10 Questions every Victorian developer must ask

10 Critical Questions Every Victorian Landowner Must Answer Before Developing a Dual Occupancy

Dual occupancy development can unlock great value from your property — but it’s also a complex journey through planning rules, council requirements, and site limitations. Before you invest serious time or money, make sure you can confidently answer these ten critical questions. They’ll help you uncover hidden risks early and position your project for council approval.

1. Title Audit — The Hidden Killers

Before you consider design concepts or planning permits, start with your property title. Hidden restrictions here can completely stop your project.

• Covenants: Check if your title includes a “single dwelling” covenant. This is common in 1950s–70s estates and prohibits more than one dwelling on the lot — an instant deal-breaker for dual occupancy.

• Section 173 Agreements: Is there a registered agreement with council that limits development, subdivision, or building types? These can be binding and difficult to remove. These often appear in new Building Estates.

• Easements: Check for a drainage or sewerage easement.

  
  

2. Zoning & Overlays — The Rules of Engagement

Zoning sets the foundation for what you can and can’t do. Most residential zones — such as GRZ (General Residential), RGZ (Residential Growth), and NRZ (Neighbourhood Residential) — can support dual occupancy, subject to council assessment. However, LDRZ (Low Density Residential Zone) and Green Wedge Zones are much more restrictive and will generally not allow a second dwelling unless certain conditions are met.

Equally important are overlays — the often-overlooked “fine print” of town planning.

• Schedules: Some councils include custom requirements in their zoning schedules that override standard ResCode provisions, such as larger minimum setbacks or reduced building heights.

• Overlays (VPO, SLO, HO): Vegetation Protection, Significant Landscape, and Heritage Overlays add another layer of assessment. They can protect trees (even non-native ones), require permits for removal, or demand designs that respect heritage character.

Ignoring these early can cost months of redesign later.

3. Mandatory Garden Area — The Deal Breaker

Under state planning rules, all residential lots over 400 m² must provide a minimum “Garden Area” — between 25% and 35% depending on lot size. This rule isn’t flexible. Even being one percent short renders, a redesign.

4. Site Specifics — The Physical Constraints

Each block has its own quirks. These physical constraints can dramatically shape your layout and sometimes determine whether the project is feasible.

• Significant Trees: A mature tree within 3 metres of the proposed building (even on a neighbouring lot) triggers a Tree Protection Zone (TPZ). This area is effectively “no-build” and can shrink your usable footprint.

• Crossover Location: A second driveway might sound simple but can be refused if a street tree, power pole, or bus stop blocks access.

• Driveway Access: Retaining the existing home? You’ll need at least a 3 metre-wide clear path to the rear dwelling.

• Orientation: North-facing rear yards are ideal, giving both dwellings natural light and energy efficiency. Poor orientation often leads to design compromises or planning objections.

• Solar Overshadowing: Councils strongly oppose new dwellings that overshadow existing solar panels on neighbouring properties. Even partial overshadowing can trigger a refusal, so ensure your design respects these sunlight rights.

  
  

5. Neighbourhood Character — The Subjective Test

This is where compliant designs can still come unstuck. Even if your proposal ticks every ResCode box, council planners will assess whether it fits the “neighbourhood character” — a somewhat subjective test. Councils tend to enforce this in Heritage affected land

• Precedent: Look around your immediate area (three to five houses either side and opposite). If you’re the first dual occupancy in that pocket, expect extra scrutiny and neighbour objections.

• Streetscape Response: Design elements such as roof form, materials, façade articulation, and landscaping must complement existing homes. A boxy, ultra-modern duplex in a street of 1960s brick veneers rarely passes unchallenged.

• Fortunately, the new planning code for Low Rise development has made the old Neighbourhood character test less of an issue

  
  

6. Infrastructure & Services — The Practicalities

Think beyond planning rules — your project must connect safely and legally to essential services.

• Stormwater Drainage: Does your fall of land direct water to the street, or will you need easement connections or pumping?

• Sewer & Water: Check nearest connection points early. Relocating or extending infrastructure can cost tens of thousands.

• Power & NBN: Confirm capacity and location of assets — overhead or underground. Moving power lines or poles can delay construction.

7. Access & Parking — The Living Essentials

Each new dwelling must provide adequate car parking — typically one space for a one- or two-bedroom unit, and two spaces for three bedrooms or more. Ensure access driveways meet width and gradient requirements. If your block is narrow, tandem parking or turning circles may eat into valuable private open space. If the block has a steep slope, designing driveways can be more challenging.

8. Privacy & Overlooking — The Neighbour Test

Dual occupancy planning is as much about keeping neighbours happy as meeting regulations.

Windows with a direct line of sight into neighbouring bedrooms or private open space must be screened or offset. High sill heights, obscure glass or privacy screens are common fixes, but they affect natural light — so factor these into your design early.

9. Bushfire or Flood Risk — The Safety Overlay

If your site is affected by a Bushfire Management Overlay (BMO) or Land Subject to Inundation Overlay (LSIO), you’ll need specialist reports. Bushfire construction standards can affect materials and setbacks, while flood overlays may limit floor levels or prohibit development altogether.

10. Financial Feasibility — The Numbers Game

Finally — can the numbers stack up? Even if your site is perfect for a dual occupancy, ensure the end value, construction costs, and timelines make sense. Factor in infrastructure contributions, permit costs, demolition, professional fees, and potential delays. Running a feasibility study early can prevent optimism bias and ensure your project delivers a genuine return. Contact us for a solid Feasibility before any drawings are made.

The Bottom Line

Dual occupancy development in Victoria can be highly profitable — but only when approached with careful due diligence. Understanding your property’s constraints, planning framework, and council expectations will save time, money, and stress.