My investor client bought a property – what planning permits will they need and why?

Welcome to our blog series aimed at Buyer’s Agents and Advocates in Victoria. Throughout this series, we explore the critical role of town planning in identifying property potential, mitigating risk, and enhancing the strategic advice you provide to your clients. Navigating Victoria’s planning system can be complex, but understanding key planning considerations can be a significant asset in your service offering.

Further reading in this series:

Your investor client has successfully acquired a property in Victoria, perhaps identified through thorough due diligence or for its confirmed planning potential. Now they’re ready to move forward with their plans for the property. What regulatory steps are needed, specifically regarding planning permits from the local Council?

A planning permit is the formal document issued by the Responsible Authority (usually the local Council) that grants permission for a particular use or development to occur on a piece of land, ensuring it complies with the objectives and requirements of the Victorian Planning Scheme. Most significant changes to a property require one.

Common investor development projects that trigger the need for a planning permit:

Many typical investment strategies involve changes that require planning permission:

  • Creating Multiple Dwellings: This is a very common one. Whether building two dwellings on a block (a dual occupancy) or constructing a larger multi-unit development, a planning permit for the buildings themselves is almost always required. If the intent is to sell the dwellings separately, a planning permit for subdivision is also needed.
  • Building New Structures: Constructing a new commercial building, industrial warehouse, or even significant outbuildings in certain zones or overlays requires a planning permit.
  • Changing the Use of Land or Buildings: If your client intends to use a property for something different than its established or permitted use (e.g., converting a former retail shop into a restaurant, setting up a medical clinic in a residential area where it’s not permitted ‘as of right’, operating a specific type of business from a commercial building), a ‘Change of Use’ planning permit is often necessary.
  • Significant Alterations or Additions: While minor internal renovations usually don’t need a planning permit, significant external alterations, large extensions, or changes to building appearance, particularly in areas with design controls or on commercial properties, can trigger permit requirements.
  • Developments on Rural Land: Many activities on rural-zoned land, such as building a house, subdivision, or even certain agricultural practices like intensive animal husbandry, require planning permits.

Why do we need to go through the planning permit process?

The planning permit system exists to manage how land is used and developed in Victoria. It ensures that proposals meet the requirements of the Planning Scheme, consider the surrounding neighbourhood character, manage potential impacts (like traffic, noise, or overlooking), and align with broader strategic planning goals for the area. By going through the process, Council assesses that your client’s project is appropriate for its location.

A planning professional understands the specific triggers for permits within the Planning Scheme and the detailed information Council requires for assessment. They can prepare and manage the application on behalf of your client.

Need to engage a planning consultant for your investor development project?

AS Planning specialises in preparing, lodging, and managing planning permit applications for a wide range of residential, commercial, and rural investment projects across Victoria. We interpret the Planning Scheme requirements, prepare all necessary documentation (including coordinating specialist reports), liaise with Council and relevant authorities, and navigate the entire application process, aiming for efficient approval to help your clients proceed with their investment goals. Request a quote today.