area of practice

Property Development

Whether you're developing your first project or your next, we provide clear legal advice to help you move forward with confidence.

Property development is a highly complex business. It brings together a number of disciplines including property acquisition, town planning, procurement of design and construction services, sales and marketing, corporate structuring and finance. All have their own bundle of legal complexity and risk. Few lawyers can offer single-point expertise in all these areas, particularly in a boutique firm environment, without the pressure and costs of a large firm.

At C J Boyd Solicitors, we offer legal expertise tailored for the small to medium developer, as a first point of contact for all your property development needs. We understand that advice is often needed in “real-time” to facilitate timely and effective decision-making. Our property development lawyers build long-term, responsive relationships and will become part of your team. We can assist with:

Site acquisitions and due diligence
Advice on planning law and environmental planning instruments
Interpretation of planning controls
Development applications and building certification
Liaising with local council and other government bodies
Preparing and reviewing option deeds
Drafting and reviewing joint venture property agreements
Preparing off-the-plan sales contracts
Drafting and negotiating construction contracts and service agreements
Structuring and finance
Local Court proceedings under the Access to Neighbouring Land Act
Class 1 and Class 4 proceedings in the Land and Environment Court of New South Wales

Property Development in New South Wales

Property development is governed by a matrix of legislation, regulations, planning instruments and policies administered at the state and local levels. As a complex area of law involving several moving parts, it is important to understand the processes and pathways to achieve the proposed objectives of a development project and minimise costly mistakes.

The process of obtaining consent to develop property generally starts with the submission of a development application. This will require an analysis of the subject land and its zoning, the type of development sought and the interplay between the relevant state and local planning instruments.

A proposed development must be consistent with local, regional, and state planning objectives and policies, and address environmental and other implications such as access to new lots, the provision of open space or other facilities. Consideration will also be given to the capacity for existing utilities, services, and infrastructure to support the proposed development.

Local councils play a significant role and impact upon the future development of land and resources within their respective areas. They are responsible for carrying out the administrative functions of the approval and certification processes and may also need to consider any objections to a proposed development.

Building Development Agreements

Various legal arrangements, such as joint property ventures, can be used when developing property. A building development agreement can document these arrangements and set out the participants’ respective contributions, rights, and responsibilities. The agreement can also allocate risk appropriately and deal with taxation, duty, and other financial matters. These agreements should be prepared and negotiated by an experienced property lawyer.

Financing

Most property developments are financed by a lender, which usually requires the granting of a mortgage or other securities to the lending institution. Developers should be appropriately advised when negotiating finance to ensure they are aware of the terms of the loan agreement and how it may affect different stages of the development. Company directors providing personal guarantees under financing arrangements should be independently advised.

Contracts for off-the-plan Purchases

Off-the-plan purchase contracts must be drafted to ensure profitable project delivery and to address contingencies and unforeseen events. Completion dates, sunset dates and termination clauses must be carefully considered to provide maximum protection for a developer whilst complying with consumer protection provisions, disclosure requirements, and other laws applicable to off-the-plan sales.

Option Agreements

An option deed is an agreement to buy/sell a certain property within a specified time and on specified terms and conditions.

Buying under an option agreement can secure a price for land identified for future development while a developer arranges finance and carries out due diligence. An option arrangement can give a landowner control over the timing and other aspects of the sale. The agreement should include a range of conditions to balance the parties’ respective rights and accommodate their objectives and circumstances.

When it comes to property development, your due diligence and legal documentation needs to be watertight. Contact us for a general discussion to test whether we fit your needs, or to raise a specific problem or question that you need help with. Contact one of our lawyers at [email protected] or call 02 9279 1179 for expert legal advice.