06 — Subdivision
Subdivision in Melbourne — Process, Rules & Cost
Subdivision turns one title into two or more, so each lot can be sold or financed separately. It is the step that converts a dual occupancy or townhouse development into saleable assets — and in Victoria it has its own permit, plan and certification process.
The Subdivision Process in Victoria
Subdivision in Victoria runs through three clear stages. First, a planning permit for the subdivision under Clause 56, assessed by the council. Second, a plan of subdivision prepared by a licensed surveyor and certified. Third, registration at Land Use Victoria, which creates the new titles.
If dwellings are part of the same project, the building permit for the dwellings runs alongside the subdivision — the two approvals are linked but separate.
Council Requirements That Decide Feasibility
The zone schedule sets the minimum lot size for each new lot — the single most important number for subdivision feasibility. Council also requires practical access for the rear lot, adequate car parking, services to each lot, and a common driveway where lots share access.
Overlays add extra steps: heritage, vegetation and flood overlays can require additional information or refuse subdivision entirely in sensitive areas.
- Minimum lot size from the zone schedule (e.g. 250–350 m² per lot in many NRZ/GRZ areas)
- Access and driveway design for rear lots, including turning circles
- Services — sewer, water, electricity and drainage to every new lot
- Garden area and landscape requirements per the schedule
- Council fees, developer contributions and certification costs
What Subdivision Costs
Subdivision costs sit on top of construction: surveyor's plan of subdivision, council application fees, certification, Land Use Victoria registration, and any works such as a new crossover or services extension. Your feasibility report itemises the planning and subdivision components so the all-in cost is clear before you commit.
Doing It in the Right Order
The common mistake is designing before checking the subdivision rules. Run the feasibility first: if the zone schedule will not produce two lots of the required minimum size, no amount of design fixes it. The free check shows you the schedule for your address in seconds.
Frequently Asked Questions
Do I need a planning permit to subdivide in Melbourne?
Yes, in almost every case. Residential subdivision is assessed under Clause 56 and requires a permit from the council before the plan can be certified.
How long does subdivision take in Victoria?
The planning permit commonly takes 60–90 business days, followed by plan certification and registration. The whole process can run 6–12 months depending on the council and complexity.
What is the minimum lot size for subdivision in my council?
It is set by the schedule to the zone that applies to your specific address — there is no single Melbourne figure. The free feasibility check reads the schedule for you.
Can I subdivide first and build later?
Yes, you can hold a certified subdivision and build on each lot separately, but each dwelling still needs its own building permit and planning permit if triggered. Most developers build first and register the subdivision at the end so the finished dwellings sell as separate titles.
04 — Start a Project
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