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Community infrastructure levy on new build
krusty101
Posts: 90 Forumite
We’re buying a new build, hopefully exchanging next week. The searches came back with a vague ‘There is a CiL charging schedule, the local authority has not issued any notice’. Never heard of it so started to research and asked the solicitor for clarification. They’ve gone to the developer’s solicitor and they’ve just repeated the same.
I’ve contacted the local planning office to ask how much it could be and if they will be issuing a notice and they’ve said they’ll look into it. If the developers don’t get asked for this, or don’t pay it, I think this will transfer to the landowner (me). Based on the size of property and £ per square metre it looks about £4960 (124 sq m x £40) - is that basically how it works?
Has anyone been in a similar situation? Would a developer indemnify a buyer against this or what happens? Am I overthinking it and it always gets sorted? For info the site probably still has another 6-12 months of building to go so it’s not like they’ll be off soon but I also don’t want to blindly go into this. My solicitor just glosses over it so I’ve had to push her to tell me what she advises. Nothing back as yet so any advice gratefully received.
I’ve contacted the local planning office to ask how much it could be and if they will be issuing a notice and they’ve said they’ll look into it. If the developers don’t get asked for this, or don’t pay it, I think this will transfer to the landowner (me). Based on the size of property and £ per square metre it looks about £4960 (124 sq m x £40) - is that basically how it works?
Has anyone been in a similar situation? Would a developer indemnify a buyer against this or what happens? Am I overthinking it and it always gets sorted? For info the site probably still has another 6-12 months of building to go so it’s not like they’ll be off soon but I also don’t want to blindly go into this. My solicitor just glosses over it so I’ve had to push her to tell me what she advises. Nothing back as yet so any advice gratefully received.
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Comments
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Is your solicitor the one 'recommended' by the developer?
Yes, it works on a £/sqm basis.
Yes, if the developer doesn't pay, the liability defaults to the landowner, who may be you by that stage.
All their reply means is 'the council does charge CIL on developments, they have not written to us to specify the amount or accept our liability' (the developer is supposed to volunteer liability at the start of the process but if they don't pay then that liability can move). So it's not really an answer at all.
Odds are that it will all get sorted out. To be fair to the developer they can't pay at the moment even if they wanted to. But yes I don't think you want to brush this under the carpet.0 -
My solicitor rang this morning and said there’s an indemnity on my file from the developer which they’ll send to me. I wish they’d said that a few emails back. So I was at panic stations for nothing. Thanks for the reply
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