What types of blocks are eligible?
Owners of RZ1 blocks can Unit Title secondary residences on the block, provided the block has a minimum size of 800m2 and one dwelling has a maximum size of 120m2 (excl. the garage). This means that the secondary residence can be sold or rented separate to the primary residence.
QAID: 877
What's the difference between Unit Title and Sub-Division?
Unit titling has one single block with separate units which can be leased and sold separately from one another. Therefore, when sold or rented, a single block is divided into units that share ownership of common land (e.g. driveways, landscaping, to the midpoint of any adjoining wall).
The new legislation does not allow sub-division of the block to create an additional block (two separate blocks as shown above.).
QAID: 878
What costs are involved to unit title?
Cost to vary a lease
If varying a crown lease to increase the number of dwellings permitted on the land the cost of the variation can be calculated in three different ways. Either, through payment of 25% of the added value to the block, through a flat payment of $40,000 per dwelling (if there was no specified number of dwellings on the crown lease) or calculated by increased number of dwellings × additional dwelling amount. The calculated cost varies drastically based on locality, anywhere from $60,000 - $300,000.
Source: Planning Act 2023, s331-2, Schedule 1 and 2
Survey cost:
Surveys must be completed to determine the elements of the property, and the energy and water supply, this costs approximately $1,100 - $2,500 but depends entirely on your property.
DA cost % amount
To lodge a development application, the expected cost is dependent on the cost of development.
Cost to title:
The expected cost to unit title is approximately $2,500-$3,000.
Source: Unit Titles (Fees) Determination 2023, 1.1
Sale of the property:
Stamp duty (otherwise referred to as Conveyance duty) - From 27 November 2023 to 30 June 2026, the ACT Government is offering a duty exemption for the first transfer of unit titled properties on RZ1 blocks with a dutiable value of $800,000 or less that have been newly subdivided under the Unit Titles Act 2001.
Eligibility requirements include:
· the RZ1 block is subdivided under unit title on or after 27 November 2023;
· the transaction must be the first transfer of the RZ1 unit (being either of the units on the block) after registration of the unit plan for the property;
· contracts must be signed and exchanged on or after 27 November 2023; and the dutiable value of the unit must be $800,000 or less.
Source: <https://www.revenue.act.gov.au/home-buyer-assistance/rz1-unit-duty-exemption-scheme>.
QAID: 879
What steps need to be taken if I do want dual occupancy?
1. Crown lease – The crown lease must allow for multi-unit titling, if the lease does not allow multi-unit titling a Crown Lease Variation must be lodged.
2. Survey of the property
3. Plans for the new dwelling
4. DA Approval
5. Engage a Unit title assessor (can be the lessee, a developer or a solicitor on behalf of the lessee)
- Applicant must provide in writing:
- Details of the parcel of land to be sub-divided
- Details of who is applying
- Class of units A or B, staged or un-staged
- Commencement and completion dates
- Relevant DA approval
- A signature
6. Submit the Unit title application to EPSDD in person or by post
7. Register the title at Land Titles
QAID: 880
Do we need all separate sewer connections or can we tie in from the existing sewer connection?
Each leased premises (residence and land) must be separately serviced with dedicated connections to the Icon Water networks in accordance with the principles shown in Figure 29.
For dual occupancy (if subdivided), there must be - two independent connections to the water network (one for each dwelling). Each connection must be fitted with an Icon Water meter; and - one shared connection to the sewer network.
How do I know what the Lease Variation Charges are for my suburb?
The Lease Variation Charges are dependent on suburb per the Planning (Lease Variation Charges) Determination 2023 in Table 2 of Schedule 2.
To update your Crown lease to 'specify the number of dwellings', the LVC is determined under Schedule 1 of the Determination. This allows for unit titling, where the Crown lease doesn't already specify the number of units.
Fees if you want to vary your Crown lease to:
- increase the number of residential dwellings allowed in the Crown lease. See Schedule 2 of the Determination.
- Increase the maximum gross floor area (GFA) of a building on the land under a commercial or industrial lease. See Schedule 3 of the Determination.
