What is Subdividing

Subdividing of land is generally undertaken to make its development or sale easier. Land subdividing takes place by breaking down a large piece of land into two or more chunks and each one of them then has its own distinct title. In many countries subdividing has become popular in Greenfield, broad-acre and infill property development. Not only is it more profitable but it also serves a larger purpose of better development.

Subdividing cannot be done at the whim of a landowner, but has to be approved by the property laws governing the area. Without governmental approval no piece of land can be subdivided into plots. Owners interested in subdividing their property have to first provide a detailed subdivision plan and a planning application has to be submitted to the relevant government department, which then provides clearances on the basis of the land development and property acts.

Steps for Subdividing Land

  • Using a copy of the certificate of title make a rough plan about the proposed subdivision
  • Take the advice of the local council officer to check the application requirements and the planning steps that need to be taken. In some countries a governmental outfit like the Development Assessment Commission or DAC is in charge.
  • Prepare a formal plan with the help of an experienced licensed surveyor, or anyone who has prior experience in drafting the plan.
  • This formal approval copy along with the proposed plan must then be submitted in the Land Titles office within a period of one year.
  • Once legal compliance has been affirmed, new certificates of titles will be issued.

The whole process is likely to cost thousands of dollars, and therefore it is preferable to get professional assistance to avoid any hassles at any step.

Aspects to check before deciding to subdivide

The land development planning procedures vary from council to council. Therefore it is preferable to account for the following:

  • Planning regulations in the local area
  • Zoning restrictions on land
  • Minimum permissible size of plots
  • Sewage pipe layout and water availability
  • Open space requirements
  • Environmental issues
  • Hidden costs, if any, to be verified

Subdividing land has become common since land is increasingly becoming a scarce commodity, and more dwelling units are required for the gradually increasing population. Subdividing even after paying all the taxes, becomes a good way to book profits on investment made in land. However, following the correct procedures and regulations will ensure that the whole exercise ends fruitfully and the land gets transferred to the new owners of the subdivided land.

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