Realising your property’s value
Many property owners will be aware of the increasing call in the UK for new residential development.
With an ever-increasing population, there is significant pressure on planners and developers to find opportunities for new development to meet this increased need – and to do so in a way that is in keeping with local and national planning guidelines.
The reality is that property owners, in the right circumstances, can benefit from this situation – as land or properties that have the right development potential can often command an enhanced market value.
- Commercial land suitable for change-of-use to residential
- Locations appropriate for the creation of retirement properties
- Residential land that has the benefit of existing planning consent.
Why consider redevelopment?
Many property owners find themselves in a position where they would like to, or need to, realise value from their property.
For many, especially in the current high-demand residential market, this may simply mean selling their home on the open market and benefiting from whatever equity they have built up. Likewise, business owners who are perhaps retiring or moving in a different direction may choose to sell that business as a going concern, or simply sell the commercial property for re-use.
Property owners will often not consider, however, the extra potential that their property may have on the development market. Whilst we may not always relish the idea of our home or business property being altered or redeveloped, the reality is that, from a purely financial perspective, it can often prove to be the best option.
The reason, of course, is that an existing property will not always currently be realising its potential. Perhaps it neighbours another property which, when considered together, would be a perfect site for a larger residential development. Or perhaps unused commercial buildings would be best converted into residential property, thereby not only alleviating the housing shortage, but also enhancing the local area.
In any event, the outcome may be that your property has more intrinsic value to a developer than can be realised through sale on the open market.
How we can help
Cassiobury Estates understands both the sales and development markets and, using our research and analysis skills, can spot where there is potential for redevelopment.
Our role is flexible, but we will most often work with the owners of viable properties in the first instance to ensure that they have the best information available on which to base any decision to proceed.
Then, we would work with our network of development partners to find a suitable, interested party to take on the development.
We do not use ‘hard sell’ tactics. Ever.
Mainly, because it’s just not a nice way to do business. But more practically, we believe that all property owners need to be genuinely happy with the principle of selling their property for redevelopment in order to ensure that the process runs smoothly, and the outcome is acceptable to all.
It goes without saying that not all properties are appropriate – clearly, a mid-terraced property is unlikely to have very much scope for redevelopment. Likewise, it is sometimes the case that the needs and requirements of developers change, and there may be no opportunity at a particular time to progress.
How it works
Our role is to properly understand the current market conditions, and negotiate suitable, viable options for property owners and developers alike.
Our objective is to find genuine ‘win-win’ situations – one that gives property owners a higher value than they could achieve on the open market, and that gives developers an opportunity to benefit from intelligently re-using the land.
Our fees are, in general, paid by the relevant developer for the preparatory work that we undertake and for introducing viable property owners to them. This is usually based on a conditional-fee arrangement, under which we are only paid when a transaction is fully completed. This means that it is firmly in our interest to ensure that all parties are happy with the terms of the agreement.
We do of course accept instructions from land owners to appraise their property and advise the best way forward to enhance their value – in which event they will be responsible for our fees on a previously agreed basis. In those circumstances, as well as adopting an advisory role we would expect co-ordinate the various professional disciplines required to bring about the desired result and ultimately be the selling agents. We are geared to and have the expertise and experience to take a project through the stages of initial appraisal, valuation, planning and then disposal in which case we would work closely with your solicitor to ensure as trouble free process as possible.