The most common question for a first time subdivider is “how much does a subdivision cost?”

Unfortunately there is no standard general fee and thus why budding developers asking this question of others (including those who have previously subdivided) obtain large varying estimates which adds to confusion.

It is not possible to provide a subdivision cost estimate without knowing the address of the property, how the property is intended to be subdivided and also at the very least undertaking a desktop assessment of the site constraints and requirements.

Each Local Government also has varying requirements such as developer infrastructure contributions, storm water drainage, soil types / geotechnical reports, battleaxe access way construction and site levels. Requirements can also vary if an existing dwelling is being retained. As a result project costs can vary considerably for the identical type of subdivision depending on which Local Government a property is located.

A number of subcontractors will need to be engaged to assist with completing the developers subdivision conditions and their quotes will vary from job-to-job as each site will have different constraints. Therefore any overall costing estimate is very much just that i.e. an ‘estimate’ so a contingency component is therefore essential.

Some subdividers also have the capacity/expertise to handle some of the developers subdivision conditions themselves thus reducing the number of required contractors which can result in some cost savings.

GENERAL COSTINGS

  • Licensed Surveyor including subdivision application fees & various lodgement fees ~$10,000 for a 2 lot subdivision (add ~$600 per extra lot).
  • Water Corporation ‘headworks’ contribution ~$7,000 per additional lot (therefore ~$7,000 for a 2 lot subdivision and ~14,000 for a 3 lot subdivision).
  • Western Power fees have varied greatly in recent years and there is some inconsistency. Currently average fees are $2,331 per additional lot plus a $500 application fee (therefore ~2,800 for a 2 lot subdivision and ~$5,200 for a 3 lot subdivision).
  • Application for new Titles ~1,000 inc GST (includes lodging fees).

OTHER COMMON COSTINGS CHECKLIST

  • House demolition ~$17,000-$18,000 inc GST (includes service disconnections and application fee).
  • Electrician to install Site Main Distribution Board (required for 3 lot or more Survey Strata subdivisions or in 2 lot Survey Strata subdivisions where distance from pillar to rear lot is >30m) ~$1,100 inc GST
  • Licensed plumber sewer works (cost varies depending on length of run-ins and whether undertaking Survey Strata or Green Title as works differ)
  • Removal of redundant crossover (requires re-instatement of kerb and potentially Council footpath).
  • Construction of new crossover.
  • Construction of access way to rear lot for house-behind-house subdivisions. Some Local Governments are happy with road base, whereas others requires full construction including stormwater drainage and others will accept a bond or legal agreement. For Local Governments that require full battle-axe access way construction it is recommended that all future essential services are installed for rear lots prior to driveway construction which adds further costs but will assist with constructed access way not needing to be ripped up to retrofit services.
  • Geotechnical report and/or compaction test certificate. 
  • Stormwater drainage design and installation.
  • Site works (cut / fill), retaining (generally results in removal of perimeter fencing and install new fencing).
  • The WAPC is currently preparing requirements for NBN which will increase subdivision costs.
  • Removal of septic tanks and leach drains
  • Project Manager costs.
  • Preparation of Notifications and/or Restrictive Covenants (Landgate lodgement fees applies).
  • Bushfire Attack Level (BAL) Assessment.
  • Water Corporation sewer junction cut-in fee.
  • Vegetation removal.
  • Unit entitlement fee (applies to all Survey Strata’s).
  • Town planning justification submission for applications seeking variations or potentially troublesome.

EXPENSES ONLY WHERE DWELLING TO BE RETAINED

  • Lockable storage area (garden shed). Only for Survey Strata’s with Common Property.
  • Courtyard fencing (where it can’t be accommodated behind dwelling to be retained).
  • Water meter (and internal water line) relocation.
  • New clothesline for existing dwelling.
  • Modify reticulation to suit new subdivision boundaries.
  • Intrusion easement to protect encroaching eaves/gutters.
  • New soak wells.
  • Upgrade requirements for existing dwelling to be retained.
  • Construction of Outdoor Living Area / courtyard.
  • Construction of new hardstand (concrete or brick paving) for car parking where original dwelling be retained and car parking being relocated from side of house to front of house.
  • Fencing (not a subdivision requirement however new internal fences typically installed in battleaxe subdivision where existing dwelling remaining on front lot) ~$80 linear metre.
  • Remove side garage or modify building to be retained to enable access to rear lot.
  • Modify eaves/gutters for existing dwelling to be retained in battle-axe configuration where it encroaches into access way for rear lot.
  • Electrician to connect new power dome (pillar) to existing dwelling (overhead to underground conversion).
  • Removal of sheds / structures / pool in rear lot (where house being retained on front lot). Some outbuildings may be asbestos (can only be removed by accredited contractor) or sheds may be located on concrete pads which adds to removal costs.

LESS FREQUENT EXPENSES

Civil Engineer designed sewer and/or water mains extension. Local Development Plan. Fire Management Plan. Acoustic report. Public Open Space contributions. Construction of Right of Way at rear of property. Legal agreements. Developer infrastructure contributions. Unit designs (recommended for irregular shaped lots).

Because of the considerable number of potential costing in the checklist we have prepared a costing estimate for some different types of subdivisions examples as a guide.

EXAMPLE 1: TWO LOT SIDE-BY-SIDE GREEN TITLE SUBDIVISION

Surveyor & Application / Lodgement Fees $10,000
New Titles Application / Lodgement Fees $1,000
Water Corporation Headworks Contribution $7,000
Western Power Dome (Pillar) $3,000
Water Corp Sewer Junction Cut-In Fee $500
Plumber to Install New Junction $2,500
House Demolition / Site Clearing $18,000
Contingency $1,500
   
TOTAL $43,500

 

Note: there are many potential costs in the checklist that have not been included in the costings summary. For instance some Councils require redundant crossovers to be removed while others don’t. Proximity to bush land and major roads is not known as hypothetical example.

EXAMPLE 2: TWO LOT HOUSE-BEHIND-HOUSE SURVEY STRATA SUBDIVISION WITH EXISTNG DWELLNG TO BE RETAINED.

Surveyor & Application / Lodgement Fees $10,000
New Titles Application / Lodgement Fees $1,000
Water Corporation Headworks Contribution $7,000
Western Power Dome (Pillar) $3,000
Electrician to Connect Existing Dwelling to new Pillar $2,000
Plumber to Provide Sewer Connection Point & Re-Align Internal Sewer $2,000
Removal of Structures in Rear Lot $5,000
New Car Parking for Existing Dwelling $6,000
New Garden Shed $500
Fencing Behind Dwelling to Separate Lots $2,500
Upgrade Bitumen Crossover to Concrete $3,500
New Soakwells for Existing Dwelling to Prevent Overflow on to New Lot $1,000
New Brick Paving at Rear of House to Suit New Boundary $3,500
New Clothesline Attached to Rear Wall of Front Dwelling $500
Contingency $3,000
   
TOTAL $50,500

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