Reference

Property Glossary

56 terms covering real estate, property development, planning, and transactions in Australia.

A

Acquisition

The process of purchasing or gaining ownership of a property or land parcel. In development, this refers to securing a site for future development.

B

Body Corporate

A legal entity created when a building is subdivided into individually owned lots (strata title). Responsible for managing common areas and enforcing by-laws. Also called Owners Corporation in some states.

Building Envelope

The three-dimensional space within which a building must be contained, defined by height limits, setbacks, site coverage, and plot ratios in the planning scheme.

C

Caveat

A legal notice registered on a property title that warns anyone searching the title that someone other than the registered owner has an interest in the property.

Code Assessment

A category of development assessment in Queensland where the application is assessed against the relevant code provisions. Does not require public notification and generally results in faster approval.

Community Title

A form of land subdivision that allows for shared ownership of common property (such as roads and parks) while each lot is individually owned. Common in master-planned communities.

Conditional Contract

A contract for the sale of property that is subject to certain conditions being met (such as obtaining development approval, finance, or satisfactory due diligence) before becoming binding.

Contaminated Land Register (CLR)

A Queensland Government register listing land where contamination has been identified and a management plan is required. Must be checked as part of due diligence on any development site.

Covenant

A legally binding restriction or obligation registered on a property title that affects how the land can be used or developed. Restrictive covenants may limit building height, materials, or land use.

D

DA (Development Application)

A formal application to a local council seeking approval to carry out development on a site. Includes plans, reports, and supporting documentation demonstrating compliance with the planning scheme.

Developer Margin

The profit a developer targets from a project, typically expressed as a percentage of Gross Realisable Value (GRV). A standard target is 20% of GRV, though this varies with risk profile.

Development Approval

Formal permission from a local council or planning authority to carry out specified development. May include conditions relating to design, infrastructure contributions, and environmental management.

Due Diligence

The investigation and analysis conducted before purchasing a property. Includes title searches, planning checks, environmental assessments, survey reviews, and financial feasibility analysis.

E

Easement

A right held by one party to use or access another party's land for a specific purpose, such as drainage, sewerage, or access. Easements are registered on title and can significantly affect development potential.

Encumbrance

Any right, interest, or liability attached to a property that may affect its value or use. Includes mortgages, caveats, easements, and covenants.

Environmental Management Register (EMR)

A Queensland Government register listing land where a notifiable activity (such as fuel storage or industrial use) has occurred. Requires investigation before development.

Expressions of Interest (EOI)

A sales method where prospective buyers submit written offers by a specified date. The vendor is not obligated to accept any offer. Common for development sites and commercial properties.

F

Feasibility Study

A financial analysis of a proposed development project, comparing estimated revenue (GRV) against all costs (land, construction, fees, finance, marketing) to determine viability and expected return.

Freehold

A form of property ownership where the owner has complete ownership of both the land and any buildings on it, in perpetuity. The most common form of property ownership in Australia.

G

Gross Floor Area (GFA)

The total floor area of all storeys of a building, measured from the external walls. Used in planning schemes to regulate density through plot ratio calculations.

Gross Realisable Value (GRV)

The total estimated sales revenue from a completed development project. Calculated by multiplying the number of dwellings or lots by their expected sale prices.

H

Headworks Charges

Also called infrastructure charges. Fees paid to local government or utility providers to fund trunk infrastructure (water, sewer, stormwater, transport) needed to service new development.

Heritage Overlay

A planning overlay that identifies places of historical, architectural, or cultural significance. Development within a heritage overlay is subject to additional assessment criteria to protect heritage values.

I

Impact Assessment

A more rigorous category of development assessment in Queensland that requires public notification and allows third-party submissions. Required for larger or more complex development proposals.

Infrastructure Charges

Contributions levied by local councils on new development to fund public infrastructure such as roads, parks, water supply, and sewerage. Calculated per dwelling or per square metre of GFA.

L

Leasehold

A form of property tenure where the owner holds a lease for a specified period (often 99 years) from the Crown or another freeholder. Common in the ACT and some Queensland properties.

LMR (Low-Medium Density Residential)

A zoning category in Brisbane City Plan 2014 that allows for houses, duplexes, and small lot housing. Maximum building height is typically 9.5 metres (2-3 storeys).

Lot on Plan

The individual parcel of land as identified on a registered survey plan. Each lot has a unique lot number and plan number that identifies it in the titles system.

