Lyndon was semi-retired and purchased a property on a large lifestyle block that was part of a subdivision.  He began making plans to build a cottage on the field in front of the existing house.

Lyndon’s plans were well underway when he was warned by the developer of the subdivision that there were certain restrictions on what Lyndon could build on the section and where he could build.

Lyndon asked his lawyer about this and was informed that there was indeed a building covenant on the title which recorded that no more than one dwelling could be built on the section and that any shed or other building could only be built within a certain area on the land.

A building covenant is a document registered on a title to a property which may prevent the land owner from building on their section in a particular manner. Often these restrictions will relate to the type of building, the size of it, the number of buildings and where exactly they can be located.

Lyndon had to change his plans to build a shed instead of a cottage to fit within the confines of the covenant.

It is important when buying a property to make sure you understand the effect of any covenants on the title, especially if you are intending to undertake further development of the property.  Your lawyer can advise you about this.