You've discovered a property development site you're really keen on - yay! But it's affected by a single dwelling covenant - boo!
A single dwelling covenant restricts a parcel of land to just one dwelling. It's legally binding and can override what zoning or council rules would normally permit. Bye bye to any ideas you have for subdividing, building townhouses, or adding a second home.
So, what can you do about it?
Covenants were often put in place by developers or councils to maintain a certain character in a neighbourhood, like large lot sizes, lower-density living, or uniform architectural styles. But decades later, they can feel outdated or out of sync with today’s urban growth needs.
The covenant is legally attached to the property, and a legal process is required to remove it. Let's work through the steps.
Understand The Covenant
Start by confirming the covenant actually exists and what it says. The best place to start is the Certificate of Title, which will usually include details of any covenants.
The wording is crucial. Look for terms like:
Common implications of a single dwelling covenant include:
Other wording may limit materials, fencing, or even house design. A conveyancer, solicitor, or town planner can interpret the legal language and tell you how the covenant affects development potential.
Remember - don’t rely on zoning alone. Even if your property is zoned for higher density (e.g., General Residential or Residential Growth Zone), a covenant still applies unless legally removed or varied.
It’s important to remember that even if council approves your plans, the covenant is a separate legal constraint, and breaching it can trigger legal action from neighbours or titleholders.
Explore Your Options
1. Comply with the covenant
If your plans are minor (like renovations or extensions to the existing house), you might be able to proceed without breaching the covenant.
This means no legal battles, no need to notify the neighbours and is a quick and cost-effective solution.
However it also means you’re limited in what you can do, and it's highly unlikely you'll be able to unlock the full development potential of the site.
2. Apply to remove the covenant
To remove the covenant, the process usually starts with an application to Council. You must clearly state that the purpose is to remove or vary a restrictive covenant.
Next, you must notify all landowners who benefit from the covenant, which is usually all the neighbours in the original subdivision.
If anyone objects, council are legally required, in most cases, to refuse the application.
If no one objects, and the proposal aligns with strategic planning goals, council can approve the permit and the covenant can be removed or varied. But remember - one objecting neighbour can stop the process in its tracks, forcing you to either abandon your application or escalate.
While applying to remove the covenant is definitely a great way to open up development potential, it's expensive, time-consuming and there's a high risk at least one neighbour will object.
3. Take it to court
If the council can’t approve removal due to objections, your only option may be to take the matter to the courts.
To succeed, you must prove things like:
On the up side, neighbours can't veto the application like they can through council. You can potentially set a precedent in the area, which can unlock further opportunities for you.
But let's get realistic here - it's going to cost you a lot of money, potentially in excess of $50,000. The timeframe to get your case to court is most likely to be at least a year, and potentially a lot longer.
There's also no guarantee that you'll be successful. Courts can be conservative, so the risks of losing are high.
Prepare A Strong Case
Whichever route you take, it's important that you don't try and do it alone. You need to work with a planning consultant or lawyer. This process is not DIY-friendly.
As a starting point, you'll need advice on who benefits from the covenant, the likelihood of objections, and the best legal pathway. If you can get your neighbours’ written consent in advance, your application is more likely to be approved.
You also need to collect supporting evidence. If your area has seen densification or similar developments, that can help show the covenant is outdated.
And always factor in time and costs for the process. Council applications typically take 3–6 months (assuming no objections), while court action takes much longer.
Sometimes, removing the covenant just isn’t possible. In that case, it might be best to revise your plans in order to comply with the covenant or look for another property without the same restriction.
Bottom line, a single dwelling covenant can feel like a barrier, but it’s not always the end of the road. With expert help, clear strategy, and a solid understanding of the legal process, you can explore whether it’s possible, or worthwhile, to remove or work around it.
Whatever your path forward, always proceed with caution. Never go unconditional on a property with a single dwelling covenant unless you have a Plan B that is financially viable.
Otherwise the risks are high that you could find yourself stuck with a property that can't be developed even after a long, costly process.
A single dwelling covenant restricts a parcel of land to just one dwelling. It's legally binding and can override what zoning or council rules would normally permit. Bye bye to any ideas you have for subdividing, building townhouses, or adding a second home.