The schedules can be found through this link: https://www.legislation.act.gov.au/di/2023-278/Current
QAID: 882
When do I need to pay the lease variation fees?
Once the Territory Planning Authority (the authority) gives consent to change the Crown Lease.
After the DA is approved and the Lease Variation Charge is calculated, you will get a Notice of Assessment if you're the applicant or lessee. The Notice of Assessment includes the charges to vary the Crown lease. The Notice also gives payment options and provides options to review the decision.
QAID: 883
Can we build then pay the LVC?
Generally, no. The Lease Variation charge is required before the Crown Lease is varied. However, if the payment of the lease variation charge is over $50,000 it can be deferred through the Planning and Development (Lease Variation Charge Deferred Payment Scheme). Deferring payment of the LVC does incur interest and the payment must be made based on the earlier of:
- The Certificate of Occupancy being issued
- The end of the four-year period from the day the LVC was issued, or
- The settlement date should the property be sold.
QAID: 884
Is there a minimum street frontage needed?
The front setback of the property needs to comply with multi-unit or dual occupancy standards.
Residential Zone Technical Specifications: https://www.legislation.act.gov.au/View/ni/2024-145/current/PDF/2024-145.PDF
QAID: 886
If you don't want separate water metering is that an option and how does that work?
If both properties are separately Unit Titled, then only one property would require a water meter for the block.
This would have to be noted in the referral to entities.
Note: You can only have joint servicing if there is a single lease (which is the case if the properties are separately Unit Titled, but not if there has been subdivision.) Separate units built from 1 July 2025 must be independently metered.
QAID: 887
Can you provide a DA timeline?
The time for DAs, or Development Applications depend somewhat on the type of work planned and how complex the development is. Generally, you can expect the DA process to take 6 months.
Preparation of DA documents – up to 1 month depending on whether pre-application advice is sought.
Initial Check of Document completeness – 10-15 working days.
DA Lodgement (including Public Notification, entity referral, assessment by the Territory Planning Authority and pre-decision advice.) - 90 working day statutory timeframe.
https://www.planning.act.gov.au/applications-and-assessments/development-applications
QAID: 888
What if we can’t get a second driveway?
In order to be eligible to separately unit title, the second dwelling must comply with the ACT standards.
If an internal driveway is not possible, that is not an issue. There is no assessment requirement for a second driveway to be installed if there is not space. As the Residential Zone Policy’s outcome of
‘Vehicle and bicycle parking, access and egress sufficiently caters for the development while permitting safe and legible movement for all users (including pedestrians) and minimising visual impacts from the street or public space. This includes consideration of parking dimensions, the number of spaces provided, vehicle manoeuvrability and access routes’
Therefore, in the development application the outcome of suitable access to parking can be met even if you cannot have a secondary driveway on the property.
Source: Residential Zone Technical Specifications s25. https://www.legislation.act.gov.au/View/ni/2024-145/current/PDF/2024-145.PDF
QAID: 889
If the existing home is 100sqm, can we make the new unit title bigger than 120sqm?
If it is the intention to separately unit title (under the Unit Titles Act 2001), in accordance with the Subdivision Policy, dual occupancy development is permitted on a standard block that is a minimum of 800m2 and where one dwelling has a maximum dwelling size of 120m2. Note - For the purpose of this requirement, dwelling size is the floor area measured to the outside face of external walls (including internal walls between the living areas and garage) but excludes the garage.
If an existing dwelling does not exceed the 120m2 limitation, the second house can be built larger, provided it still meets the mandatory assessment requirements in the Residential Zones Policy (i.e. site coverage, number of storeys, etc).
https://legislation.act.gov.au/View/a/2001-16/current/html/2001-16.html
QAID: 890
If you opt for the 75% of the change value how is that assessed – can get analysis on both then opt?
A DA for a section 332 non-standard chargeable variation (the variation which is charged at 75% of the change value) must be supported by a full valuation report.
