If you’re looking to capitalise on the profit potential of your land by subdividing, it won’t be long before you come across the term ‘R-Code’. R-Code stands for ‘Residential Design Code’ and essentially controls the quantity and type of residence/s that can be built on a certain homesite.
Here we speak to General Manager of Summit Projects, Peter MacBean on what is an R-Code and what you need to know about understanding R-Codes.
In addition to controlling the quantity and type of residences that can be built on a homesite, R-Codes also determine a whole heap of other important aspects such as garage and patio design requirements, privacy considerations and so on.
There are a number of different R-Codes and R20, R30 and R40 are some of the more common ones. The numbers simply refer to how many residences you could fit on a 10,000m2 piece of land. You can use this information to figure out the minimum block size per residence of each R-Code or work with your building partner to help maximize the potential on your lot.
R-Codes are one reason why home sites of equal size can have vastly different value and appeal. Savvy investors will likely lean towards a home site with the most sub-divisible potential, meaning an R-Code that allows a greater number of dwellings to be built on it.
Council zoning (Perth) is constantly evolving, causing R-Codes to change over time. As a general rule, land closer to the Perth CBD is zoned R30 or R40, allowing for a greater density of dwellings compared to Perth’s outer suburbs (which are most commonly zoned R20). It’s important to check the code before you commit to a piece of land to ensure it can achieve what you are planning.
Understanding R-Codes isn’t essential if you have land that you are looking to subdivide. Your best bet is to find an experienced subdivision specialist who understands the necessary council zoning in Perth.
Experienced subdivision specialists will be able to guide you through the subdivision process, taking care of everything from planning and council approvals to building residences that deliver the ultimate return on investment. Put your builder to the test and make them find the best solution for you so that you can enjoy the best returns possible.
As the most experienced development team in WA, Summit Projects build this experience into each and every development. Speak to them today!
Disclaimer: The information within this article is general information only and it does not constitute advice or recommendation. It does not take into account your financial situation, investment objectives or personal circumstances. Before making a decision about developing your property, you should seek independent financial, legal and taxation advice.