Property development sites: current opportunities?

At Blackadders, we are always in touch with other property professionals to get the most up to date and useful market information available.  While the overall market for landowners and residential property developers is undoubtedly flat, there are always trends and new research becoming available to help make the most of current circumstances.

One of our nationwide land agent contacts has provided a regular update. From this, we can see that while some sites perform strongly, others see little or no recovery. The main points are:

  1. In general, land values continue to increase, but at a slower rate than previously. Nationally, while greenfield land values increased 2.4% in the 3rd quarter of this year, urban values were up only 0.2%.
  2. Fully serviced sites are where the real growth is, particularly in areas of strong demand and limited supply, for example in Broughty/West Ferry areas of Dundee.
  3. Although the market for bulk and strategic brownfield sites is limited, some real opportunities lie in converting these into serviced products.

We are also seeing that joint ventures are becoming more common, with involvement ourselves in structuring these novel types of deal. More detail to follow shortly.

Please contact me for more details or to discuss any development matters in confidence. Direct Dial 01382 342220 or email shaun.mackintosh@blackadders.co.uk.

Shaun Mackintosh
Associate