You can ask an accredited valuer to help with this in line with the Act. They also need to give you a valuation certificate that identifies the V1 and V2 values.
The accredited valuer's assessment will help you estimate the amount of LVC you need to pay.
QAID: 891
How much should I expect to pay for the Lease Variation Charge if my Crown Lease does not specify how many dwellings?
A Crown lease purpose clause in this form,
2(c) To use the land for residential purposes only;
Without a qualifying clause, means the maximum number of dwellings is not limited by the Crown lease. You need to specify the number of dwellings to separately Unit Title, the lease variation is codified under Schedule 1 of the Planning (Lease Variation Charges) Determination 2024. This means that you pay a flat fee of $43,000 for each dwelling.
QAID: 906
I am varying my lease to increase the number of dwellings, but my suburb is not listed, how much can I expect to pay?
If your suburb is very new and therefore not listed in the legislation, the Crown lease variation is considered a s332 non-standard variation.
A DA for a section 332 non-standard chargeable variation (the variation which is charged at 75% of the change value) must be supported by a full valuation report.
You can ask an accredited valuer to help with this in line with the Act. They also need to give you a valuation certificate that identifies the V1 and V2 values.
The accredited valuer's assessment will help you estimate the amount of LVC you need to pay.
QAID: 907
It’s been explained to us that that we need to pay the lease variation charge per unit/dwelling. So, that means we must pay for our 40-year-old house and the new one we are building, is that right?
It depends on what the lease permits. Advisory Note 11 working out Crown lease maximum number of dwellings assists you to identify which schedule you will fall into of the instrument we use to calculate the lease variation charge. The current instrument is at Planning (Lease Variation Charges) Determination 2024 | Disallowable instruments (act.gov.au). If the LVC is calculated under schedule 1, it is for the total number of dwellings, including the existing dwelling/s. If it is calculated under schedule 2 it for the additional number of dwellings above what is already permitted by the lease at the rate that matches the total number of dwellings that the lease will permit post variation.
The disallowable instrument that is in place at the time of decision will be used to determine the lease variation charge.
https://www.legislation.act.gov.au/di/2024-184/
QAID: 892
If we have a courtyard that is surrounded by three walls will this contribute to the 45% site coverage?
No, if the courtyard is not roofed then it will not contribute to site coverage calculations.
Site coverage does not include unroofed structures including decks, terraces, pergolas, patio, swimming pool, awnings, eaves and the like, other hard surface treatments including retaining walls and driveways.
Source: Working out gross floor area and site coverage Advisory Note 08 Territory Planning Authority Dec 2023
QAID: 893
We are at the beginning of the process, and we want to know if we are better off paying per unit or better paying of a % of the changed value of the UV. How can we find out whats better for us? Can you explain the process of determining the changed value of the blocks/units before we decide?
The amount you are likely to pay varies on what your current crown lease states.
Section 332 non-standard chargeable variation is calculated using the formula in the Planning Act 2023.
LVC = (V1 - V2) x 75% Where: V1 = After Value and V2 = Before Value.
When working out the V1 and V2 values, don't account for an improvement on the land comprised in the lease. The charge is based on the added value attributed to the lease by the variation.
A DA for a section 332 non-standard chargeable variation must be supported by a full valuation report. You can ask an accredited valuer to help with this in line with the Act. They also need to give you a valuation certificate that identifies the V1 and V2 values.
The accredited valuer's assessment will help you estimate the amount of LVC you need to pay. Please note the final amount of LVC payable is not determined until a DA is approved.
QAID: 894
We were told that we might not have to pay for both units that being our existing home and the new one we are going to build. That there is something in the crownlease that means we only need to pay the fees for the new unit?
Yes, in the lease there should be a clause that states the purpose of the property and how many dwellings are permitted.
This advisory note from the ACT https://www.planning.act.gov.au/__data/assets/pdf_file/0011/2339246/an11-working-out-crown-lease-maximum-number-of-dwellings.pdf gives examples of how the clause in your lease will affect the amount that the lease variation charge is.
