Outright Purchase
Greenly Developments can consider all scenarios and we are happy to negotiate with motivated land owners that are in a position to sell their land or site without going through the process of getting planning consent.
This strategy is preferable when the land owner wants a quick exit and prefers to secure extra profit for their land now rather than waiting for higher returns later that inevitably will carry some associated risks.
Greenly Developments will offer a premium against the current market value of the land or site, subject to extensive due diligence and assessment of the risks taken, and only if the land is suitable for residential development and there is the opportunity to get the uplift.
In any case, we can match any offer received by any large housebuilder or developer.
Land Promotion
Greenly Developments will act as the Land Promoter and this is dealt with by a Land Promotion Agreement, which is a contract between the landowner and the Land Promoter.
We will commit to using our funding, experience and knowledge of the planning system to secure planning permission on your land or site through innovative design and layout, with the aim of maximising the GDV (Gross Development Value) of the scheme.
Once planning permission is secured, the uplifted land will be sold for profit to a third party with the Land Promoter taking a Share of the actual sale price. The size of the Promoter’s Share varies depending on the size and location of the site as well as the chances of success and risk taken.
Why a Land Promotion Agreement is the preferred option for the landowner?:
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Our interests are aligned with the land owners’, the more land uplift we can achieve, the higher the profit gain for both parties
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Our team of experienced professionals will push the boundaries of the design to make sure that the highest returns are achieved. We are commercially minded but we also believe in the power of great design to create unique places for the future residents
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We wouldn’t entertain this option if the Vendor’s Share wasn’t a considerably higher figure than the current land value on the open market
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We undertake careful due diligence on the site and thoroughly assess the risks of getting planning permission for residential development on the site. We are happy assuming and funding the risks as we are confident in our expertise and ability to getting successful planning permission
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As the Land Promoter, we just concentrate on getting the best possible scheme that will yield the highest possible land uplift, as opposed to a standard housebuilder that would tailor the site to their needs (i.e. their standard housetypes or internal delivery targets) and would offer a reduced ‘market value’ price for the land pre-planning
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Once planning is achieved, the best returns are obtained by marketing the site on the open market (highest bid), although we can look at other ways of selling through specialised estate agents (i.e. selective tendering, the site is initially offered to a handful of housebuilders / developers to test the waters, this can all be agreed beforehand)
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The process can be completely confidential and neighbours are only notified after planning submission has been made. We as a business evaluate this closely and focus on making the proposed developments beneficial to all affected
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There are no costs to the land owner, we will cover the Solicitor fees for the Land Promotion Agreement for both parties, we will cover all planning costs and risk and we will also cover the sales costs
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The Land Promotion Agreement is flexible and tailored to the land owner’s needs, we can incorporate clauses to suit the Vendor’s requirements i.e. timescales or delays
Land Development
Greenly Developments will act as the Land Developer and this is dealt with by a Land Purchase Option Agreement, which is a contract between the landowner and the Land Developer.
This strategy is usually preferable to the Land Promotion for smaller sites and minor developments, as it maximises the returns that the landowner gets for the land.
We will commit to using our funding, experience and knowledge of the planning system to secure planning permission on your land or site through innovative design and layout, with the aim of maximising the GDV (Gross Development Value) of the scheme.
Once planning permission is secured, Greenly Developments will exercise the option of purchasing the uplifted land at the agreed purchase price, which will be much higher than the current market value of the land.
Greenly Developments will then develop the land and build the residential scheme as approved by planning and to the highest standards in order to attract potential buyers and ultimately sell the new homes on the open market to the future residents.
Why a Land Purchase Option Agreement is the preferred option for the landowner?
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Our interests are aligned with the land owners’, the higher GDV we can achieve, the higher the price we can pay the landowner for the land
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Our team of experienced professionals will push the boundaries of the design to make sure that the highest returns are achieved. We are commercially minded but we also believe in the power of great design to create unique places for the future residents
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We undertake careful due diligence on the site and thoroughly assess the risks of getting planning permission for residential development on the site. We are happy assuming and funding the risks as we are confident in our expertise and ability to getting successful planning permission
-
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As the Land Developer, we concentrate on getting the best possible scheme that will yield the highest possible GDV, as opposed to a housebuilder that would tailor the site to their needs (i.e. their standard housetypes or internal delivery targets) and would offer a reduced ‘market value’ price for the land pre-planning
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An overage clause can be included in the agreement, if the GDV turns higher and Terra Developments get higher returns from the actual sale of the dwellings, these can be shared with the landowner creating a further win/win scenario
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The process can be completely confidential and neighbours are only notified after planning submission has been made. We as a business evaluate this closely and focus on making the proposed developments beneficial to all affected
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There are no costs to the land owner, we will cover the Solicitor fees for the Land Purchase Option Agreement for both parties and we will cover all planning costs and risk
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The Land Purchase Option Agreement is flexible and tailored to the land owner’s needs, we can incorporate clauses to suit the Vendor’s requirements i.e. timescales or delays