Subdividing is more complex than it first seems.  It can be a lengthy and costly process, but equally rewarding and profitable if you have the right advice at the outset.

If you are considering subdividing your property, before you or your surveyor apply for the subdivision resource consent ensure you have spoken to us, particularly if there are going to be any areas for common use such as shared driveways or utilities.   Involving us early on will ensure that the subdivision process runs more smoothly, as we can often identify potential problems in advance and offer suggestions to remove or minimise these problems.  We may also be able to suggest ways in which value can be added to your subdivision, such as by the inclusion of height restrictions, land covenants and encumbrances.

If you are buying a section which is to be subdivided off a larger existing title, it is vital that you see us to fully discuss the draft contract before you sign it, and to ensure you understand the subdivision process.  Subdivisions often take many months to produce new titles and usually you will not be able to occupy an existing home, or start building your new home on the section until the new title has issued.    Purchasers are commonly required to pay a 10 percent deposit (which does not usually have any interest paid on it).  If the subdivision does not proceed, you want to make certain that the contract provides the deposit will be refunded in full.  It also needs to make it clear the date after which the purchaser may cancel the agreement if a new title has not been issued and to detail any specific representations which have been made to the purchaser (such as the utilities to be provided to the boundary, fencing arrangements, land covenants to be imposed etc).

So for subdivision advice that will save you headaches further down the track, contact Jodi Lett, Simon Wilton or Alan Pierce.