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Future Englobo Acreage Explained

Future englobo properties located within a Growth Area are those properties which have been identified for urban purposes but have not yet been rezoned.

Key Future Englobo Property Facts

Future englobo properties are those properties where a rezoning will occur in the future. The rezoning timeframe is most often uncertain and is the function of a number of variables.

When an area is flagged for rezoning such as the Southwest Growth Area in NSW, the rezoning plan is staged. This means that some areas and suburbs are rezoned ahead of others. Rezoning must occur in stages as there is critical infrastructure that needs to be provided alongside residential and commercial development that is occurring. This timing of this infrastructure plays a role in how quickly the Planning Department will deliver a rezoning.

In terms of the development potential of future englobo land, this information is far more speculative as the time for rezoning is unknown. Future Englobo properties retain their existing zoning until they are rezoned. For many owners, this means that their property continues to have rural zoning while they wait for the rezoning and land use to change.

Selling Future Englobo Land

As specialists who understand the distinct differences between properties within Growth Areas that have been rezoned (englobo) and those that are waiting for rezoning (future englobo), Create is able to successfully engage with buyers to maximise your price, terms and overall outcomes.

Given that development will only be permitted in the future once the rezoning has occurred, we undertake a rigorous research process to understand the changes that are occurring across the growth centre as a whole and the factors that will impact the timing of rezoning. This information is critical to developing an informed selling strategy that will maximise your price and terms.

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Future Englobo Frequently Asked Questions

How long will it take for my property to be rezoned?

The process of rezoning can be very lengthy. In order for rezoning to occur, the government needs to "release" an area. The government stages the release of areas due in part to the fact that critical infrastructure needs to be delivered in line with the rezoning timing. Even though a neighbouring suburb has been released and rezoned, it does not necessarily mean that your area will be rezoned in the near future. The suburb of Leppington is a good example of the staging process and how long it can take for the entire area to be rezoned. Even though there is a draft Indicative Layout Plan for Stages 1 to 5 , Stage 1 of Leppington was released and rezoned in 2015. Stage 2 & Stage 5 was rezoned in mid 2021. The remaining stages (3 & 4) are yet to be rezoned.

A developer has approached me and my neighbours and has said that they can apply for a rezoning? Is this possible?

Properties located within growth areas that are not yet rezoned, are still very much of interest to certain types of buyers. Sometimes a large developer may approach a series of owners and offer to buy the land via an "option" agreement with a very extended settlement period (e.g. 5 years). During this 5 year period, the developer will attempt to have the properties rezoned by engaging with the NSW government and local council. Owners should be aware that the process for having a small area of a suburb rezoned is extremely difficult and very uncertain. Owners should also be aware that an option agreement means that they are locked in with the potential purchaser and cannot sell to any other parties during this period.

I have seen a draft plan for rezoning but my property is still not officially rezoned. Where can I find out more about my proposed zoning?

A draft plan for an area can remain in draft form for many years before a rezoning will actually occur.

My property is located within a growth area but is currently zoned Rural. How much can I expect the value to increase by if I wait to be rezoned before I sell?

In our experience, there is a significant uplift in property value once an area has been rezoned. This is because a rezoning brings certainty in relation to development potential from a buyer's perspective. A buyer is essentially paying for the development certainty of your property that comes with the rezoning.

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