If the LVC is calculated under schedule 1, it is for the total number of dwellings, including the existing dwelling/s. If it is calculated under schedule 2 it is for the additional number of dwellings above what is already permitted by the lease at the rate that matches the total number of dwellings that the lease will permit post variation.
QAID: 895
We had a secondary dwelling built by your company. If we meet the rules, can we please unit title our block and sell the new one?
Yes it can.
A secondary residence is not permitted to be subdivided under the Unit Titles Act 2001.
If meeting the requirements for RZ1 subdivision ((under the unit titles act) the secondary residence will require a DA to change it to a dual occupancy development, which will require a full set of drawings and a development outcomes report addressing the mandatory requirements of the Residential Zones Policy and Subdivision Policy. Please note, a lease variation may be required to permit the second dwelling, if this is the case, the Lease Variation Policy will require a response as well.
Source: s7(a) of the Subdivision Policy https://www.legislation.act.gov.au/ni/2023-540/Current
QAID: 896
Do we need separate water metering? Or can we have the same meter and have a sub-meter?
If you ever plan to subdivide the block itself then you must have independent connections to the water network
If you plan on having the two dwellings as separate units (unit titling) then you do not need to have two separate metres as you are operating on the one lease.
Note: separate units built from 1 July 2025 must be independently metered.
https://www.iconwater.com.au/Developers-and-Renovators/water-meters/changes-water-connections-new-unit-developments
QAID: 897
So we want to do this and we know that we need to pay the LVC, which is $40k per block but we want to know when that money is due. Do we need to pay this before building or after?
Once the Territory Planning Authority (the authority) gives consent to change the Crown Lease then the charge will be issued
After the DA is approved and the Lease Variation Charge is calculated, you will get a Notice of Assessment if you're the applicant or lessee. The Notice of Assessment includes the charges to vary the Crown lease. The Notice also gives payment options and provides options to review the decision.
The crown lease will not be varied until the amount is paid; therefore, work cannot commence before payment to vary the lease. Typically Lease Variation Charges are paid at the same time as Development Applications fees following the Completeness Check of documents.
QAID: 898
My crown lease has less than 50 years on the remaining term, can I still Unit Title?
When unit titling, the remaining term of the parcel’s Crown lease is to be at least 50 years. A further Crown lease can be applied for, if required.
https://www.planning.act.gov.au/community/buy/leasing-and-titles/crown-leases
QAID: 900
If the lease does not specify how many dwellings are on the block, do they need to be limited to Unit Title?
Yes, under the Unit Titles Act 2001 to Unit Title the properties separately, the number of dwellings must be limited.
This has been confirmed through communication with ACT Planning DA Leasing.
https://www.legislation.act.gov.au/View/a/2001-16/current/html/2001-16.html
QAID: 899
Can I apply to have a second, separate, driveway?
A second driveway and kerb crossing over the verge may be permitted if the following criteria can be met.
- Forward entry to roads carrying greater than 3,000 vehicles per day, or large blocks where the visual impact to the streetscape is not adversely affected, provided the site access is of appropriate proportions and character with respect to:
- relationship to verge footpath: splay, grade etc.
- total proportion of the width of the access relative to the building width: 5 metres at kerb and 3.5 metres at property boundary etc.
- design features: steepness/grade
- protection of existing landscape features: trees and their clearances
Alternatively, an internal driveway can be provided.
https://www.cityservices.act.gov.au/plan-and-build/building-works/driveway-applications
QAID: 902
Can I vary my residential Crown lease?
A variation to your Crown lease to increase, or specify, the maximum number of dwellings requires approval via a Development Application that accords with the relevant requirements of the Territory Plan. In addition, a Lease Variation Charge (LVC) will be payable. The amount you can expect to pay varies on what your Crown lease states.
QAID: 903
How much should I expect to pay for the Lease Variation Charge if my Crown Lease only allows for a single dwelling?
Unless the lease says otherwise, a Crown lease purpose clause in this form, e.g.
