A dual occupancy is a term given to describe two dwellings on one lot of land. Dual occupancy developments provide significant benefits to the developer and/or investor through achieving the highest and best use of their chosen location, resulting in equity gains, increased rental, and greater flexibility. Typically, a dual occupancy takes one of the following forms:
Benefits for investors
Developing a dual occupancy has a number of substantial benefits for investors over developing a single dwelling on one lot. When a developer chooses to construct two dwellings on the one lot (i.e. a dual occupancy), they have the option of leaving two dwellings on one title, or subdividing and creating two titles which creates a substantial equity uplift. By creating a new lot, our clients are able to create two new houses and sell them individually. This can result in an equity gain of typically $80,000 to $200,000.
By subdividing, the developer has created two (2) titles and thus has the flexibility option of keeping both, selling one/keeping one, or selling both, depending on the developers motivations. This flexibility is something unique to multiple dwelling construction. Overall, dual occupancy development provides significant benefits to the developer/investor through achieving the highest and best use of their chosen location, resulting in equity gains, increased rental, and greater flexibility.