Latest Valuation
£105,000
ROCE
%
Location

Site with Planning Permission Generating £80k Profit

Development opportunity in Lancashire
Guide Price
£105,000

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Key Features

  • £82,870 Profit (Before Tax But After All Costs)
  • Buy, Develop, Sell
  • Estate Agent Ready to Market to Sell Off-Plan
  • Fully Project Managed
  • Hands-Free Turnkey Investment
  • Full Planning Permission Granted

The Property

This off-market opportunity already has full planning approval for a 3-bed detached house.
Now with the planning permission approved, the developer is looking for a swift sale.
The vendor is looking for quick completion and has priced it accordingly to sell.

Once developed, the plan is to sell the property to the open market to realise the profit.

The site is currently occupied by several dilapidated outbuildings. These outbuildings will be demolished as part of the proposal.
The site benefits from full planning permission to build a 1 x 3 bedroom house.
The design provides an area for two cars to be parked (including the garage) and turning area to manoeuvre.
GIA: 1,185 SQFT. The total gross internal area is 7,524 sqft

The vendor is an active developer, who holds option over the site and is simply trading the option on for a marginal profit to the buyer allowing them to take the bulk of the profit.

Planning Information

Flyde Council planning

Application Number: 19/0328
Date of Decision: 08/07/2019
Location: LAND AND BUILDINGS TO THE REAR OF 157 ST ANNES ROAD EAST, SHEPHERD ROAD, LYTHAM ST ANNES
Description: ERECTION OF TWO STOREY DETACHED DWELLING WITH INTEGRAL GARAGE FOLLOWING DEMOLITION OF EXISTING OUTBUILDINGS

The Plan

Financials:

GDV: £350,000

Purchase Price: £105,000
Development: £125,000
Project Management £7,500
Sales Agents Fee £1,800
Sales Legal Fees £1,200
Freeholder Contribution £10,000
Finance Costs £13,630
Sourcing Fee £3,000

SDLT £0
Purchase Legals £0
CIL £0
S106 £0

Total Cost / Cash Buyer £267,130

Estimated Profit of £82,870

Return on GDV 23%
Return on Cost 30%

FINANCED BUYER
WE HAVE LENDERS IN PLACE READY TO FINANCE
PLEASE NOTE THE FINAL FINANCE OFFERED WILL BE BASED ON YOUR PERSONAL CIRCUMSTANCES
THE FIGURES PROVIDED ARE FOR TYPICAL LENDING ON THIS TYPE OF PROPERTY

PURCHASE PRICE: £105,000
REFURBISHMENT: £125,000

Development Finance to Purchase;
60% of the purchase price. Loan: £63,000. Deposit £42,000
100% of development costs
Total loan: £188,000

Finance costs;
Arrangement fee 1.25% = £2,350
6% over 12 months £11,280
Total £13,630

Total cash-in;
Purchase price deposit £42,000
Project Management £7,500
Freeholder Contribution £10,000
Sourcing Fee £3,000
Total: £62,500

Limited risk management;

GDV £350,000
Confirmed by local estate agents, sold comparables and properties currently on sale in the immediate vicinity
Desktop valuation confirming GDV supplied

Development: £125,000 incl VAT with 10% contingency built-in.
PRICE: £105 PER SQFT
Build term 12 months
An experienced local developer has been sought to give a price per sqft subject to detailed tender. The price given is £105 per sqft.
Alternatively, you can use your own team.
The duration is estimated to be 12 months
Introduction to the main contractor can be made upon request along with a site visit to talk through the scheme. The price is subject to some slight changes when going to detailed design and tender, and the developer will provide the full renovation schedule of works and specifications. A detailed schedule providing a breakdown of costs and timelines will be supplied.

Project Manager £7,500 incl VAT
Carter Zub is the independent building surveyor that will project manage and oversee all works.
You have the choice to use your project management team. The project managers job is to take care of the development and deliver the job on time and within budget, subject to unexpected circumstances arising.

