Development land market in the pandemic
A combination of expertise, optimism and determination has meant that many of our client’s deals have completed during the pandemic.
In March 2020, following Boris’ order to work from home, I was wondering, as I am sure you were too, what the pandemic would mean for our business? Would the development land market collapse?
Well as it happens, I am pleased to say that Jon Rimmer, Sam Snart and I have been incredibly busy, and the development world has kept on turning. It’s populated by optimistic, resourceful and determined people. It has to be, which you will know only too well if you have tried to get planning permission on land yourself.
The sales of development land for new houses, that had been agreed pre-COVID were all still progressing through the legal process (albeit a little hindered by a legal profession that had been sent home and were being hampered by dodgy wifi and unaccustomed IT arrangements). These sales have now nearly all completed, and the money is in the bank. And it didn’t stop there either, as we continued to agree sales on land with permission throughout both 2020 and 2021.
Deals were also still being done with optimistic promoters on land that stood a reasonable chance at working its way through the planning process and coming out the other side with a very valuable planning consent. Promotion agreements are an excellent way of allowing land owners to put their land forward for consideration by the local planning authorities, without you having to pick up the tab for all of the expensive stuff required to make a good solid case and application. (Unlike option agreements, but that’s another story for another time).
If the Promoter pulls it off, we then sell the land with consent and everybody wins. However, beware, you need a good promoter and the promotion agreement must be drafted accurately and with all scenarios considered. Something our team are well versed in. Give me a shout if you think you have land near a town or village that might stand a chance and we will have a look for you.
You may have heard that Natural England threw a bit of a spanner in the works in Kent earlier this year with their blanket objection to applications because of high levels of nitrate and phosphate in the River Stour, leading to the protected Stodmarsh wetlands.
As if planning isn’t tricky enough! Undeterred we are finding solutions to this too and pressing ahead with several projects.
It’s a tricky and complicated job getting planning permission and selling development land, but if you are successful it can change lives and secure the future of farming businesses. With years of experience behind us and working alongside our team of Chartered Town Planners, we are well equipped to help you.
You never know your luck. Maybe it’s time to get started because it can take a few years. Call us.
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