers it PRIOR to construction and seperate titles wont help that. AH property is not sold - It must be leased to low income occupants for 3-10 years + Special rules can limit occupancy duration. The site may need to be strata titled for affordable housing and shop top housing for council and state compliance since there must be common areas ie stairs, entry points and landscaped communal (incl child play, gym) area. It will complicate things if each title is a seperate part of a common project which is in a row which may need to consoidate for approval. Sounds like a plan to save costs rather than a plan to develop correctly.

    Funding the GST could also be a factor. ie GST on build cant be claimed ? Mixed ? Theer could even be a enterprise for the whole site vs that of individual titles

    I would agree a TP is best start point.