Strategic land at Thomas Alfred Homes
What is Strategic Land?
Strategic land is any land or property which has development potential. The land is usually a greenfield / brownfield site that is near existing housing developments and will have good transport links and amenities. Planning permission or council allocation is needed before the asset becomes viable and valuable strategic land.
The process to obtain planning permission for strategic land can involve a wide range of actions. Such as; pre-app meetings with local planning officers to gauge whether a certain scheme will be viable and is worth pursuing.
Many different reports may need to be undertaken on the land. These reports and searches will need to be completed prior to submitting a planning application. Fortunately, Thomas Alfred Homes produces development reports to assess the viability of your land and any potential development schemes, prior to sending head of terms.
Agreement types for Strategic Land
There are a number of choices when it comes to the type of agreement. An option agreement, a promotion agreement or a Joint Venture.
Option Agreement
An option agreement is where we will agree to purchase your land at a percentage of the market rate (subject to planning permission). We will agree a price for your land before the planning process starts. Once planning is successfully achieved, we complete the purchase.
Promotion Agreement
Thomas Alfred Homes can also offer a Promotional agreement. If this is agreed, once planning permission has been achieved on the strategic land, it will be sold on the open market – usually through a land agent. Once the land is sold, the monies will be split between the land owner and promoter. It is usually agreed that the promoter will bear the planning costs at no cost to you. The promoter will then take a percentage of the end sale price.
Joint Venture
We can also work on a Joint Venture business agreement, where we will work with you to obtain planning permission for your strategic land. The land will either be sold on the open market to a developer or we will continue to work with you to build out the development project. Both parties will share the costs of obtaining planning permission and the build costs (if we decide to build out the development). We can also pay for planning costs. The net sales proceeds will be shared as per the terms of the Joint Venture Agreement.
In some circumstances it may not be viable to carry out a proposed scheme. Factors such as abnormal ground conditions, planning restrictions and planning policies can have a massive impact on the overall costs of the proposed development. This can result in a project with minimal or zero profit at the end, therefore making the project not viable.
Our Strategic Land Department
At Thomas Alfred Homes, we can help you to realise your strategic land’s potential. Our experienced team has the knowledge and skill-set to offer a full planning permission service to land owners. We cover promotional and optional land agreements in the South East of England.
We are a local, friendly team who want to provide a transparent service to landowners. Please call our office on 01825 520765, to arrange a no-obligation consultation or alternatively, email us at office@tahomes.co.uk - you can also get in touch with our contact form on the contact page.
Are you a landowner?
We are constantly on the lookout for local strategic land that has development potential. We work with local land owners and have a number of options available when it comes to land acquisition.
We can purchase land without delay and have a simple strategic land acquisition process that will give you peace of mind. Transparency is extremely important to us.