What is the approach that the City applies to determine the valuation of land in the advertised DCP review?

    In ascertaining the Assessed Value or Assessed Values of Development Contribution Plan No.3, all land shall be valued in its broad acre from as depicted on 1 January 2004, ignoring any services or infrastructure provided in-accordance with the provisions of the relevant local Structure Plan and applying the following principles: 

    (a) regard is to be had to the land classifications and zonings existing at the date of valuation;

    (b) the date of valuation is to be the date on which the local government nominates;

    (c) ignoring any improvements or works on the land;

    (d) the land should be valued without regard to the Common Infrastructure work and the purpose for which the land is acquired shall not be taken into consideration;

    (e) in selecting relevant sales evidence, regard should be had first to values derived from land in the same area, and if there is not adequate evidence, from nearby or similar land in the area, in priority to any other sales evidence;

    (f) the conservation category wetland land identified in Development Contribution Plan No. 3 is to be valued at 62.5% of the Assessed Value of nearby Urban zoned land;

    (g) the method of valuation shall otherwise be in accordance with normal fair market valuation principles.

    Why has the Cost Contribution per lot rate increased since the last DCP review?

    The proposed increase in the Cost Contribution per lot rate by $7,337 since the previous Infrastructure Cost Schedule review that was approved in June 2021 is due to the following factors:

    • Adjustments being made to the cost of some projects to reflect current infrastructure construction costs based on present market conditions;

    • The length of time since the previous ICS review in 2021 which was necessary to allow the Major Review of the DCP to progress to conclusion;

    • The introduction of additional structure plan areas and new common infrastructure works to service the Piara Waters West area including a new sporting field and community facility;

    • The acquisition of new land areas for various purposes including road widening and a playing field in Harrisdale North;

    • The provision of a new sporting field and facilities in Piara Waters West; and

    • For wetland areas identified through the structure planning process including funding for re-vegetation and rehabilitation works.

    When does a DCP contribution become payable?

    A DCP contribution liability generally only arises when a landowner is proposing to subdivide and develop their land to its ultimate full potential. Development Contributions become payable towards the end of the subdivision or development process prior to new titles being issued or the development being completed. This DCP review is not proposing to change this approach.