What Affects the Value of Development Land?

What Affects the Value of Development Land?

The value of development land can vary significantly from one site to another, even where the plots appear broadly similar at first glance. Developers will usually assess a combination of planning position, location, access, build costs and local demand before deciding what a site may be worth.

Planning permission is often one of the biggest factors. Land with full planning consent will generally command a higher value because the principle of development has already been established. However, sites without consent may still attract interest where there appears to be realistic future potential.

Location also plays an important role. Developers will look closely at local property values, housing demand and surrounding development. Smaller sites in desirable villages or established residential areas can sometimes attract stronger interest than larger sites in weaker locations.

At Landbank, we regularly provide informal appraisals for landowners who simply want to better understand the possible value and potential of their land before making any decisions.

Photo by Marek Minor on Unsplash