2(c) To use the land for residential purposes only;
2(d) That the building erected on the land shall be used only as a single unit private dwelling housing and any outbuildings erected on the land shall not be used as a habitation;
Is limited to a single dwelling. A lease variation to increase the number of dwellings is codified under Schedule 2 of the Planning (Lease Variation Charges) Determination 2024.
This means that you pay for each additional dwelling at a rate that depends on your suburb.
QAID: 904
How much should I expect to pay for the Lease Variation Charge if my Crown Lease allows for two dwellings?
Unless the lease says otherwise, a Crown lease purpose clause in this form,
2(c) To use the land for residential purposes only;
2(d) That the building erected on the land shall be used only as:
(i) a single unit private dwelling;
(ii) where permitted by the Territory Plan a second single unit private dwelling;
PROVIDED THAT any outbuildings erected on the land shall not be used as a habitation;
Is limited to a maximum of two dwellings, if you only have one current dwelling, you do not need to pay to vary the lease. A lease variation to increase the number of dwellings is codified under Schedule 2 of the Planning (Lease Variation Charges) Determination 2024. This means that you pay for each additional dwelling at a rate that depends on your suburb.
QAID: 905
Will there need to be any changes to my current parking spaces if I am repurposing a secondary dwelling?
The main change in parking between a secondary residence and a dual occupancy is that a visitor space is required depending on how many rooms in the dwellings, and that one of the parking spots for each dwelling needs to be ‘EV ready’. This means that the parking spot needs to have the infrastructure to install an electric vehicle charger in the future.
Can existing approved secondary driveway verge crossings be utilised for unit titled properties?
Yes, if a second driveway already exists on the block, then you can utilise the existing driveways for the unit titled properties. The second driveway will need to be addressing in the Development Outcomes report as being
https://www.cityservices.act.gov.au/plan-and-build/building-works/driveway-applications
QAID: 909
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Can a unit titled block have 2 driveway verge crossings?
Yes, you can apply with TCCS to have a second verge crossing provided all rules about the minimisation of impact are met and approval is sought.
Dual occupancies or extensions: Only where TCCS consider that it is not feasible to utilise the existing driveway and the following applies: - Dual occupancy: if the layout of the dwellings is such that the block could be subdivided in the future without any major changes.
https://www.cityservices.act.gov.au/plan-and-build/building-works/driveway-applications
QAID: 910
Are 2.4 m ceiling allowable in Bedrooms or living areas?
According to the ACT Planning Specifications, habitable rooms like a bedroom or living area must be at least 2.7m tall. Non-habitable rooms and kitchens are only required to be 2.4m tall. However, technical specifications are not mandatory and the Planning Team at CGFB believes that the ACT Planning Authority would approve 2.4m ceilings for dual occupancies as it would meet the mandatory outome of ‘[providing] for a comfortable living environment that meets the changing needs of residents.’
s16.7 of the Planning (Residential Zones) Technical Specifications 2024.
S16 E1 Zone Policies, Territory Plan 2023.
QAID: 911
Is there a definition and details for waterproof and enclosed in relation to storage area?
There are no definitions of waterproof in the Planning Act 2023 or the Territory plan requirements. Nor are there clear requirements about being ‘enclosed’
The waterproofing must be installed in accordance with NCC standards.
QAID: 912
s a single title, Secondary Dwelling, a better option for us?
Whether you want to pursue a Secondary Dwelling, or a Dual Occupancy is down to what do you want to do with your property. If you would like to have a second residence on the property but don’t plan on selling the second dwelling or renting it out, then it’s likely that a secondary dwelling is the best fit for you.
If you plan on gaining some extra capital through selling part of your property, then Dual Occupancy is the better option.
QAID: 913
How do we ensure that we meet the minimum EER standards?
All of our dwelling designs meet the minimum 7-star Energy Efficiency Rating (EER) as part of the design and assessment process. In order to get the two dwellings separately titled, they both need to comply with ACT regulations. Our team will work with you to make the best choices as to your property and how to ensure that the properties remain compliant.
For a full explanation download our guide to achieving energy efficiency here.
