Monthly Archives: February 2011

Are these the 10 most important outcomes for the new UK planning strategies?

. Make positive steps to simulate sustainable economic growth, with job creation at its core.
2. Provide the infrastructure to support sustainable growth and communities.
3. Make adequacy provisions for local housing strategies and needs.
4. Reduce carbon output and encourage sustainable practices, policies and procedures.
5. Focus redevelopment on Brownfield land and regeneration zones and strategies.
6. Stop further unnecessary housing developments and urban sprawl.
7. Provide incentives and guidance on the redevelopments and commercial success of town centers.
8. Enhance and protect the historic and cultural environment.
9. Safegaurd coastlines, landscapes, and habitats.
10. Encorage waste targets and strategies.

Restoring and renovating Georgian period properties

First things first is it Georgian? The Georgian period was a long running period of architectural design starting in 1714 and running right through to around 1820. The latter part of the Georgian period partially overlapped the Regency period. The Regency period ran for a fraction of the time of the Georgian period running from 1800 through to 1830.
Georgian is a well known and respected phrase, and conjures up beautiful properties and a very positive image. For this very reason many manufactures and building product suppliers will often sell items as Georgian or Georgian style. Please be careful when choosing items because they are very often not in keeping with the Georgian period. Georgian finishing?s like door handles etc were usually cast iron, but most Georgian style items on the market are brass, so check before you buy.
The details will set your home apart from a less well planned Georgian restoration so make sure all the timber details are perfect this is very important. Do not be tempted into unfinished timber just go for a quality period paint and make sure you have the correct sheen. The Sheen is basically how shinny the finish is, getting details like this correct will really set your project apart from other projects.

Access our development management services

Site and development funding
We specialise in site and development funding having finance and re-financed many complex and challenging property projects. We have an enviable network of professionals in the property, development and finance sectors. We have access to sites, brokers and high net worth private investors that means we can simple fund deals where others fail or with superior rates and structures. Though various channels we have access to sites and funding that is not available on market.
Mezzanine funding
Mezzanine funding is one structure that we use to make a deal happen. Often a two million pound GDV deal could be 100K short. Many brokers will ?re-address?, figures in an attempt to obtain the required levels of funding. With banks and funders still nursing impaired property back loans a more creative structure is often required. This is when mezzanine or top up lending can be used, yes mezzanine funding is not a cheap option but can often make a deal happen. With typical mezzanine funders looking for returns between 25-40% returns or profit shares it does need to be carefully structured. Experience has show that this is often a win win for developer?s investors and funders. We have tried and tested mezzanine agreements and can assist in the structuring of both mezzanine funding and development funding. Experience is required to make sure that the funding streams are available with the correct timing and structure.
Development management and professional services
? Liaising with clients to identify their development/site requirements.
? Locating and identifying potential development site.
? Negotiating the purchase price of development sites.
? Dealing with primary, secondary and tertiary landlords.
? Instructing and liaising with Architects and Engineers to ensure designs meet the client?s requirements.
? Dealing with Local Authorities and County Councils in relation to planning, highways, building Regs, etc.
? Dealing with solicitors in relation to the purchase and sales of sites/completed units.
? Organising funding and liaising with professional consultants with regards project funding draw downs.
? Setting project cost and programme constraints.
? Liaising with and overseeing agents through the sales and marketing process.
? Preparing marketing strategies and linking them in with the selling agents.
? Providing after sales service to new property owners.
? Providing Quantity Surveying and Project Management duties throughout the project.
? Disposal of any undeveloped sites.