So, what can you do about it?
Covenants were often put in place by developers or councils to maintain a certain character in a neighbourhood, like large lot sizes, lower-density living, or uniform architectural styles. But decades later, they can feel outdated or out of sync with today’s urban growth needs.
The covenant is legally attached to the property, and a legal process is required to remove it. Let's work through the steps.
Understand The Covenant
Start by confirming the covenant actually exists and what it says. The best place to start is the Certificate of Title, which will usually include details of any covenants.
The wording is crucial. Look for terms like:
- Only one dwelling house shall be erected on the said land
- Not more than one house shall be built
Common implications of a single dwelling covenant include:- No dual occupancies or duplexes
- No granny flats
- No subdivision if it leads to more than one home on the lot
Other wording may limit materials, fencing, or even house design. A conveyancer, solicitor, or town planner can interpret the legal language and tell you how the covenant affects development potential.
Remember - don’t rely on zoning alone. Even if your property is zoned for higher density (e.g., General Residential or Residential Growth Zone), a covenant still applies unless legally removed or varied.
It’s important to remember that even if council approves your plans, the covenant is a separate legal constraint, and breaching it can trigger legal action from neighbours or titleholders.
Explore Your Options
1. Comply with the covenant
If your plans are minor (like renovations or extensions to the existing house), you might be able to proceed without breaching the covenant.
This means no legal battles, no need to notify the neighbours and is a quick and cost-effective solution.
However it also means you’re limited in what you can do, and it's highly unlikely you'll be able to unlock the full development potential of the site.
2. Apply to remove the covenant
To remove the covenant, the process usually starts with an application to Council. You must clearly state that the purpose is to remove or vary a restrictive covenant.
Next, you must notify all landowners who benefit from the covenant, which is usually all the neighbours in the original subdivision.
If anyone objects, council are legally required, in most cases, to refuse the application.
If no one objects, and the proposal aligns with strategic planning goals, council can approve the permit and the covenant can be removed or varied. But remember - one objecting neighbour can stop the process in its tracks, forcing you to either abandon your application or escalate.
While applying to remove the covenant is definitely a great way to open up development potential, it's expensive, time-consuming and there's a high risk at least one neighbour will object.
3. Take it to court
If the council can’t approve removal due to objections, your only option may be to take the matter to the courts.
To succeed, you must prove things like:
- The covenant is obsolete due to changes in the neighbourhood
- You won’t cause disadvantage to those entitled to its benefit
- The proposed development is reasonable and appropriate
- Show that those affected support the change
On the up side, neighbours can't veto the application like they can through council. You can potentially set a precedent in the area, which can unlock further opportunities for you.
But let's get realistic here - it's going to cost you a lot of money, potentially in excess of $50,000. The timeframe to get your case to court is most likely to be at least a year, and potentially a lot longer.
There's also no guarantee that you'll be successful. Courts can be conservative, so the risks of losing are high.
Prepare A Strong CaseWhichever route you take, it's important that you don't try and do it alone. You need to work with a planning consultant or lawyer. This process is not DIY-friendly.
As a starting point, you'll need advice on who benefits from the covenant, the likelihood of objections, and the best legal pathway. If you can get your neighbours’ written consent in advance, your application is more likely to be approved.
You also need to collect supporting evidence. If your area has seen densification or similar developments, that can help show the covenant is outdated.
And always factor in time and costs for the process. Council applications typically take 3–6 months (assuming no objections), while court action takes much longer.
Sometimes, removing the covenant just isn’t possible. In that case, it might be best to revise your plans in order to comply with the covenant or look for another property without the same restriction.
Bottom line, a single dwelling covenant can feel like a barrier, but it’s not always the end of the road. With expert help, clear strategy, and a solid understanding of the legal process, you can explore whether it’s possible, or worthwhile, to remove or work around it.
Whatever your path forward, always proceed with caution. Never go unconditional on a property with a single dwelling covenant unless you have a Plan B that is financially viable.
Otherwise the risks are high that you could find yourself stuck with a property that can't be developed even after a long, costly process.
