Garden selling?

Gperrett

Good afternoon all. I have a developer interested in buying a large chunk of my garden approximate size is 6.75m x 30m. He has purchased the 2 plots to my right and needs mine. I understand that land per square meter is worth a lot of money in the area I live in. Christchurch in Dorset, any ideas on what I should be able to make?

hazyjo

You also need to take into account depreciation on your own property. If you end up with a block of flats next door, that would probably impact on the price of your house. Not just about the price of land.

phill99

You would be advised to get a professional valuer involved. If your land is essential to his development and he can't go ahead without it, it is classed as what they call a 'ransom strip' as effectively you can hold him to ransom.


The value wont be based on garden value, but the increase in the proposed development that your land enables.


So in reality it could be many tens of thousands.


Get a valuer from the Royal Institution of Chartered Surveyors who have experience in this kind of valuation.

da_rule

Also, if you have a mortgage you’ll need to contact your lender as they will need to release their charge over the garden. They may decide that the value of what’s left isn’t enough for them so they may either insist you pay them a lump sum from the proceeds of sale or just refuse to release the land.

AdrianC

Gperrett wrote: »

Good afternoon all. I have a developer interested in buying a large chunk of my garden approximate size is 6.75m x 30m. He has purchased the 2 plots to my right and needs mine.

He NEEDS it? As in the two plots he's just purchased are useless without it because he can't get services/access...?
If so, then get the holiday brochures out...

If it would just make his plot a bit more viable/profitable to develop, then you can easily set a bottom line - what it'll take off the value of your property, plus hassle factor. Anything on top of that is cream. He, obviously, pays all your fees.

You could start to do some sums as to the profit that's in in his final development, and work out a fair share of that, proportional to the total ground area. So if your plot is 25% of the total plot size, and you reckon he stands to make £200k from the development, then I don't think 33% of the profit, times 25%, is unreasonable - which would be £16,500. But I rather suspect that the effect on the value of your place would be higher than that.

One question... Do you have a mortgage? Your lender obviously need to be involved, because this is affecting the value of the property they hold as security against the loan. Unless your loan is high LtV, and the value's going to be hit hard, I can't see them having a big problem.

You're clearly going to be living next door to a building site, then new properties, for quite some time - but will you start to resent the encroachment on "your garden"?

PersianCatLady

Gperrett wrote: »

Good afternoon all. I have a developer interested in buying a large chunk of my garden approximate size is 6.75m x 30m. He has purchased the 2 plots to my right and needs mine. I understand that land per square meter is worth a lot of money in the area I live in. Christchurch in Dorset, any ideas on what I should be able to make?

30m x 6.75m is not really a "large chunk" of garden.

The value of the land would depend on how badly the developer needs it for his development.

Developers may be squeezing in as many houses as they can in Christchurch but I don't think that any body would be able to build a house as narrow as 6m.

Slithery

PersianCatLady wrote: »

30m x 6.75m is not really a "large chunk" of garden.

[pedantic hat on]
But it could well be a large chunk of the OP's garden. It's all relative.
[/pedantic hat off]

PersianCatLady

Slithery wrote: »

[pedantic hat on]
But it could well be a large chunk of the OP's garden. It's all relative.
[/pedantic hat off]

Fair point actually, I stand corrected!!

Alan2020

PersianCatLady wrote: »

30m x 6.75m is not really a "large chunk" of garden.

The value of the land would depend on how badly the developer needs it for his development.

Developers may be squeezing in as many houses as they can in Christchurch but I don't think that any body would be able to build a house as narrow as 6m.

You can build a decent detached house that you can walk around and have parking for 2 cars, a circa 14m garden and about 130sqm usable space over 3 floors. Such a house in Greater London will typically sell for over a £million

Once bought people will immediately add a single storey or double storey rear extension as who needs a massive 14m garden.

LilElvis

I sold my house to a developer nearly 15 years ago. He purchased 50% of the back gardens of 8 of my neighbours for around 30% of the value of their properties and bought my house, and my immediate neighbour's, for more than double the value as they were required for access to the development.

Sibz

Do you know what the 'development' is? It's probably the first thing I'd be asking.... I'd want to know if I'd need to sort out moving at the same time as arranging any windfall