QAID: 914
What are our options if our block is less than 800sqm?
If your block is less than 800sqm, then you are unfortunately not eligible to have a Dual Occupancy on your block. We would instead recommend that you build a single title, secondary dwelling on your block.
Reach out to 1300 979 658 or info@cgfb.com.au to find out what is possible on your property.
QAID: 915
What is the difference between building approval and development approval?
approval, however not all building work requires development approval as it can be declared exempt from building approval.
Dual Occupancies typically require a DA not only for the building itself, but also to vary the Crown lease.
BAs are assessed by your nominated certifier whilst DAs are assessed by the ACT Planning Authority.
Can Dual Occupancy Canberra custom design, manage approvals, and then build our dual occupancy property?
Yes, our team can handle your property from start to finish, from design to construction, to make the development of your property as smooth as possible.
QAID: 917
How do I get a secondary address with Australia post?
Once the address is registered with the local council, Australia Post can recognise the new address.
Australia Post delivers only into mailboxes in an approved location, if there is common driveway access to a road both mailboxes should be placed at a common point at the junction of the driveway with the road.
https://auspost.com.au/content/dam/auspost_corp/media/documents/Appendix-02.pdf
QAID: 918
How would I go about forming an owner’s strata?
TBC
QAID:919
How is site coverage different to GFA?
Site coverage is the proportion of actual site covered by buildings. Site coverage encompasses more than Gross Floor Area (GFA).
Gross floor area (GFA) means the sum of the area of all floors of the building measured from the external faces of the exterior walls, or from the centre lines of walls separating the building from any other building, excluding any floor area reasonably used and necessary solely for fixed mechanical plant, bicycle parking and associated end-of-trip facilities, and/or basement car parking
Site coverage includes:
balconies, basements, roofed structures (carport, pergolas, decks & garden sheds), contilevered upper floor elements.
Site coverage excludes:
any part of awnings, eaves and the like, unroofed structures (decks, terraces, patios), swimming pools, other hard surface treatments (retaining walls & driveways).
Reference: ACT Government, working out gross floor area and site coverage, Advisory Note 08, Territory Planning Authority, December 2023
If my lease is under 50 years remaining, how much would it cost to extend it?
If your Crown lease has less than 50 years balance left on its term, a further lease will be required. An application for the grant of a further lease can be made electronically via a further Crown lease application form. The current application fee is $500.30 during the 2024-2025 financial year. The further lease will need to be registered at Access Canberra Land Titles Office once it has been granted. Their fees and charges can be found at Land title lodgment, registration and search forms related fees - Access Canberra (act.gov.au).
Fees and charges are reviewed annually on 1 July.
https://forms.act.gov.au/smartforms/servlet/SmartForm.html?formCode=1266
QAID: 921
Does AS4299 (Adaptable Housing) apply to unit titling?
Dual occupancies are considered as being multi-unit housing and are therefore required to have 10% of all developments comply with adaptable housing standards. If your current house complies then the second dwelling may not need to.
Source: Australian Standard AS4299
QAID: 922
How long can I defer my lease variation charge payment?
If the payment of the lease variation charge is above $50,000 it can be deferred through the Planning and Development (Lease Variation Charge Deferred Payment Scheme). Deferring payment of the LVC does incur interest and the payment must be made based on the earlier of:
-
The Certificate of Occupancy being issued
-
The end of the four-year period from the day the LVC was issued, or
-
The settlement date should the property be sold.
The latest it can be deferred is 4 years after the Lease Variation Charge has been issued, however if you have a Certificate of Occupancy issued or the property is sold then it will be due at the earlier date.
My block is a Mr Fluffy Block, can I Unit Title?
If your Mr Fluffy block had been surrendered under the Loose Fill Asbestos Insulation Eradication Scheme Buyback Program and put on the Affected Residential Premises Register, then you may be allowed to unit title the property. If your block was not surrendered or under a different scheme, you cannot Unit Title the property under the current legislation.
https://www.planning.act.gov.au/community/get-to-know-your-block/asbestos-awareness
QAID: 925