The UK is well known as a place of innovation and investment. London is the world’s only truly global city, and is home to more foreign billionaires than any other city on earth. However, the UK does not have an unlimited supply of prime development sites, so if you are looking for a high-value property to develop or a new opportunity to invest in, you need to act fast. There are many factors that can affect the price of an opportunity, so it's essential that you take your time finding the right site for your needs - there are some tips on how to do this below.
A development opportunity is a property with the potential to be turned into something new, either through redevelopment or conversion. Investment in a development opportunity can result in a new income stream for investors, and it can also create jobs. In London, property prices are expected to rise by a further 10% over the next year, which means that now is a great time to invest in this type of property.
With a shortage of prime development sites in London, it can be difficult to find land that meets your needs. However, there are four key factors to look for when hunting for a site:
1. Location
2. Price
3. Size
4. Condition
Location is important because it will influence the price and size of your site. For example, if you want to invest in retail space, you're looking for sites in popular locations like Knightsbridge or Bond Street - these areas tend to offer higher rental yields than less prestigious locations. This is an excellent consideration for developers who are considering mixed-use or residential developments as the location will dictate how much property they can acquire and what type of mix they can implement.
When considering price, we advise that you consider both purchase prices and rental yields - this gives you an idea of how lucrative the opportunity is and whether or not it's worth investing in now or waiting until the market improves. You should also think about how large your development will be as this will affect how much area you need - for example, 6 units would need less space than 200 units! It's also important to consider the condition of the site - some opportunities may need significant work before construction can begin while others might just require new landscaping to bring them back up to scratch.
The City of London offers a wide range of opportunities for development, from large sites in key locations to smaller plots in the suburbs. Prices vary depending on the size, location and quality of the opportunity you are seeking. Factors that affect price include:
- The size of the opportunity, which can range from a few thousand square feet to many acres
- The location, with opportunities located in central London commanding higher prices than those in outer boroughs
- The condition of the land, with undeveloped or derelict sites commanding lower prices than development opportunities with existing buildings
- Accessibility - some opportunities will be more easily accessible than others
There are a number of ways to finance the purchase of a development opportunity. It’s not always possible, but it’s worth exploring your options to see how you can afford to make the best investment for your circumstances. One option is a site-specific mortgage, which is designed specifically for this purpose and offers the flexibility to borrow against the value of the land itself. Alternatively, you could try 'growing' your way in by assembling multiple smaller sites into one larger whole, with the intention being to sell or lease out individual plots over time to generate investment income.
These methods can also be combined; for example, if you have an outstanding mortgage on your own property and want to take advantage of London's booming property market by investing in a development opportunity, it may be possible to release equity from your existing home in order to fund purchase of a new development site.
London is the perfect place to invest in a development opportunity. With a large, affluent population, a booming economy and an ever-increasing number of new businesses coming to the city, there has never been a better time to buy property in London.
You can start your search by visiting the website of one of our trusted partners at www.DeveloperOpportunities.co.uk, who have extensive experience in buying and selling development opportunities around London. Whether you're looking for something to invest in yourself or you're interested in finding an investment for somebody else, this site is the perfect place to start.
What are you waiting for? Visit the website now to find your next opportunity!
