Strategy: Land & Development

Will new ‘garden grabbing’ rules affect your land finding?

Whether you’re sourcing plots for your own developments or looking to generate quick five or six figure profits through planning gain ­– land finding is an essential skill in your property toolbox.

However, because of recent policy changes brought in by the new Lib/Con Government, you may have become reluctant to get out there and source profitable development land. So let’s take a look at how the new rules affect you and your land finding…

What are the new rules?

Basically, the Government has changed the planning classification of gardens to tackle the so-called problem of ‘garden grabbing’.  “What’s that?” you ask! Well, put simply, it’s the practice of developers snapping up back gardens and squeezing inappropriate properties onto the land, therefore spoiling the neighbourhood and upsetting local residents.

In an effort to discourage this practice, the Planning Policy Statement 3: Housing (PPS3) has been amended. This sets out policy on previously developed land and housing density.

In simple terms, the changes mean that gardens are no longer considered “Brownfield land”  (or land that has been previously developed).

Local Planning Authorities are now expected to consider this new policy when looking at planning applications. However, you’ll be pleased to know that the new policy isn’t to be interpreted as a presumption against residential development on private residential gardens…

So how big a problem is “garden grabbing”?

Independent research was recently commissioned by the previous Government to investigate whether or not inappropriate developments within back gardens is an issue. Let’s just take a quick look at their findings…

“Of the 127 [councils] who responded, less than half (50 councils) considered it an issue in their areas. Of those who reported a problem, only 5 per cent (7 councils) had specific, local policies in place.”

This suggests that ‘garden grabbing’ isn’t the problem that the media and the spin-doctors would have us believe! However, despite the fact that over 50% of councils don’t consider garden grabbing to be a problem, gardens have now been reclassified…

How do the new rules affect your land finding?

Well, looking over my past land finding deals from the last few years I can only find one ‘garden land’ deal that would’ve been affected by the new rules.

99% of my land finding has been Brownfield land and not back gardens. For example, most of my deals have been plots such as an MOT garage and petrol station, a tyre and exhaust garage, a public house, a farmhouse and barns, a former Church, the site of a haulage depot, a van sales yard…but not many gardens!

So will the new rules affect my deals? Not really.

You see, there are several different types of ‘garden developments’.

As has always been the case, some are more suitable than others – it really depends on what you want to build on the land and how it affects the local neighbourhood.

So rather than squeezing a house into someone’s back garden, you might want to stick to “infill” garden plots, where new properties are built in the gaps in between existing properties.

Personally, I’ll still continue to look at appropriate garden sites. A lot depends on location…

For example, I live in Bolton. Lostock and Heaton are affluent wards, so as a result large houses are much in demand. However, to preserve the area, planners have restricted the practice of developing in gardens. They’ve also restricted demolishing properties in big plots and replacing them with high-density developments.  So the new policy change will help the council to consolidate local planning policy for the area.

Yet, in other areas of Bolton, where for example, a policy of regeneration is on the agenda, you would find less resistance – so long as the plans are in-line with planning regulations and the local neighbourhood…

So, as I say, a lot will depend on location as local councils will each have different concerns and hence will have different local planning policy. So it’s best to check out what their policy is and stick to it when looking for suitable development plots.

In real terms, local councils have always had the power to refuse planning applications – the new guidance will just serve as a material consideration when they are looking at planning applications.

So how should you conduct your land finding in future?

When land finding, carry out your due diligence and examine local policy carefully! Much will depend on the development that you are proposing – just as it always has. Nothing has really changed!

Just make sure that any proposed development is inline with the local neighbourhood and planning policy and you should be fine.

Saying that, it’s probably wise to stick to less controversial garden types plots. You don’t want to suggest a high-density development on a back garden site if it’s against the local planning policy!

Besides: you really don’t need to stick to garden sites to generate big money! There are literally thousands of suitable Brownfield sites out there, just waiting to be developed! So get out there and keep looking!