The keys to a successful first development

As we look to what's ahead for 2012, Property Observer is republishing some of our most noteworthy stories of 2011.

Property developing can be very rewarding and it can also be overwhelming, especially if you are building in an unfamiliar area for your first development.

The best way to become familiar with your choice of location is to find out how the local council works and what it would like to see built in their area. Developing relationships with the local town planner could save you a lot of time and money, and help make the difference between a frustrating project and a fabulous development.

To get off on the right foot, do some research on the type of new development you see around the town, and consider what you would like to build. Then call the council and organise a meeting with a town planner. Discuss your plans and find out what will help your development application get across the line with minimal stress.

You’ll also need to do some reading so you know what is and isn’t permitted in the area. This way you won’t be wasting the town planner’s time asking basic questions, and you can get straight to the details of your particular development.

Some documents to read include:

Local Environmental Plan (LEP)

You will find this on the council's website. An LEP defines the land zones and outlines permissible land uses within the zones. This will determine what type of building you can put on the land: low, medium or high density. Currently, a number of councils in NSW are preparing draft LEPs so check to see if your council is working on a new LEP, as when processing your application, councils will take the draft LEP into consideration, even if it has not yet been gazetted.

Development Control Plan (DCP)

 This document contains more detailed provisions than the LEP. Its information is specific to geographic zones or development types. It will give you a thorough understanding of the guidelines to follow when developing in your chosen area.

Regional Strategy Report

While not all councils have one, this is commonly used to outline areas with the greatest potential for development. It will outline plans for land releases, land rezoning, population and employment projections and will pinpoint specific areas earmarked for future growth.

When you meet a council planner, come prepared with the 149 planning certificate from the contract of sale of the property or land you are looking to develop. The 149 will indicate if the land is in a bushfire or flood zone, for instance, and it will tell you what is prohibited on the site, and whether it is heritage listed. If you are not sure about some of the information in the 149, the planner can explain it to you. Also bring a survey and sewer diagram, which can be found in the sales contract.

Council meeting minutes will sometimes give you valuable information on other similar applications that have gone to a council meeting and comments made about the developments. You can also read other development application consents to get an insight into the type of conditions that council may impose.

Some questions to ask your planner:

What kind of development does the council want to see in the area?

It’s important you work with your council, rather than against it, if you want a smooth process. You want to align your project with the council’s vision for the community.

Are there any problems in developing this particular site?

They may see a problem such as access onto the road, if it is a major road, or they may be privy to information on neighbouring properties.

Is the land in a flood zone?

 Although this will be included in the 149 planning certificate, it is really important to ask this question. The planning certificate you have may be out of date or lacking information. For example, the council might be working on a new flood study, but this won’t be reflected on the planning certificate. By the time a development application is lodged, the property's flood zone may have changed, and it could be rejected. The council will have a flood and/or drainage manager who can give you up-to-date information over the phone. If the land is in a bushfire-prone area, be aware that you’ll need to comply with current fire-safety regulations, which will add to your building costs.

What is the minimum lot size?

 This will be specified in the DCP subdivision guidelines, however, sometimes the council may be a little flexible on this. If you are looking for land to subdivide, you will need to look for land more than twice the minimum lot size.

Are there any issues that may arise in developing in this area?
A town planner will be aware of any social issues outside the constraints of the DCP. For example, I developed in an area where the local neighbourhood fought any application lodged for more than one dwelling on a title. I soon learned that the deputy mayor lived there and was rallying neighbours to fight the development applications. I sought legal advice and was able to negotiate with the council and gain consent, as my application met all the requirements of the DCP.

Once you have secured your development site, have your draftsman or architect put a concept plan together. You can use this to show the council your design and get valuable feedback from an early stage. Check if there are any specific reports that may need, such as acoustic reports or traffic counts. You can easily make changes at this stage to ensure your application is processed as quickly as possible.

After it has been lodged, check to see if your council has a development application tracker on its website that you can follow progress on. If you see it is not progressing as forecast on the tracker, call the planner and find out what the hold-up is. If there is no online tracker, make regular calls to your planner to keep on top of progress.

All councils work to different timeframes and according to their resources. Sometimes I am surprised at the speed of a council, but mostly we find the process takes too long. Staying in close communication with your council can help fast-track the process. Enjoy this important part of your development journey; you will learn so much from the planning process.

Jo Chivers is director of Property Bloom, which manages property development.