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Yer understanding the market is everything. I did see town houses (4 beds) go for $1.3mil in Box hill on the weekend...

I am now seeing real value in some areas where they re-build 1 for sale! That's right - Only 1! No town planning, neighbour objections, council and water authority contributions and the profit margins are similar. Classic example i saw was two blocks sell the same time of the year...

I would get in contact with a town planner. They can meet with you and discuss the feasibility of what your trying to achieve. I am assuming two won't be an issue - but you need to plan the dwelling to councils requirements