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The 2 Subdivision Killers Every Property Developer Must Know

  • Writer: Swarup Dutta
    Swarup Dutta
  • 6 days ago
  • 1 min read
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When it comes to maximizing property development yield, two “killers” consistently trip up even experienced developers. Ignoring them can drastically reduce the number of units you can fit on a site. Let’s break them down.


1. Garden Area Requirements


Victorian councils require a minimum garden or open space for new subdivisions. On large lots, this often comes out to around 35% of the site.


Why it matters:

  • A 35% garden requirement can reduce the buildable area significantly.

  • For large lots, this can mean losing space for one or more extra units—directly affecting your profitability.


Tip for developers:

  • Always check the local planning scheme before purchasing.

  • Consider smart landscaping solutions to satisfy garden requirements without eating too much into your buildable footprint.


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2. Canopy Tree Requirements


All Victorian councils also mandate the retention or planting of canopy trees, covering 10% of large sites (1000sqm and larger).


Why it matters:

  • Even on lots 1sqm over the 1000 sqm, this 10% rule applies.

  • For larger developments, canopy trees can reduce the number of units you can fit or require creative placement to avoid conflicts with buildings.


Tip for developers:

  • Early consultation with a landscape architect can help integrate trees into your design without sacrificing yield.

  • Explore options for smaller native species or creative positioning to maintain compliance and appeal.


Key Takeaway


These two factors—garden areas and canopy trees—are non-negotiable in all councils but often underestimated. Proper planning early in the development process can increase your final yield.

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