3 checks to avoid a dud development site
Think you’ve found the perfect development site to build your ultimate cash cow? Here are 3 checks you should complete to help ensure you’re not buying a dud.
If you’ve decided to undertake a development project, it can typically be months, if not more than a year, before you eventually find a suitable site.
Before you can even begin your search you have to organise your finances, investigate the market, create a shortlist of suburbs to target and understand the demand for the end product.
So by the time you’re looking at potential sites, there’s already been quite a lot of work done.
However if you get to the point where you think you’ve finally found the perfect development site, there are a few initial checks you should complete before you even put in an offer.
- Check the zoning and subdivision requirements. Zoning codes are often misquoted so check with the local council to ensure it’s the same as what’s been stated in the advertisement. Also, are there any caveats on the site that may inhibit you from going ahead with a development?
- Check heritage listings on the site. Typically, there are two levels of heritage listings – local and state. If the property is heritage listed, you’re probably better off finding another site, depending on the restrictions.
- Check for planning policies or structure plans for the area. If the area is being rezoned or is the subject of a new structure plan, it’s best to check to see how this will impact the site. Will the proposed infrastructure, such as new roads or rail lines, impede the site?
These checks are only the preliminary measures needed when acquiring a development site and investors should buy subject to due diligence and understand the proper checks required.
If you’re looking for a highly profitable development site, contact us to learn how our buyer’s agents and development team work hand-in-hand to find and acquire the best sites suited to your circumstances.