Dwelling double up for NSW

Is your property on a small, narrow block and located in NSW?  You might be in for some very good news.

Housing code changes

NSW Planning and Environment Department released the planning documents for the new ‘low rise medium density housing’ code after months of research and consultation.  With effect from 6 July 2018, many properties that previously couldn’t be developed can now be morphed into duplexes, terraces or manor houses.

One of the critical changes is that complying properties can bypass the tedious development application process and receive approval in as little as 20 days.  The result will mean qualifying properties will see some immediate uplift in value, in many cases as significant as 10% to 30%.

Affordability impacts

The driving force behind the planning code changes is to alleviate the affordability crisis – particularly in the Greater Sydney  cluster of suburbs – and strategically increase dwelling supply.  There will also be a ripple of benefits for older home owners who can maximise the returns on their existing property.  According to NSW Planning and Housing Minister Anthony Roberts, the changes will provide an opportunity for “seniors to downsize as well as being a more affordable option for young people”.

What qualifies a property for redevelopment into a dual occupancy?

The new code applies to R1, R2, R3 and RU5 zones across NSW, but most lots in Sydney fall into these zones. Designs must also meet the relevant design criteria in the Medium Density Design Guide.

Dual occupancies can now be approved as a complying development providing they meet certain standards.

  • Blocks must be at least 400 square metres, or the minimum lot size according to council, whichever is greater.
  • Blocks must be at least 12 metres wide. For dual occupancies where one dwelling is located above another, the block must be at least 15 metres wide.
  • Buildings must have a minimum side setback of 0.9 metres. Greater setbacks apply for blocks wider than 24 metres.
  • Each dwelling must be at least 5 metres wide and can’t be more than 8.5 metres high.
  • Each dwelling must face a public road, and can’t be located behind another dwelling except on a corner lot.
  • Each dwelling must have at least one off-street parking spot.
  • Dual occupancies must be a permitted land use under the council’s local environmental plan.

What qualifies a property for redevelopment into terraces?

Under the new code, terraces are defined as three or more separate dwellings built side by side on one lot, with each dwelling facing the street.

  • Blocks must be at least 600 square metres, or the minimum lot size according to council, whichever is greater.
  • Blocks must be at least 18 metres wide.
  • Buildings must have a minimum side setback of 1.5 metres.
  • Each dwelling must face a public road, and can’t be located behind another dwelling.
  • Each dwelling must be at least 6 metres wide and can’t be more than 9 metres high.
  • Each dwelling must have at least one off-street parking spot.
  • Attached dwellings must be a permitted land use under the council’s local environmental plan.

What qualifies a property for redevelopment into a manor house?

A manor house is a two-storey building that contains three or four dwellings under the one roof, designed to appear as an oversized double-storey house from the street. According to the medium-density design guide, manor houses are best suited to corner lots or those with rear lane access.

Each dwelling can be subdivided and strata titled to allow separate ownership, effectively creating a small apartment block.

  • Blocks must be at least 600 square metres.
  • Blocks must be at least 15 metres wide.
  • Buildings must have a minimum side setback of 1.5 metres.
  • Each dwelling must have at least one off-street parking spot and one secure bicycle storage space.
  • Each dwelling must have a minimum internal floor area:
    • Studio – 35 square metres.
    • One bedroom – 50 square metres.
    • Two bedrooms – 70 square metres.
    • Three or more bedrooms – 90 square metres.
  • Manor houses must be a permitted land use under the council’s local environmental plan.

Source: NSW Department of Planning and Environment; and www.domain.com.au

 

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Crave Property Advisory is a unique property strategy and buyers agent service. As the only independent and unbiased advisory that can help you use any property strategy Australia-wide, Crave’s services extend to home, investment and commercial property.  A highly client focused organization, Crave developed the Modular Investing System (MI System) to provide clients with the ability to use a tailored mix of strategies and efficiently build profitable portfolios that create lifetime income. 

Debra Beck-Mewing is the CEO of Crave Property Advisory, and has more than 20 years’ experience in property investing, Australia-wide. She has used a range of strategies to build her property portfolio including renovating, granny flats, sub-division and development. Debra is skilled in identifying development opportunities, and sourcing properties that have multiple uses and multiple exit strategies. She is a Qualified Property Investment Advisor, licensed real estate agent and also holds a Bachelor of Commerce and Master of Business.

Follow us on facebook.com/CravePropertyAdvisory for regular updates, or book in for a strategy session to discuss your property questions.

Disclaimer – This information is of a general nature only and does not constitute professional advice.  We strongly recommend you seek your own professional advice in relation to your particular circumstances.

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