Leading the way in residential construction
As one of Perth’s top residential builders, Novus Projects blends the personalised attention of a residential builder with the precision and professional execution of a commercial contractor.
We pride ourselves on understanding that there’s no one size fits all when it comes to residential property development.
Our Experience
What remains constant is our commitment to delivering a quality finished product that will maximise your best financial return. Through our close ties with Novus Homes, we provide a unique value proposition that straddles the construction and development market.
Thirty years of experience across both sectors sets us apart from other residential property developers, and ensures we can offer our clients unparalleled support and success.
What does it involve?
What does residential property development involve?
Residential property development involves acquiring land for development, obtaining the necessary approval to build on it, then designing, building and then selling the units on it.
A great deal of a property development project is managing the companies and parties, such as sub-contractor, consultants, authoritative bodies, real estate agents and so on.
Feasibility assessment
The first stage is usually a feasibility study. This involves researching suitable land, evaluating the potential profitability of a project, considering land and building costs, as well as demand and building regulations, before purchasing the land.
Design plans & building estimate
After purchasing the land, the next step is finalizing the house design plans and preparing a detailed cost estimate with a bill of quantities. Many expenses can be fixed, providing clarity on the budget, while others may remain provisional to account for variables such as unforeseen site conditions. This structured approach ensures better financial planning and helps keep the project on track from the outset.
Working drawings
Once the project design and estimate is agreed, working drawings can begin. These drawings will refine the design through detailed floor plans, elevations and 3D modelling. There will also be structural drawings with plans for the foundations and other structural elements as well as plans for HVAC, plumbing, electrical systems and so on.
Planning approvals
Residential property developers also have to navigate zoning laws to ensure their project meets local density requirements. They will need to obtain necessary building permits and environmental approvals. This can be a timely process, so engaging a developer who understands the location you’re building and has experience working within it will reduce delays.
Pre-start
Once all the approvals have been secured and the plans agreed on, your residential development can move into the pre-start stage, which is one of the most important parts of the process. Pre-start involves making the final selections for the project, whilst simultaneously, securing finance, obtaining insurance and minimising risks to ensure a smooth project.
Project commences
Once the residential developer is happy that responsibilities have been allocated, everything has been implemented as they wish and any potential concerns have been dealt with, the construction process can start and the building part of the project begins.
Although each project is unique, residential property developments can be categorised into several different types
Different types of residential property development
The type of development you choose to build is likely to be determined by the land you have selected as well as the market appetite.
Duplex / Triplex
A duplex means a subdivision that allows for two homes to be built on one block (with a master title). These two self-contained homes will share a wall. They do not have to be the same design, although they are usually the same size. A triplex is very similar to a duplex, but involves three separate dwellings.
Rear and front strata
Rear and front strata, which is also known as a house behind a house, are growing increasingly popular for residential property development in Perth.
It lends itself to large strips of residential land with an existing home, allowing investors to pay down the loan on their existing home by subdividing the block and developing the land at the back.
New zoning laws are making this type of residential property development more common, but it’s vital to check the local zoning laws to see what you are able to build.
Townhouses
With the WA State Government looking to increase the density of many suburbs, savvy Perth residential property developers can take advantage of the evolving R-Codes by offering buyers well built and thoughtfully designed townhouses with a medium to high specification level.
Two storey townhouses are the ideal development choice when you are looking to maximise the total living area to boost rental returns or resale value.
Multi-units
Multi-unit property developments are generally residential development projects with four or more units or townhouses, although a four dwelling site can also be called a quadruplex development.
It will come as no surprise that when subdividing land in Perth to develop property it generally becomes more complicated as the number of dwellings increases, so it’s worth contacting an experienced builder or developer if you’re considering a multi-unit development.
Case Studies
Featured projects
Each project we undertake comes with its own specifications, which necessitate individual, considered designs to achieve the best outcome and returns. We are also able to customise any of our existing projects. So if something catches your eye or sparks your interest, we can tailor it to suit your project. You can see some of our wide range of successful designs here.
Novus Projects welcomes the chance to talk through your questions regarding residential property development. You can also explore our Frequently Asked Questions section to find helpful information and get the answers you need.
Frequently Asked Questions
FAQs
Generally, a building permit is required before building work can be carried out. In the case of a project that involves demolition before construction, a demolition permit may also be required.
In addition to permits for construction and demolition, your local council will need to approve the type and number of dwellings you plan to build. The Residential Design Codes (R-Codes) stipulate what types of dwellings can be built. In response to the current housing shortage, many councils are seeking to relax rules around the density of dwellings so it’s important for developers to keep up to date.
When subdividing a block, the required lot size depends on the R-Code (Residential Design Code) and the specific zoning of the property. Each R-Code has both a minimum and average lot size requirement that must be met. For example, under R40 zoning, the minimum lot size per dwelling is 180m², but the average lot size across all lots must be at least 220m². This means that to create two lots, a block must be at least 440m² (220m² average x 2), even though individual lots can be as small as 180m².
If you plan to demolish the existing house, subdivision may be more straightforward, whereas keeping the house requires careful planning to meet access, setbacks, and open space requirements. Subdivision rules vary by location, so if you're unsure, it's always best to speak to a professional before purchasing a property with subdivision potential.
The type of dwelling you want to build will also impact the size you need. To develop a smaller unit, like a granny flat, there are no legal size requirements for your block. Previously, houses required a minimum lot size of 350m² but this requirement was removed in 2024.
As you can see, there are many different residential development options available. Whatever you choose to build, be sure to take amenities such as driveways and garages into consideration.
The number of homes you can build on your large block will again, vary according to local zoning laws, any required setbacks from property lines, the physical characteristics of the site (sloping blocks are harder to build on for example), as well as development approvals. It’s worth speaking to an experienced Perth residential property developer to firm up your ideas.
A good return on investment is when the yield maximises the return on investment, but this depends on a number of factors, such as market conditions, investment strategy, project type and so on. It will also depend on how experienced you are as a developer. An industry average is hard to pinpoint, but a general range of 10-20% stands for well-executed projects.
ROI is not the only metric to consider; it’s also worth factoring in long-term goals, cash flow and risk appetite.
How Novus Projects can help
Want us to provide a quote for your plans?
Would you like to discuss your proposed development, or for us to provide a quote for your plans? At Novus Projects, we're committed to supporting your development needs and would love to be your development partner. We can provide a detailed quote (or tender) on your own plans. Contact us today to discuss how we can help bring your vision to life.
