Subdivision FAQ: A Beginner’s Guide to Land Development in Victoria!

Swarup Dutta
Sep 15
4 min read

Swarup, Registered Planner and property developer — Swarup managed 250+ permits in Victoria. He subdivided his first home and developed other properties.

If you're thinking about property subdivision or venturing into land development in Victoria for the first time, you're in the right place. Subdivision can seem complicated—but with the right guidance, it's a manageable and potentially very rewarding process.

In this guide, we’ve answered the most common questions clients ask us about subdivision—from the basics to permits, timelines, and pitfalls—so you can move forward with clarity and confidence.

Who Are We?

At AuArchitecture, we specialise in helping everyday property owners and first-time developers bring their land potential to life. We are based in leafy Moonee Ponds with its mix of Victorian homes and contemporary architecture. But we are not restricted to this suburb alone-we offer our services across Victoria- from Sale to Geelong and Malvern, Sunshine and others in between!

Led by Swarup Dutta, a registered planner with over 15 years of experience, he has managed more than 250+ planning permits across Victoria—ranging from small backyard subdivisions to multi-lot developments.

Our team includes external consultants like Land surveyors and architect. Collectively we offer an end-to-end service:

· Site assessment

· Planning permits

· Town planning reports

· Design & architecture

· Subdivision coordination

· Title registration

· Council negotiations

Learn more about how we work: www.auarchitecture.com.au

What is Land Subdivision?

Subdivision is the process of legally dividing a single parcel of land into two or more lots—each with its own title. These new lots can then be developed, sold, or kept for future investment.

Common types include but not limited to:

Dual occupancy (two homes on one lot)
Backyard subdivisions- keep existing dwelling and subdivide the backyard
Multi-townhouse developments
Rural or industrial lot subdivisions
Strata titled apartments

Do I Need a Planning Permit?

In Victoria, you’ll need a planning permit from your local council before you can legally subdivide your land. Councils assess each application based on their planning scheme, zoning, and overlays.

You’ll also need to comply with specific planning provisions, like:

Clause 56 – Residential subdivision standards
Clause 55 – If you’re building dwellings as part of the application
Subdivision Act 1988 & Planning and Environment Act 1987

How Does the Subdivision Process Work?

Here’s a simplified overview:

Feasibility Check-High Level and Complimentary!

Swarup will assess your site—zoning, overlays, restrictions, services—to ensure it's suitable.
Concept Design

We design a subdivision layout that maximises potential while meeting council criteria.
Planning Permit Application

Our team prepares and lodges the application, including required reports.
Council Review & Negotiation

We handle all discussions with council, respond to RFIs, and address any concerns.
Engineering & Infrastructure

Once approved, we can coordinate surveyors, service connections, and drainage as required.
Statement of Compliance

Once all conditions are met, we obtain this final approval from council.
Title Registration

Your new lots are legally registered and issued titles via Land Use Victoria.

How Long Does It Take?

2-lot subdivision: 3–12 months
Multi-lot subdivision: 6-18+ months

Timelines vary based on complexity, council workload, and how quickly conditions are met.

What Does It Cost?

Subdivision costs depend on site size, zoning, and council requirements. Costs typically include:

Town planning & consultant reports
Surveyor & engineering services
Council fees and contributions
Infrastructure and service connections
Legal fees and title registration

Typical 2-lot subdivision: From ~$15,000–$25,000+ per lot (excluding construction).

We always provide a detailed fee estimate before we start.

What Can Complicate a Subdivision?

A few common challenges include:

Overlays: Heritage, bushfire, flood, environmental
Easements & Covenants: Can restrict building or access
Minimum Lot Size: Varies by council and zoning
Access Issues: Lack of street frontage, steep blocks
Neighbourhood Character Rules: Especially in heritage areas

That’s why early site assessment is crucial—and we do it for free.

Can I Subdivide My Backyard?

In many cases, yes!

Backyard or dual occupancy subdivisions are increasingly popular, especially in Melbourne’s middle-ring suburbs.

Key considerations include:

Minimum garden area
Driveway access
Parking and turning circles
Overlooking and overshadowing controls

We regularly help clients unlock equity in their land this way.

Suburban councils will often require the plans, elevations, shadow diagrams and other drawings of the proposed houses/dwelling/unit. In smaller lots you might need to build each approved dwelling and then subdivide.

What is SPEAR?

SPEAR is the Victorian government’s online platform for managing subdivisions and title applications. We in conjunction with the land surveyor use it to lodge plans, coordinate with councils, and register titles through Land Use Victoria.

You don’t need to worry about it—we handle the whole process for you.

How We Help You Succeed

As your planning and design partner, we: