Zoning

Zoning

For many people the concept of property zoning is extremely confusing. Replete with jargonistic terms like approved land use, minimum lot size, transition zones, residential amenity, flood overlays and planning scheme amendments, property zoning is unquestionably complex. But, if you can unpack these terms you will discover an understanding of property zoning is critical when buying and selling real estate. This is because the zoning of land will affect what can be done to it.

What is zoning?

Zoning is a framework generally set out by state and territory governments and applied by local councils. In some states, local councils set their own planning schemes but most follow a framework set out by the state or the territory government.  Zoning dictates what can be built where and how. It regulates the pace and pattern of development, growth and the character of an area.

Zones

While restrictions, codes and processes vary between states, the main zones are:

1. Residential
2. Commercial
3. Industrial
4. Public

These zones contain many sub-categories but what they share is that they allocate land for specific uses. Knowing your zone will help you understand future changes to your local area. Don’t assume you have the same zone as your neighbours as they may be under a different zone or sub-category than you. For instance, a heritage listed home will have restrictions in place that affect proposed renovations. In this instance, you may need to find out what specific parts of the building you must conserve. There is also a zone termed mixed-use; this is a transition zone on the edge of the Victorian CBD. These outer areas tend to boom when a new industry is going to be generated or a new transport link is created.  The Australian film The Castle depicts some of the hardships that result from mixed-use residential/industrial zoning regulations and rules. 

Some Australian states have overlays that relate to heritage as well as requirements to mitigate flooding, bushfire, and other unexpected problems. It is important to have a clear view of what potential planning overlays apply to a property before committing. The reason for this is you may purchase land that is not usable for your planned project. It is a good idea to reach out to your local council for information you need about specific planning overlays.

Neighbouring surrounds

Knowing the zoning of a property is essential to any property transaction. While a house or a house and land package may be zoned residential, researching nearby zones is also important. If you are a residential purchaser you should be aware of the non-residential zones in your vicinity – and what industries and activities are allowed. You might find there are hazards and personal considerations you might not have factored into account. For instance, would you really want to live in close proximity to a very noisy 9 to 5 factory? Could you and your family tolerate being potentially exposed to industrial or other outputs? Is there a property near yours that is an abattoir? In general, does the area have a high crime rate?

If nearby land is zoned for a particular use, such as a specific type of development, like that of high-density housing, buyers can reasonably expect an apartment building to be built at some stage – even if it doesn’t exist at the time of purchase.

Other considerations

For those who are looking to buy land and sub-divide, zoning is key. The zone will dictate if sub-division is even possible, and if it is, what are the minimum lot sizes, density, the types of designs allowed and much more.

Rezoning – where a zone is changed to allow different and new uses – is a long, complex and expensive process. Rezoning can significantly increase the value of land, if, for example, it is rezoned from semi-rural to residential, allowing for greater residential development.

Do the research

Caution is the approach you should use. Especially the maxim buyer beware. To avoid unpleasant surprises, you do need to do your own independent research and not rely on marketing materials. You have to understand what applies to your zone.

For instance, the Local Property Team, located in Hope Island falls under the umbrella of Major Resorts, which is classified as precinct 1, residential zones (Santa Barbara and Boykamil Villages) which are precinct 2, while marine and waterfront industry zones (Hope Harbour) are in precinct 5. Hope Island is under the jurisdiction of the Gold Coast city council and overlaps with resort, tourism (precinct 6), as well as boating, residential and commercial living zones. The Queensland government has a helpful Know Your Zone information kit that can be accessed online at http://qld.gov.au/knowyourzone

Resources

You can research the zones that you are interested in here: https://planning.statedevelopment.qld.gov.au/planning-framework/plan-making/local-planning/plan-making-dashboard  This Queensland government web page takes you to a dashboard that tracks and displays information about local government plan-making processes across the state. The interactive tool displays the real-time status of planning processes, including: key dates, local planning scheme title, plan-making process description, roles and responsibilities of those involved. For instance, if I input the search term gold coast 13 notifications pertaining to zoning become available.

The dashboard includes information on all the plan-making processes undertaken since commencement of the Planning Act 2016 that have been lodged with the state government’s planning group. You can also find out what’s happening in your area by receiving alerts of new applications in your email for free https://www.planningalerts.org.au/  It is well worth your time to familiarise yourself with these tools as they will make you feel confident and more prepared to commit to a property if you know all of the relevant information. Local Property Team will happily assist you if you require further information on this important topic.