M

Master Plan

A comprehensive plan for the development of a large site or precinct, showing proposed land uses, building forms, road layouts, open spaces, and staging. Often required for large-scale developments.

MCU (Material Change of Use)

A type of development that involves changing the use of land or a building, or intensifying an existing use. For example, changing from residential to commercial, or from a house to units.

Mixed-Use Development

A development that combines two or more uses (typically residential, commercial, and/or retail) within the same building or site. Increasingly encouraged in planning schemes to create active, walkable neighbourhoods.

N

Neighbourhood Plan

A local area plan within the Brisbane City Plan that provides specific development provisions for a defined area. May override or supplement the general zoning provisions.

Net Developable Area

The portion of a development site that can actually be built on after accounting for road dedications, park contributions, drainage reserves, and other non-developable areas.

O

Off-Market

A property sold without public advertising or listing on property portals. The transaction is conducted through an agent's private buyer network. Common for high-value and sensitive transactions.

Off-the-Plan

Purchasing a property before it is built, based on architectural plans and specifications. Common in apartment developments. Buyers typically pay a deposit with the balance due at completion.

Overlay

An additional layer of planning regulation that applies on top of the base zoning. Common overlays include flood, heritage, character, bushfire, and airport noise.

P

Plot Ratio

The ratio of total gross floor area (GFA) to total site area. For example, a plot ratio of 2:1 on a 1,000m² site allows up to 2,000m² of GFA. Controls density in planning schemes.

Pre-Sales

Sales of dwellings or lots in a development project before construction begins (off-the-plan). Lenders typically require a minimum level of pre-sales before providing construction finance.

Put and Call Option

A contract structure giving one party the right to buy (call option) and the other the right to sell (put option) at a predetermined price and timeframe. Used in development to control sites while pursuing approvals.

Q

Quantity Surveyor (QS)

A professional who provides independent estimates of construction costs for development projects. QS reports are typically required by lenders as part of the finance approval process.

R

Reconfiguring a Lot (ROL)

The process of subdividing land into smaller lots, amalgamating lots, or rearranging lot boundaries. Requires development approval from the local council.

Residual Land Value

The maximum price a developer can pay for a site while achieving their target profit margin. Calculated as GRV minus all development costs minus developer margin.

S

Section 173 Agreement

A legal agreement between a developer and council (under the Planning and Environment Act in Victoria, or similar provisions in other states) that imposes obligations relating to the use or development of land.

Setback

The minimum distance required between a building and the property boundary, road frontage, or other reference point. Front, side, and rear setbacks are specified in planning schemes.

Settlement

The date on which ownership of a property legally transfers from seller to buyer and the purchase price is paid. In Queensland, settlement is conducted electronically through PEXA.

Site Coverage

The percentage of a site area that is covered by buildings (measured at ground level). Planning schemes set maximum site coverage ratios to ensure adequate open space and landscaping.

Stamp Duty

A state government tax on property transactions, calculated as a percentage of the purchase price. Rates vary by state and may include concessions for first home buyers or investors.

Strata Title

A form of property ownership that allows individual ownership of a lot (unit/apartment) within a larger building, with shared ownership of common areas managed by a body corporate.

Sunset Clause

A provision in an off-the-plan contract that allows either party to terminate if settlement has not occurred by a specified date. Protects buyers from indefinite delays and developers from prolonged commitments.

T

Title Search

A search of the land titles register to confirm the registered owner, any encumbrances (mortgages, caveats, easements), lot dimensions, and other matters affecting the property.

Town Planner

A professional who advises on land use planning and manages the development approval process. Town planners prepare and lodge development applications and negotiate with councils on behalf of clients.

Torrens Title

The land registration system used across Australia where ownership is guaranteed by the state. The registered owner holds an indefeasible (guaranteed) title to the property.

Transit-Oriented Development (TOD)

Higher-density, mixed-use development located within walking distance of public transport stations. Encouraged in planning policy to reduce car dependency and increase housing supply near transport.

V

Vendor

The seller of a property. In development, the vendor may be a private landowner, a government entity, or a developer selling completed or partially completed stock.

Y

Yield

In development, the number of dwellings or lots that can be achieved on a site. In investment, the annual rental income expressed as a percentage of the property value.

Z

Zoning

The classification of land under a planning scheme that determines what types of development are permitted. Common zones include residential, commercial, industrial, mixed-use, and community facilities.