strata subdivision dual occupancy

Here at Little Fish, we aim to help our clients, and our readers, as much as possible.

As trusted residential property developers working in the trenches on the daily one question we are asked from time to time is “can you please explain the difference between a strata subdivision and a dual occupancy?”

So if you’ve had strata subdivision dual occupancy rolling around in the back of your head. It’s time to take away some of the mystery!

Our aim is to help everyday Australians achieve the levels of wealth generation that were previously limited to the upper class and entrepreneurs.

We do this by either assisting our clients to successfully develop their land. Or by project managing a development for them.

We keep them updated every step of the way.

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What Was a Strata Plan?

The term “strata” isn’t really used anymore. If you’ve heard it being discussed, perhaps over dinner or elsewhere the person is probably unaware of this.

All subdivisions in property development are now under the Subdivisions Act. The Act allow subdivision as follows:

subdivisions act chart

A Strata Plan was a document used to define lot boundaries on a typical subdivision between the years of 1967 and 1988.

This plan would always include upper and lower height restrictions and common property. The common property at ground level would always be required.

The Body Corporate would “own” the common property. And all titles under the Strata would share responsibility for keeping the Body Corporate running. This is why people living in apartments, townhomes and units may still refer to the “Body Corporate”.

In 1988 the Strata Titles Act was replaced by the Subdivision Act. This law aimed to modernise the definition and presentation of all new subdivisions.

This means that Strata Plans are now replaced by plans of subdivision.

You can clear up any confusion you may have with strata plans vs plan of subdivision here.

What Does the Subdivision Act Cover?

This Act was introduced by lawmakers to facilitate a broad range of functions including staged subdivisions and in-fill and greenfield subdivision.

It also covers multi-level building subdivisions, consolidation of titles and removal, variation and creations of easements.

The Owners Corporations Act

In 2006 the act was introduced as an amendment to the Subdivision Act. It meant that all Body Corporates created since 1988 were replaced by Owners Corporations.

There is no such thing as a Body Corporate anymore, it is all Owners Corporations. They essentially carry out the same functions though.

What is a Dual Occupancy Subdivision?

A dual occupancy development is when you build two or more separate properties on the same block of land. Or, it can mean building a whole new house next to or behind your existing home.

strata subdivision dual occupancy

It essentially means that you have two or more homes on one title of land. These will ultimately get subdivided in the future. This can be great for accommodating family members, like elderly relatives, or if you want to get into the rental market and let out one or more of the properties while living in another.

Still a little confused? Check out this trusty article titled what is a dual occupancy subdivision and/or property. It will get you flying straight!

Already have subdivision approval and need a builder? We’ve got you covered there too.

Check out this list of builders we’ve put together. It contains who we consider as Melbourne’s finest dual occupancy and townhouse builders.

What About My Subdivision?

Now that we’ve cleared up the confusion about Strata Plans and Strata title subdivision, you might be wondering if you’re able to subdivide your property.

You can do this to build side by side dual occupancy homes. You will definitely need a plan of subdivision to do this. Remember, this has replaced a Strata Plan.

The process begins with getting a land surveyor to complete a “re-establishing survey”. This basically documents your properties land dimensions.

From there your architect or draftsperson will design your development based on the dimensions determined in the survey. They will need to stick to all the relevant residential planning zone regulations. You will need to abide by council requirements too.

Once the local government has approved your design, you can then work with your surveyor to subdivide the properties based on your design.

Why Do a Dual Occupancy Subdivision?

There are a few reasons why a dual occupancy (dual occ in the sector lingo) is the way to go.

A plan of subdivision allows you to split your land into two or more parcels of land. These can then be sold off separately.

subdivision plan

So if you build two or more dwellings on your lot you can sell them both, or keep one for a rental investment. Or you can keep both, or live in one even!

You need to have this plan completed before the properties are built. This means you can sell them and settle off the plan once your project is complete. This means that you will see your profit sooner than if you put them on the market once they were complete.

On the other hand, if your plan of subdivision is delayed for whatever reason your payday will be delayed too!

A common pitfall of beginner property developers is to concentrate too much on the building part of the project.

Many people do not give adequate attention to the subdivision plans and processes. This is a vital part of the whole approach and needs the appropriate respect, care and attention.

It doesn’t matter how quick your build is completed or how nice it looks. You can’t see settlement with your buyers or see your money unless you complete your land subdivision and registration of titles.

This process takes time so try not to leave it until the last minute. Learn about the costs involved to subdivide your land here.

You can learn how to go about subdividing your land here.

Want to Build Your Wealth?

So there you go, strata subdivision dual occupancy explained.

Maybe you’re sitting on some land that you think is ripe for subdividing. Or you might want to get a foot in the door of a lucrative hustle.

If that sounds like you, check out our done for you development management service or leverage our property development consultants service. If there is an opportunity to help we would love to.

This is our bread and butter – helping regular folks make a big splash and a big profit.

If you have land with a mortgage and want to know if you can subdivide, check out this article.

Give us a call on 1300 799 277. We can provide a free, no-obligation initial conversation about how you can make your land work for you.