Development Site Sales and Purchases

Our team of Commercial Property Solicitors has extensive experience in dealing with the purchase of land for development, whether for residential, commercial, or mixed-use projects.

What are the key aspects of development site sales and purchases?

• Conditional Contracts

This is the most common structure, where the sale is only finalised once planning permission is granted. This allows the buyer to assess the viability of the development before fully committing to the transaction.

• Option Agreements

In this arrangement, a landowner grants a developer the exclusive right to purchase the land within a defined period, usually in exchange for an option fee. This gives the developer time to secure planning permission before finalising the purchase.

• Promotion Agreements

A landowner may partner with a land promoter, who will work on securing planning permission on their behalf. In return, the promoter typically receives a percentage of the sale price once the land is sold.

What factors should be considered in development site sales?

Land Value: This is assessed based on factors such as location, size, zoning regulations, potential development density, and market demand.  

Planning Considerations: The likelihood of obtaining planning permission for the intended development, including any restrictions or conditions that may affect the project.

Development Costs: The anticipated costs associated with construction, infrastructure, and legal fees for the project.

Risk Assessment: An evaluation of the potential risks associated with obtaining planning permission and the overall feasibility of the development project.

What additional checks are needed for development land?

Unlike the sale and purchase of commercial property, development land needs to have additional searches and checks to ensure that the site is suitable for your intended use. These checks may include:

• Can the property be used for is planned purpose?
• Has planning permission been granted for the anticipated use, or will it be required? If so, should this be obtained pre or post-completion?
• Is there likely to be a requirement to enter into planning agreements?
• Are there any anticipated clean-up costs to prepare the land for development?
• Do you need any consent or cooperation from others for the development?
• Is overage an issue?
• Should additional searches be carried out?
• Should further due diligence enquiries be conducted?

How we can support you

At Taylor Bracewell, we aim to keep you informed at each stage of the transaction process. By providing regular updates, we ensure you have a clear understanding of our progress and what steps are coming next. It is vital for us to have a good working relationship where we can discuss your goals and offer tailored advice to help you achieve the best possible outcome.

Our commercial property solicitors specialise in handling plot sales for residential developments, part transfers, and granting of long-term ground leases or commercial leases on mixed-use commercial sites.

For more information, contact our Doncaster solicitors on 01302 341414 or our Sheffield solicitors on 0114 272 1884.

We can also help you with any of the following: