Subdividing property in British Columbia involves more than drawing a new line on a plan. Before a new parcel can be created, the proposed subdivision must meet the requirements from the relevant municipality. A surveyor and lawyer will also typically be involved before registration at the Land Title Office.
Understanding the process at the outset can save considerable time and expense.
What Determines Whether a Property Can Be Subdivided in BC?
Whether a property can be subdivided in British Columbia depends on characteristics of the specific property and the applicable zoning, regulations, and approval requirements.
The municipality may have requirements including those related to zoning, minimum parcel size, legal access, and utilities. Properties that are located in the Agricultural Land Reserve have additional restrictions.
The municipality may impose conditions as part of the subdivision approval. For example, a property owner may be required to provide land for road widening or a park.
As a result, what appears to be a straightforward subdivision on paper may not necessarily be that simple.
What Should You Do Before Trying to Subdivide Your Property?
For most property owners, the first step is to speak to someone at the municipality. A land surveyor or planning consultant can help determine what may be possible and what will be required.
If the municipality is prepared to approve the subdivision in principle, it will usually provide a preliminary layout review setting out the conditions that must be satisfied before the subdivision can proceed.
That preliminary layout review tells the property owner what will be required and provides the framework for the surveyor and lawyer to move the subdivision forward.
When Should You Involve a Lawyer in a Subdivision?
In most cases, it is best to involve a lawyer once you have received preliminary approval from the municipality or regional district.
A lawyer can become involved earlier and help coordinate the process. However, if you do not yet know whether the proposed subdivision will be permitted, you may be paying legal fees before there is legal work that needs to be done.
Once preliminary approval is in place, the lawyer can review the requirements, work with the surveyor, and prepare the legal documents necessary to complete the subdivision.
What Does a Lawyer Do During a Property Subdivision?
The lawyer will help take the subdivision from preliminary approval through to registration.
This can include:
- reviewing the municipality’s preliminary layout review;
- reviewing the subdivision plan prepared by the surveyor;
- working with the surveyor as the plan and documentation are finalized;
- preparing easements, covenants, rights of way and other required legal documents;
- obtaining signatures and consents from the property owner, lenders, municipality, and other parties where required; and
- submitting the plan and supporting documents to the Land Title Office for registration.
Depending on the subdivision, other authorities may also need to be involved.
In my practice, I work closely with the surveyor and can help ensure that the various legal documents and approvals required to register the subdivision are in place.
What Can Complicate or Delay a Property Subdivision?
The most common issue that can delay or complicate a property subdivision is not identifying potential requirements and issues early enough.
For example, municipal conditions can affect the subdivision itself. Existing mortgages and other charges against the property may also need to be addressed. This will involve obtaining lenders’ and charge holders’ consent, which can take some time.
Every subdivision is different. Understanding what is required at the outset can make the process much smoother.
Why Does a Property Need to Be Formally Subdivided?
In order to be separately owned or sold, a parcel must have its own legal title.
This can sometimes be misunderstood where a property owner has enough land for another home or wants to give part of a larger property to a family member.
Building another home does not create a separately owned parcel. Similarly, property owners cannot decide that one person owns one portion of a property, and another person owns the rest.
A completed subdivision creates a separate parcel and title necessary for that land to be transferred.
Frequently Asked Questions About Subdividing Property in BC
Do I Need a Land Surveyor to Subdivide My Property?
Yes. A land surveyor plays a vital role in subdivision, including preparing the subdivision plan.
Does My Mortgage Affect My Ability to Subdivide?
Yes, if there is a mortgage or another financial charge registered against the property, the lender will need to consent to the subdivision and sign documents before it can be completed.
Can I Subdivide My Property to Give Part of It to a Family Member?
Potentially, but the fact that the intended owner is a family member does not eliminate the subdivision requirements.
The new parcel still needs to meet the applicable requirements and go through the subdivision and registration process before it becomes a separate property with its own title.
Questions About Subdividing Property in BC?
Paul Tonita is a business and real estate lawyer with Pushor Mitchell LLP in Kelowna, British Columbia. He assists clients with real estate transactions and land development matters, including working with surveyors and other parties to complete the legal requirements necessary to register a subdivision.
If you are considering subdividing a property and have received preliminary approval, or need assistance completing a subdivision, contact Paul at 250-869-1226 or tonita@pushormitchell.com.
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