Developing land

[ej89]

Hey guys,
Long time reader, first time poster. I'm buying a couple lots of land off a friend and need some advice. The lands are currently zoned as rural but all the plans on the Growth centre website are showing that they will be developing and building in those areas if approval is given by land owners. I went to council today and they told me I could build on the land but the issue I would have is that it is not wired for telecommunications, energy and water, as well as sewerage. It's an absolute bargain buy even if I spend 150k developing the land. The question is what are the steps I would need to take to develop it or to see if the area will be developed further?

Let's say they choose not to develop the land and build new homes in that area, what do I do? Can I still get all those pipes and wires done or is it impossible to get the land developed without everyone else around doing that?

They told me worse case scenario would be I could still build but I'd have to use tanks for water and sewerage etc..

The Northwest growth centre have shown that my block and my land and a few streets around me are scheduled lands.. The area will most likely change its zoning like the surrounding areas have.

Is it worth just sitting on until rezoning anyway even if it can't be developed yet?

Positive is that the blocks are almost flat land with barely any trees on them..

p.s sorry if I posted this at the wrong place..

 

[tobe]

Have you any experience in development? How are you planning to afford the holding costs while you develop, before you sell?Why isnt your friend doing the development? Why isnt your friend selling them on the open market and realising an amazing profit?

If it looks too good to be true, it probably is....

 

[ej89]

Have you any experience in development? How are you planning to afford the holding costs while you develop, before you sell?Why isnt your friend doing the development? Why isnt your friend selling them on the open market and realising an amazing profit?

If it looks too good to be true, it probably is....

I don't have any experience in developing but I wouldn't mind offloading it to someone who can deal with it for me or to learn to do it all myself. I can afford the holding costs without issue. I can even hold the land til end of next year or year after before zoning gets changed and surrounding lots get developed.

My friend wants a quick sale and he knew I was in the market looking for some land so he's giving them to me at what they're worth.. Yes, nice people still exist. He bought a house and can't afford the holding costs at all unfortunately. He has a fair few people interested and knows he can get more money out of it but feels it would be a nice thing to get me to buy it and not some stranger.

I think worst case scenario is sell the land again. It has a couple of houses next to it but according to town planner they were probably built illegally haha If the place gets rezoned like it's planned to be then they'll probably double in price.

 

[thatbum]

Yeah this sort of thing shouldn't be attempted by beginners - or by anyone full stop by the sound of things.

It already sounds like a nightmare.