I think what Deltaberry was referring to in terms of it being illegal is that often you need planning approval to rent out an apartment on a short stay basis as it carries a different land use classification. Technically apartments are approved as permanent residential, and so if you are renting them out on a short term basis without the necessary Council approval to do so, it would be illegal. I'm sure there are that many apartments in the CBD doing this that the Council doesn't have the resources to enforce it so turns a blind eye. And tbh, who really cares?
Melbourne cbd growth
- Thread starter wll6568
- Start date
I think what Deltaberry was referring to in terms of it being illegal is that often you need planning approval to rent out an apartment on a short stay basis as it carries a different land use classification. Technically apartments are approved as permanent residential, and so if you are renting them out on a short term basis without the necessary Council approval to do so, it would be illegal. I'm sure there are that many apartments in the CBD doing this that the Council doesn't have the resources to enforce it so turns a blind eye. And tbh, who really cares?
The OC rules for my Docklands tower ban rentals of less than three months duration. I used to own an apartment in a CBD tower and complaints about the behaviour of short-stay occupants were an AGM regular.
In Melbourne there is litigation in progress which may make short-stay occupation subject to planning control, see http://www.docklandsnews.com.au/editions/article/council-to-appeal-short-stay-decision_8827/
never heard of this planning rules. there are corporate leases that go month to month all the time especially in places like eureka and freshwater place where corporates like microsoft pay 1-2K a week for an apartment to rent short term to their staff.
unless it is in the OC rules that is meant to be attached to the s32 when you bought the place, i have never heard a ban on short term lease.
unless it is in the OC rules that is meant to be attached to the s32 when you bought the place, i have never heard a ban on short term lease.
or maybe it wont, seems like the supreme court didn't agree.
But anyway what is 'short stay'?
Is it a day, a week, a month, 3months, six months a year?
From my point of view anything less than a month would not be viable due to leasing costs. To justify a month I would need a significant increase in rent, somewhere of the order of 50% higher.
From history my 'short stay' accommodation distribution curve would be something like:
5% Two Months
25% Three months
70% Six months
30% one year
On another note: fully furnished apartments work best when the economy is strong. In the current economic environment I would not be strongly encouraging it.
Any situation where you're not a tenant (as legally defined)?
Something in Glen Eira council would be good, as the council restricts most of its area from development project.
Off the plan will be great strategy if you buy it at the current price and the property price is going up. You can put 5% deposit, or using bank guarantee, enjoy the capital gain with small outlay. Stamp duty is normally less than $4000, a lot of saving compared to if you buy completed one.
I'm selling a range of off the plan properties, if you are interested
Too many allegations where I'm taken out of context, so I won't bother respoinding to them.
For your interest, I invest alot in CBD, probably 70% of CBD streets. And none of them are apartments.
Correct.
And you're probably right. No one really cares until it catches fire or one of your tenant trips and falls and claims $400k off you, and you try to claim insurance.