Sales Agents Fee £1,800 incl VAT
We have already in place a local estate agent who will market to sell off-plan. Their comments; ‘To achieve the best possible price I would suggest marketing the properties early into the build process to engage with potential buyers and encourage them to invest both financially and emotionally to the development. By giving them options to choose kitchens/bathrooms/flooring etc (within a set budget) so the end-user feels like they are effectively building their own home. This will enable us to get the best price’

Sourcing Fee £3,000
Payable at Exchange through solicitors i.e. after RICS survey
Fully refundable if legal issues with Title discovered that were previously undisclosed

STAMP DUTY £0
Commercial Rates

PURCHASE LEGALS £0
The vendor will pay for the buyers to purchase legal fees in turn for the buyer using a solicitor that is recommended. The vendor is willing to do this for fast exchange and completion as he knows the solicitors can achieve this

Process:
NON - REFUNDABLE deposit to reserve: £5,000 which is deducted from the purchase price.
As this is NON-REFUNDABLE, please ensure you've done your research prior to paying this. It's your responsibility to make sure you're happy before moving ahead. This deal is an auction style deal where there is 1 week to exchange (the vendor will agree 5%, but in event of buyer default 10% is due and payable) from paying the deposit and 7 weeks completion. Therefore before paying the deposit make sure you've carried out your own due diligence.

Sold As Seen
The development opportunity is sold as seen, and all numbers provided are a guide only based on professional opinions and should not be solely relied upon. You must do your due diligence and seek professional advice if necessary.

The Location

The Development is situated in the popular residential area Lytham St Annes, just off St Annes Road East.
The site has good sustainable transportation links and sits within reach of the M55 and two train stations which provide national link connections.

Local Amenities
St Annes-on-the-Sea 0.8 miles
Blackpool International Airport 1.2 miles
Heyhouses Endowed Church of England Primary School 0.4 miles
Our Lady Star of the Sea Catholic Primary School 0.4 miles

Nearest bus stops
Shepherd Road Hey Houses 89m
Moorland Road (Church Road) St Annes 183m
Moorland Road (Church Road) St Annes 214m
Recreation Ground (Shepherd Road) Hey Houses 331m
Recreation Ground (Shepherd Road) Hey Houses 367m

Nearest railway stations
St Annes-on-the-Sea Station 1.3km
Ansdell & Fairhaven Station1.8km
Lytham Station 3.4km

Nearest sports facilities
Clifton Primary School Clitheroe Road, Lytham St. Annes Grass Pitches 599m
Royal Lytham And St Annes Golf Club Links Gate, Lytham St. Annes Golf 772m
Our Lady Star Of The Sea Catholic Primary School Kenilworth Road, Lytham St. Annes Grass Pitches 801m

Average estimated value for a house in FY8

£

Hunters Estate Agent Comparable Evidence (Sold House Prices within 1/2 mile radius)

1, Salisbury Avenue, Lytham St Annes, Lancashire FY8 3FS £409,950 Detached, Freehold, Residential (New Build) 12 Dec 2019
11, Salisbury Avenue, Lytham St Annes, Lancashire FY8 3FS £389,950 Detached, Freehold, Residential (New Build) 09 Dec 2019
(Several other New Build properties on Salisbury Avenue have also sold for similar prices, including no.26 that Sold at £464,950 and 11 other detached properties all selling in advance of £350,000 since May 2019)
48, St Annes Road East, Lytham St Annes, Lancashire FY8 1UR £365,000 Detached, Leasehold, Residential 26 Jul 2019
48, St Annes Road East, Lytham St Annes, Lancashire FY8 1UR £365,000 Detached, Leasehold, Residential 26 Jul 2019
24, Dorset Road, Lytham St. Annes, Lancashire FY8 2ED £320,000 Detached, Leasehold, Residential 26 Oct 2018
46, St Annes Road East, Lytham St Annes, Lancashire FY8 1UR £435,000 Detached, Leasehold, Residential 04 Oct 2018
32, Whitby Road, Lytham St. Annes, Lancashire FY8 3HA £335,000 Detached, Freehold, Residential 24 Aug 2018

Rightmove Sold comparables - FY8 postcode. Within 1/4 mile - Sold in last 1 year - Detached - Sorted by address

£371,950 6 Birchwood Close, Lytham St Annes, Lancashire FY8 4PQ
https://www.rightmove.co.uk/house-prices/detailMatching.html?prop=83776319&sale=11036347&country=england

£386,000 63 Cartmell Road, Lytham St Annes, Lancashire FY8 1DF
https://www.rightmove.co.uk/house-prices/detailMatching.html?prop=56054448&sale=11036098&country=england

£392,000 100 Clifton Drive, Lytham St Annes, Lancashire FY8 1AS
https://www.rightmove.co.uk/house-prices/detailMatching.html?prop=75738755&sale=9457195&country=england

£355,000 49 Rowsley Road, Lytham St Annes, Lancashire FY8 2NT
https://www.rightmove.co.uk/house-prices/detailMatching.html?prop=62874957&sale=90366138&country=england