Joint ventures & Development brokerage
Joint venture property developments are often mutually beneficial joint venture contracts between the various contractors and professionals that form the building blocks of most property ventures or property deals.
Typically they would be the owner of the land or site, or sometimes the person or organisation that holds the development rights through an option agreement. There are also often main contractors who will sometimes carry out the build stage of the property development at cost, or arrange the development payment scheduled to assist with the project funding and lending criteria.
Often our Architects, surveyors, planning consultants and funders will provide any missing components require for the development team through our network.
There are various ways to structure a joint property venture, either through profit share or a mezzanine funding agreement, or simple through deferring invoice dates. The various mezzanine funding options or interest roll up structures help greatly because they keep cash out of the development in the build stage when funds are most needed. The issue is valuable cash gets tied up in the development to satisfy the development funders that it is not just their funds. Then once the property development build stage is underway there is no cash through the door until either the project is finish and most importantly sold or at the very least the first construction phase payment stage.
So it becomes apparent that when the cash flow or large site deposits are often one of the largest challenges that many property developers face, the need for more and more creative financing structures mean that the joint venture are often the best way to secure both the land option and the property development financing.
Interestingly the government has even used the basic principle with their public private partnerships, and in turn the joint property venture has filtered down to even some of the most basic property developments. When a small builder may chose to defer their invoice until a project is sold in exchange for a profit share, this can assist a developer who can only finance the site or project purchase costs. We can assist in finding suitable developers, main contractors and site owners who have unencumbered sites but lack the skills lenders require. We have experience in setting up special purpose development vehicles, dealing with factor servicing trusts and other complex and tax efficient structures.

For further information please e-mail ? Tel: 01332 412 265
We are not FSA registered our brokers and finance partners are.

Commercial and property development funding experts set to make money

The Lloyds banking group which is one of the largest property lenders in the UK has reduced its loan book to property companies by over 10% in 2010. Its property backed loan books showed lending to commercial property companies of ?36 billion. With a further ?17 billion to social housing companies and a paltry ?3.3 billion to home owners. Significant recovery in the capital value of commercial property investments will increase the banks appetite for property development funding. This coupled with the number of impaired property backed loans decreasing day by day. It looks very much like now is the time for cash rich risk confident property investors to set themselves up for some healthy returns from commercial property

Royal Institute of Chartered Surveyors recommends tax incentive to boost property sector

The property industry is calling for a positive outcome for property and construction from the next Budget. The industry has shown that for every pound invested in property construction it returns nearly three pounds to the wider British economy. The country still needs more quality housing, good quality business premises which will not only satisfy demand but also create desperately needed jobs. Ric?s are lobbying for a return of tax relief packages for empty buildings. This is proven to encourage development within the commercial property sector.

Buy to let yields compress as buy to let mortgage products range improves

Buy to let rental yields have compressed in January 2011 there are two reasons for this one house prices remain relatively stable so no fall in capital values has kept yields stable from that end. The compression of yields is as a result of slightly lower rents. Rents have been rising sharply in recent times but with a wider range of buy to let mortgage finance available there has been more competition for tenants from Landlords. We are certainly not seeing a shortage of tenants or indeed any great over supply of available rental property. There is simply a small return to a sensible attitude by the banks to buy to let lending, which is slowly returning the market to a more normal state.

Local authority planning policies and strategic planning policies

With housing and planning decisions being decentralised and Local authorities now being responsible for Local housing plans and straiteries government is remaining tough on planning policies. Rumors are emerging that any local authorities that plan to submit zero growth plans will have their plans rejected. The government has also announced its New Homes Bonus scheme which could give local communities more than a billion pounds. The New Homes Bonus scheme is designed to incentivise local communities to build new homes in their areas. Interestingly the scheme also extends to existing empty homes that are brought back to use.

Property repossessions fall for five consecutive quarters

The council of mortgage lending is predicting figures of around 40,000 this year which is an increase but still well below 2009 figures. The figures showed that repossessions were down 24% just short of a drop of one quarter. Considering the recent challenging economic back drop the housing market has showed a surprising resilience.

Shop vacancy report shows the changing face of British retailing

With town center shop vacancies hitting 14.5% having risen again in 2010 from 12% at the end of 2009 there is a new dawn for urban living. Should we and the planners embrace the changing high street or battle to keep it the same as always? With areas in the Midlands and North showing that one in five shops are empty leaving vacant gaps in the high street that are very visible signs of change. Well it is not all bad news with some discount retailers expanding. Poundland is planning a rapid expansion with plans to open 500 new stores this year.

15 percent freehold backed returns for property investors

Property investment data for 2010 has shown that retail investment property has returned 15% in 2010. Office investment property returned a slightly better return of 16.1% these returns will encourage many investors back into property investment. The poor relative was industrial property with a slowdown in construction output being cited as one of the reason for it only making a 10% return. Many savvy investors believe that the gap between prime and secondary commercial property shows real opportunities for the experienced investors and institutional investors.