Subdivision 101 – 5 simple steps to making money from your backyard

A small scale subdivision of a vacant area of land increases the value of your land by utilising the development potential of your property.

At Landlink, we have prepared 5 simple steps to realise that value, and we have a one-stop-shop to help with all aspects of land development.

For a free, no obligation discussion about your project, please contact Landlink on 04 902 6161 or contactus@landlink.co.nz and we would be happy to help.

1 – Due diligence

Before you dive headlong into a subdivision, or even buying property with this in mind, you need to gather the information and understand the rules, the process and make sure the project is viable. The most important step is to understand the zoning and what can be done within the rules. There may be ways to get approval to projects are not able to meet the subdivision rules, and getting neighbours approvals or following longer processes are often worth exploring.

It is wise advice to be very clear on your objectives, and the market which you may be selling into. The Landlink team can help with subdivision trends, market analysis and design.

2 – Select your team

One of the mistakes people make when developing their land is that they try to do everything by themselves to save money. This often results in delays or cost over-runs which inevitably ends in more interest costs and a loss of development profit. To avoid this problem it is important that from the beginning of the project you identify which professionals you need to help you develop you land.

At Landlink we have Licensed Surveyors, Resource Management Planners and Civil Engineers, all of whom play an important role in the project. Make the most of referrals from builders, architects and landowners, and always examine some previous projects that the team have worked on. Talk with your Lawyer, Valuer and builder. Your subdivision team is led by your Landlink project manager. He or she will work through the due diligence with you and also explain the processes involved.

3 – The resource consent

Many people fear the consent process and have heard plenty of bad stories. It’s the Landlink planning teams role to explain that process and work through it. The right foundation is important and by involving us early in the project, the planning matters can be identified early and solutions explored.

4 – The engineering and surveying

Creating new sections involves the installation of services for new homes, as well as consideration of site stability, ground soakage and suitable access. This work kicks off when the design work and approvals are in place. Your Landlink engineers and Surveyors have the expertise to coordinate that work and we work with a wide network of suitably qualified experts to complete all stages of the project. From bridges through water mains, vehicle crossings and landscaping, we can design, manage and complete all land development components.

5 – Getting titles and selling

The final stages of the project, including final sign offs from the Council, payment of fees and coordinating the new titles, is an exciting time. It’s also a time to get active in the sales process, or even the development of new homes.

At this time, the benefit of having a clear vision for your project is extremely valuable.

 

Subdivision is a great way to get ahead and make profit from your asset. It is an exciting and diverse area and is a great deal of fun and is always challenging. However, it is also risky and highly complex. You should always do two things:

  • Due diligence and upfront planning – Gather as much information as possible before you buy and develop.
  • Seek professional help. It doesn’t cost much and it will save you thousands

Remember, for a free, no obligation discussion about your project, please contact Landlink on 04 902 6161 or contactus@landlink.co.nz and we would be happy to help.

2018-03-18T11:44:25+00:00