If you own a sizeable plot of land and would now like to explore its commercial potential, you might be considering the idea of creating a subdivision. This may be the best way to maximise your revenues as you can, theoretically, receive regular income from a variety of different tenants. Yet, there are many things to take into consideration before you can move forward with such a project and some of these factors are legal, while others are practical. What do you need to think about as you brainstorm?
Firstly, turn to your local council. These regulators will invariably have a set of zoning rules that apply to your land, which may determine what you can and cannot do. The officials may be able to tell you the maximum and minimum permitted block sizes and how much of each block can be used for a dwelling. They could also impose other rules that are meant to protect the look and feel of the general neighbourhood, such as how far each dwelling should be set back from your property boundary.
You will then need to look at the land and see if its shape, slope or size could affect your plans. After all, it could make it quite difficult to build on a plot of land if it is quite undulating or features a significant slope. You also need to consider how easy it will be to access the land once the individual blocks have been subdivided. Would you face any issues with utility infrastructure or existing trees on the boundary? Also, remember that you do not have the automatic right to remove trees on your property.
Next, consider utility connections. Each plot will require electricity, telephone, data, sewerage and water. How far away are the existing "mains" supplies? Will you need to install additional equipment such as a pumping station? In some situations, you may have to allow for new underground cables or power poles, which can add to the complexity and the cost.
Bring in an Expert
As you can imagine, there is a great deal of work involved as you ask these questions and get corresponding answers. To help you, consider working with land surveyors. They will have the experience and will typically save you a lot of time and money in the long run. Crucially, they will be able to tell you whether your aspirations are realistic or whether you might need to consider another option.