Land Value - Without Planning

[Hobo]

A very nice property, which sits in large grounds, has recently been seized by the PriceWaterhouseCoppers as the owner has been declared bankrupt.

Now, I am interested in purchasing an area of the land, but have no idea on how to put a value on it.
It size is 20 metres x 60 metres, it has no planning on it, it does have seperate access from roadside & is surround by residential properties (as its on the edge of the properties ground).

How do you value it ?

[jamesuk28]

It will be valued as "garden land". However the owner will smell a rat when you try and buy it and may impose a covenant or clawback clause. IE if you get planning than a certain percentage ie 30% will be payable to the previous owner.

[Hobo]

I don't think the owner has a great deal of say in it as its been seized by the liquidators.

[Hobo]

The house is probably 10/12 bedroom & in all honesty I ain't got that amount of cash (couple of million I'd suspect at least).

You're right though, to someone with the money & that seperate it (as it has numerous barns, etc, on site it would probably be a winner.

[jamesuk28]

Hobo said:

I don't think the owner has a great deal of say in it as its been seized by the liquidators.

The Liquidators are the owners you plank

[Hobo]

jamesuk28 said:

Hobo said:

I don't think the owner has a great deal of say in it as its been seized by the liquidators.

The Liquidators are the owners you plank

Well, they are & they aren't.

By all account the 'owner' who is now bankrupt owed maybe circa £500k. The property is worth circa £2 million. Obviously the liquidators do own the property at the moment, however, due to the large amount of equity in the property (no mortgage on it), then the original owner is going to realise his debt prior to the whole house being sold off by other methods.

I've spoken to the liquidators & the solicitors acting of thier behalf & the solicitors seem to reckon the land is for sale, whereas the liquidators don't seem to think it will come to the stage where this is required to be sold.

I've put everything in writing to both, explaining & showing the area in question & I guess I'll see what they come up with.

[johnfm]

Good luck - I just hope this isn't in Leeds 16 too!!!

[Hobo]

Nah, this is in Leeds LS2*

Not really looking at it as a development to flip, more a chance of a family home for myself.

These things, however, seem to fall through far too often. I've only just really got into this development malarky (got a development of 8 apartments to start in a couple of weeks), but its seems sooo hard to find land. Well not hard to find it, but hard to get it.

Not intending to sell any of the developments. More hoping to being able to put them all on BTL's & have them as a pension fund.

Might all go tits. Who knows. Still, beats surveying.

[Hobo]

johnfm said:

Good luck - I just hope this isn't in Leeds 16 too!!!

Oh, and YHM.

[ScottNicol]

a few of you have some mail.

Scott

[johnfm]

Hi guys

My mailbox was full - please resend any email you may have had for me.

[Hobo]

johnfm said:

Hi guys

My mailbox was full - please resend any email you may have had for me.

I could have told you in person yesterday, assuming that it was your car parked at Adel CC.

Edited by Hobo on Sunday 3rd June 14:24

[johnfm]

Yes it was - some bugger pinched my valve caps!! What were you doing at Adel? I was playing cricket there.

[johnfm]

Eyup Hobo

did your mate get sorted out with the LS16 stuff?

[Hobo]

Its appears that he's been told planning would not be granted until 2016 if 'normal' houses were built, however if 'green' houses were build then planning would probably get pushed through quicker.

Just in the process of checking this, but does it sound right ? I mean, do planners give preferential treatment to eco friendly houses ?

[Horse_Apple]

Hobo said:

Its appears that he's been told planning would not be granted until 2016 if 'normal' houses were built, however if 'green' houses were build then planning would probably get pushed through quicker.

Just in the process of checking this, but does it sound right ? I mean, do planners give preferential treatment to eco friendly houses ?

Hi Hobo,

Every planning department has a set of guidelines. For example the council may have decided that they need as many new households as possible in a particular area and so will give preference to high density apartments over 6 bedroom detached.

It does make sense.

It sounds like this plot is in a very tricky area, hence the lowball offers.

My advice would be to not bother at all with any developers who are not focussed on Leeds with strong working relationships with the local planning officers.

Without this people would probably repeatedly fall at the first hurdle and achieve nothing.

There are a couple of firms working on green developements in the area.

[Hobo]

Just to avoid confusion I've put the above response into the correct thread (as this thread was about other land completely).