A better framework for making informed property, development and construction decisions
For many medical professionals, property becomes a natural area of interest. The decision may involve purchasing or building a family home, acquiring medical premises, improving an existing property or considering a development opportunity.
A strong income can provide access to more options. However, it does not protect a purchaser or property owner from selecting the wrong site, underestimating construction costs, overlooking planning restrictions or entering an unsuitable delivery arrangement.
Good property outcomes usually begin well before a purchase, design or construction contract is signed. They begin with a clearly defined objective, careful investigation and advice from the right professionals.
Begin with the purpose of the property
Before considering a particular property or project, it is useful to define what the property needs to achieve.
Is it intended to be:
- A long-term family home?
- A property requiring renovation or extension?
- A site for a new premium residence?
- Medical or consulting premises?
- An existing property with development potential?
- A property to be retained and improved over time?
These different objectives require different approaches. A site that suits a family home may not support the intended development. A building that appears suitable for medical use may require significant accessibility, fire-safety, parking or compliance work.
Starting with the purpose helps prevent an attractive property from driving a decision that does not support the intended outcome.
Look beyond the purchase price
The advertised or negotiated purchase price is only one part of a property decision.
Depending on the project, the complete cost may also involve:
- Legal and acquisition costs
- Professional consultants and due diligence
- Planning and authority requirements
- Design and documentation
- Demolition or site preparation
- Construction and fit-out
- Service upgrades
- Compliance and accessibility work
- Contingencies
- Holding and financing costs
- Time required for approvals and delivery
Not every item applies to every property. However, overlooking relevant costs at the beginning can significantly change the feasibility of a project.
An early review should therefore consider the complete pathway from acquisition through to occupation or completion.
Understand what the property will allow
Two properties with similar prices and locations can have very different development or construction potential.
Before making a commitment, the property should be considered from several perspectives:
Planning
The planning zone, overlays and local controls may affect what can be built, altered or used on the property.
Title
Easements, covenants and other title restrictions may limit the available building area or development options.
Site conditions
Slope, access, orientation, neighbouring properties, existing vegetation, drainage and soil conditions can influence design and construction costs.
Existing buildings
Where a building is already present, its structure, condition and compliance should be considered before assuming it can be renovated, extended or converted.
Services and infrastructure
Electricity, water, drainage, telecommunications and other services may need to be upgraded to support the intended project.
Access and compliance
Medical premises and other commercial uses may involve specific requirements concerning accessibility, parking, fire safety and building compliance.
Identifying these matters early does not guarantee a particular approval or outcome. It allows the decision to be made with a clearer understanding of the opportunities, constraints and likely next steps.
Test the project before committing
Early feasibility does not need to involve a complete design. Its purpose is to test whether the proposed direction is realistic before significant commitments are made.
A preliminary assessment may consider:
- The intended use
What does the owner want the property to achieve? - The site or building constraints
Are there planning, title, access, condition or compliance matters that could affect the proposal? - The likely project scope
What work may be required to deliver the intended outcome? - The indicative budget
Does the expected total cost align with the owner’s requirements and available resources? - The likely timeframe
How much time may be required for investigation, design, approvals and construction? - The delivery pathway
Which consultants, approvals and contractual arrangements may be required?
The answers may support the original idea, suggest that it should be adjusted or show that another property would be more suitable. Each of these results is valuable when identified before commitment.
Coordinate the advice
Property, development and construction decisions rarely sit within a single professional discipline.
Depending on the project, the required team may include a builder, architect or building designer, town planner, building surveyor, engineer, quantity surveyor, solicitor, accountant, finance adviser and other specialist consultants.
The value comes from obtaining the appropriate advice at the correct stage and ensuring that each professional is working toward the same project objective.
For example, a design should not be developed without understanding the available budget. A purchase should not proceed on an assumption about development potential that has not been investigated. A construction contract should not be signed before the scope and responsibilities are properly understood.
Coordinated advice helps the property owner see the project as a complete process rather than a series of disconnected decisions.
Questions to ask before making a property commitment
Before purchasing, developing or substantially improving a property, consider asking:
- What do I ultimately need this property to achieve?
- Is the proposed use supported by the site and existing building?
- What planning, title or authority restrictions may apply?
- What investigations should be completed before commitment?
- What is the likely total project cost, beyond the purchase price?
- Is the available budget realistic for the intended outcome?
- What approvals and consultants are likely to be required?
- What is a realistic timeframe for design, approvals and construction?
- Who will coordinate the process and the different advisers?
- What conditions should be satisfied before the decision becomes unconditional?
These questions do not replace professional advice. They provide a more disciplined starting point for obtaining that advice.
How Edina Building Group can assist
Edina Building Group works across property development, construction and project delivery.
Our role is to help clients understand the practical property and construction considerations before they commit. Depending on the circumstances, this may include:
- Preliminary property and site review
- Early feasibility and development planning
- Review of the intended scope and project requirements
- Identification of likely planning, design and construction considerations
- Preliminary construction budget and delivery discussions
- Coordination with relevant consultants
- Premium residential construction
- Medical premises and commercial project delivery
- Ongoing project and construction management
Edina’s approach is based on early clarity. The objective is to identify the important questions, constraints and delivery requirements while the client still has the ability to make an informed decision.
A final consideration
A strong income can create access to property opportunities, but it does not remove the need for careful investigation.
The quality of a property outcome often depends on decisions made before the property is purchased, before the design is fixed and before the construction contract is signed.
Taking time to define the objective, understand the property, test the complete project and coordinate the right advice can provide a much stronger foundation for the decisions that follow.
Considering a property, development or construction project?
Edina Building Group welcomes early conversations with IRAHP members who would like to understand the practical property, development and construction considerations before making a commitment.
Edina Building Group
Property Development, Construction & Project Delivery
Website: https://edinabuildinggroup.com.au
Telephone: 1300 097 921
This article provides general educational information only. It does not constitute financial, investment, taxation, legal or planning advice. Readers should obtain independent professional advice relevant to their personal circumstances and proposed property.
