Land at Houlgate Way, Axbridge
- Client: Developer & Private Landowners
- Services Provided:
- Strategic Development Land • Residential Development
The Instruction
Acting jointly on behalf of the landowners and Hannick Homes, Alder King was instructed to market a 7.63 acre agricultural site in Axbridge for the development of 53 new dwellings (including 30% affordable). The land benefited from outline planning permission and a signed Section 106 agreement. Alder King initially acted for the landowners in negotiating the terms of the Promotion Agreement, which converted an Option Agreement where a value could not be agreed between the parties.
Our Approach
We openly marketed the consented site to housebuilders, inviting offers via informal tender for the freehold interest of the site on an unconditional basis and conditional basis (subject to reserved matters only). This process included the creation of a full colour brochure, providing all the necessary information to prospective buyers in a succinct format. We also hosted a data room containing a comprehensive suite of supporting and technical information.
Following a five week marketing period, Alder King had received 14 offers, 13 unconditional and one conditional. With this level of demand, it was recommended that a round of best bids should be invited from the top five bidders, helping to drive competitive interest and maximise value. Next the top three bidders were selected for interview, with the landowner present.
Outcome
Once interviews had taken place, in agreement with our landowner clients, a party was selected to proceed with. Alder King negotiated a sale at full development value, selling the land to housebuilder Bellway, with a simultaneous exchange and completion, with 100% of the balance of the final price payable on legal completion.
