One of the crucial steps in every new home build, is gaining an Asset Protection Permit. So crucial is this step, that construction simply cannot begin without it. But what is it, why is it necessary and how do you get it ticked off, so that it’s one less thing to think about.
What is an Asset Protection Permit?
An Asset Protection Permit is a document that local councils across Victoria require every property owner or builder to obtain before construction work commences. The permit helps to protect council assets and infrastructure, such as footpaths, crossovers, kerb and channels, roads, drains, stormwater pits, nature strips, signs and trees, by making applicants aware that the council will not be held liable for any damage to the assets. If damage does occur to council assets during the build, the permit ensures that repair costs do not fall on ratepayers.
When do I need an Asset Protection Permit?
If you are building a new home, you will need a permit before you can start clearing your block, getting building supplies delivered, or undertaking demolition or construction works. An Asset Protection Permit may also be required to install a major outdoor structure such as a swimming pool. Fines can be issued if you don’t have an Asset Protection Permit before work commences on your block.
How do I apply for an Asset Protection Permit?
An Asset Protection Permit can be applied for through the local council of your build site, either online or in person. At Henley, we complete the application for you, ensuring the permit is approved in time for construction to commence according to schedule.
How is pre-existing damage documented?
To approve an Asset Protection Permit, councils require an accurate record of the pre-existing condition of council structures. We will organise a pre construction conditions report on your behalf. For your own records, we recommend you take photos of any existing damage to council assets around your property, including opposite and adjacent to it. Councils often have a template list of issues to look out for such as:
- Cracks in footpaths or raised sections between footpath bays
- Cracks in the kerb or driveway crossover
- Ruts in the grass on your nature strip
- Damage to trees along the street
- Cracks in the road
- Broken stormwater pit lids
What needs to be submitted in the permit application?
Depending on the council, the following documentation may be required:
- High-resolution, colour photographs and written details of any pre-existing damage to council assets
- The council property number (issued once the title has been released)
- Proof of public liability insurance
- Payment of applicable fees, including a security bond
- Acceptance of terms and conditions associated with the application
With so many other tasks involved in building a new home, we understand that pulling this together is something you simply don’t have time for. That’s why we take care of the application process for you, saving you the time and hassle.
Who pays for the permit?
The Asset Protection Permit fee is priced into your tender and we will make the payment on your behalf.
Who pays for the bond?
The bond is paid for by us and is not passed onto you. Likewise, recovering the bond post-settlement is also managed by us.
What happens after the application is submitted?
Once the documentation has been submitted and the fees have been paid, the council will begin their part of the process. This may involve a council representative visiting to inspect the property and cross-check the preconstruction conditions report.
How long does approval take?
Each council is different; some may require up to 28 days. Our team complete permit applications every day, so we’re well-equipped to make sure your application goes out in time to be approved before construction is due to commence.
When does the permit expire?
Again, this varies between councils, but with our expertise, we’ll ensure that the validity of your permit aligns with your build schedule. If we do need to renew your permit, most councils accept requests for renewal and simply charge a renewal fee without the need to redo the entire application.
Are there any other types of permits I might require?
Depending on the risk to council assets, you may require additional permits for things like installing temporary fencing on a footpath or using a scissor lift on public land. Your council will advise you of the specific permit options according to their local guidelines. If you are undergoing a knockdown rebuild project, depending on the council, you can apply for an Asset Protection Permit for demolition, and have it roll over to cover the construction of your new home too.
What happens once the build is finished?
Council representatives will visit to inspect their assets during the build process, and again once construction is complete. Before this final check-in, we will clean, clear and repair any damage to council assets, so that they match their pre-construction condition. For example, all building materials and debris, including skip bins, will be cleared from footpaths, roads, nature strips and vehicle crossings. Mud and dirt will be cleaned from all council structures and assets. If the nature strip was damaged during the build, it will be restored with topsoil and grass seed. At the final check-in, the council will check to see if any other rectification works are required, and if not, the security bond can be refunded.
Does the permit require any documentation to be submitted post-settlement?
Your council may ask for certain certificates to prove the build has been completed to standards, such as a Certificate of Occupancy, Final Inspection Certificate or Statement of Completion. If this is the case, we will manage this for you.
How is the security bond returned?
If there is no damage to council assets during your build, or if all damage is acceptably repaired, the security bond is refunded in full. If there is damage still outstanding post-construction, the assets will be repaired by council to their satisfaction, and only any remaining bond amounts will be refunded. Since we take out the permit, all of this is our responsibility to manage, as the builder.
The council may request repairs to be done for damage that occurred prior to construction - this is not covered by our Asset Protection Permit. If this is the case, we will give you the option for us to manage the repairs on your behalf, or have the council manage the repairs. Reach out to [email protected] to discuss this option.
If you have questions about Asset Protection Permits, or the asset protection process more broadly, reach out to your Henley project planner, they will be happy to assist.
