The Basics of Subdivision

By Tina Hwang

Subdivision is the process of dividing a larger piece of land into smaller lots, and it can be a complex but rewarding venture. To ensure success, it’s crucial to have the right professionals, prepare the correct documents, and follow the proper steps at the right time.

Terminology

Subdivision can involve a lot of jargon. Here are some key terms you will encounter and what they mean:

1 EPA (Engineering Plan Approval): A condition of the resource consent (RC), giving permission to begin civil engineering works.

2 LINZ (Land Information New Zealand): the government body the manages the official registration of surveys, titles, and data.

3 LT Plan: The survey plan for the subdivision.

4 RC (Resource Consent): Permission from the council to subdivide and develop the land.

5 RT (Record of Title): The official document from LINZ showing land ownership.

6 Section 223: A certification that approves the survey plan.

7 Section 224C: A certification confirming that all subdivision consent conditions have been satisfied.

Steps Involved

Subdivision involves a series of steps that must be followed carefully. Here’s a simplified overview of the process (a more detailed flowchart is attached):

1 Feasibility Assessment: Conducted with your surveyor to determine if the subdivision is possible and profitable.

2 Subdivision Consent Application: Apply for resource consent (RC) from the council.

3 Complete the Works: Carry out the necessary civil works to meet the conditions of the resource consent.

4 Section 223 Certification: The council certifies the survey plan.

5 Section 224C Certification: The council confirms that all RC conditions have been met.

6 Lodge the Survey Plan: Your surveyor lodges the plan with Land Information New Zealand (LINZ).

7 Apply for New Titles: Your lawyer submits the application for new land titles, ensuring mortgagee and third-party consents are in place (from providers like Vector, Chorus, etc).

8 Receive the Record of Titles: New titles are issued by LINZ.

 

People Involved

There are numerous people involved in subdivision including:

1 Developer: The landowner driving the subdivision project.

2 Council: The local authority responsible for granting resource consent and approving Section 223 and 224C certificates.

3 Surveyor: A key player in preparing subdivision plans, lodging the survey plan with LINZ, and assisting with feasibility and project management.

4 Planner:  Often involved in preparing the resource consent application.

5 Project manager: May oversee the subdivision works to ensure compliance with resource consent conditions.

6 Engineer: Assists with the design and approval of engineering works.

7 Architect: If you are subdividing and building a house, the architect will draft building plans for building consent and for the builder to construct the works on the sections. However, the architect would not ordinarily be actively involved at the subdivision stage.

8 Lawyer: Involved in either the early or final stages, handling the application for new titles and getting any official consents in the process.

Conclusion

Subdivision can be a complex process, but with the right guidance, it can be streamlined to save time and money. A project can be streamlined and efficiently completed from start to finish if you have the right people involved from the outset. Conversely, the same project can be delayed with multiple issues and uncertainty if you do not have the right people in volved. At Queen City Law, we have extensive experience navigating subdivision projects and helping clients avoid common pitfalls. If you are considering a subdivision, feel free to contact Tina Hwang and her expert team for assistance.