8 important things to consider when buying industrial land in Dubbo
The decision of buying industrial land can be daunting. But it does not have to be. With our help, you will have the basic knowledge on how to evaluate your options. It’s time to drop all your misconceptions about buying industrial land in Dubbo and consider the most important things you need to know.
Before deciding to buy commercial investment land for sale, it is critical to evaluate various risks involved. A complete analysis and comparison of all the available options is required. When wanting to make your business venture profitable, which is what we all should want, think about the following:
1. What is your goal in purchasing industrial land?
Before purchasing industrial land for sale, think about the goal for your investment. With several strategies to think about and different approaches, consider if you are buying and selling; buying and holding; buying, developing and holding; developing and selling or developing and renting. Depending on your reasons, different approaches are to be considered.
2. What can be developed on land?
Can it be an office space, retail space or perhaps a mix of retail and residential space? Can it be a hotel, a resort or a shopping mall? What about making it into a parking lot or a workshop? Keep in mind that zoning requirements will restrict what can be built on a specific piece of land.
3. Risks to consider when buying industrial land?
An undeveloped piece of industrial land offers seemingly endless opportunities. On closer inspection, there may be council and/or environmental restrictions in place. Challenges are expected as development progresses. Doing the due diligence before buying industrial land for sale is very important. Look into the laws and regulations around zoning in your area.
Every town has a plan for their land use. This means dividing the town into several areas including commercial, residential, agricultural, industrial and historical among others. The way in which the land can be used is the first issue to deal with. The land zoning classifications are what ultimately determine if the land is for commercial or residential use. It is critical to know the lawful use of the future property before finalising any contracts.
Purchasing commercial land in a well established business park like BlueRidge Business Park in Dubbo can help. We don't just sell you a piece of land and leave you. We support you through providing the right advice, design and a hassle-free land purchase experience.
We’ve facilitated projects that have boosted business productivity, reduced overhead costs and increased employee satisfaction. We believe in taking the stress out of the process, and also help our businesses navigate their way through financing, approvals and construction.
4. What is a title search and why is it important?
A certificate of title is a public and legal record of land ownership, including interests and restrictions on the land. Land Registry Services holds the title information in New South Wales. A title search can be used for many purposes. The information accessible includes the names of the property owner(s), restrictions on the land, mortgage details, lease details and more. This information is important for would be purchasers to be able to make informed decisions before exchanging contracts.
5. Consider location and budget
Commercial industrial land can be surprisingly affordable. In Dubbo, prices for commercial land start from $40 m3 and go up to about $120 m3. In Sydney and Hunter Valley region expect to pay twice as much. Where-ever you are looking, explore the industrial and commercial land market first and find what is within your budget.
Location is also paramount when considering buying or leasing industrial land. It is no secret, that inner cities are more expensive when it comes to commercial real estate. Moving further out of town while still being conveniently close for profitable transport services is ideal. Especially if you are a manufacturer and require customer access when running a service-based business.
6. Buy before the potential upcoming trends
In Dubbo, investors are continually snatching up blocks of land in areas like BlueRidge Business Park. New development listings here fall under B5 and B7 zones. As rules for both are different, so are the prices. A commercial industrial zone (B7) starts at around $70 per m3 and goes up to $85 per m3. Prices for bulky goods lots (B5) start from $100 per m3 to $120 per m3.
One way to be ahead of the trend is by reviewing the councils development control plan to see what they plan to build next. Digging into historical trends gives an insight to understanding the trend in the demand for land versus the supply of land.
7. Check out the infrastructure and neighbourhood
If you plan on building on your purchased land, you need to know if services like water, power, gas, sewage, internet and telephone are available. If so, where are they located? Make sure to do you research before committing to your land purchase. It could turn out to be a costly exercise down the track if the land plan does not make provision for these services.
It is also a good idea to have the soil tested as the type of soil could have an impact on the cost of the foundation. Is the block of land on a slope? Consider the added construction costs and issues like drainage. A surveyor will be able to determine whether the dimensions of the land match up to those on the land plan.
Make sure to look into neighbouring businesses and properties to rule out any possible issues later. For example, if there is a vacant block of land next door, see if there are any building proposals that may impact you or your plans for the land.
8. Are you making a rational decision?
Make decisions based on previous returns, its location and rental yield, not your emotions. Find out what kinds of developments are planned for the area. Check existing and anticipated zoning regulations. Be sure the future building complies with local, state and federal regulations.
Making a decision to buy industrial land in Dubbo or anywhere for that matter can be big and daunting. But it does not have to be! Get in touch with BlueRidge Business Park for a streamlined service from start to finish. We support you through providing the right advice, design and a hassle-free land purchase experience.