Bromsgrove District Plan Examination Submission Document on

www.dtz.com
Bromsgrove District Plan Examination
Submission Document on behalf of Phoenix
Life Limited
Matter B5 – Site Allocations
November 2014
DTZ, a UGL company
1 Colmore Row
Birmingham
B4 6AJ
Contents
1
Introduction
3
2
Matters for Examination
6
3
Evaluation of BDP Evidence Base
7
3
The Market for Existing Use
8
4
Market Demand for Residential Use
10
5
Sustainability Assessment
11
6
Site Delivery
14
Appendix 1 – Qualitative Site Evaluation
Appendix 2 – Site Marketing Brochure
Appendix 3 – Development Appraisal
Appendix 4 – Submission site Masterplan
Page 2
1
Introduction
1.1
This report has been prepared on behalf of Phoenix Life for submission to the Bromsgrove District Plan (BDP)
examination in relation to the land at Wythall Green Way known as Wythall Green Business Park.
1.2
W thall G ee Busi ess Pa k as de eloped i the id
s as a offi e a pus fo B ita i Assu a e.
The main campus building is currently occupied by Phoenix Life and Boundary House is occupied by Selco.
The existing buildings comprised what was envisaged as the first phase of the development of the business
park. Outline planning permission exists for the extension of the business park (see below) and was granted
in 1998. This outline planning permission has been extended several times most recently in 2012.
1.3
Phoenix Life (and the sites previous owners) has actively sought to market the remaining development land
within the Business Park for a substantial period of time without success. As is evidenced later in this
document, the development of the remaining plots is not viable. This has been the case for a substantial
amount of time and it is not envisaged the position will change in the short to medium term, if at all.
1.4
The reason for Phoenix Life s ep ese tatio s to the BDP efle t its o je tive to complete the development of
the campus site through the introduction of viable and complementary uses that will make best use of the
vacant land and create a sustainable and attractive environment to live and work. In accordance with best
practice Phoenix Life is promoting part of the remaining site for residential development.
1.5
This document explains the benefits of the proposed allocation and why a minor modification to the plan to
reflect the proposed allocation will make the BDP sound.
Site Location and Description
1.6
The existing office campus at Wythall Green Business Park, off Wythall Green Way and extends in total to
approximately 17 hectares. The land being promoted for residential use within this document (hereafter
efe ed to as the su issio site e te ds to . he ta es a site pla sho i g the su issio site edged i
red is shown at figure 1.1 below). The village of Wythall is located to the east of the site. The site lies
approximately 3km south of Maypole roundabout and Birmingham urban boundary, and 2.5km north of
Junction 3 of the M42/A435.
1.7
The Business Park is bounded by open farmland to the north and Kings Norton Golf Club to the west. To the
south is the Bi i gha Museu of T a spo t a d “t Ma s Ca a a Pa k a d Caravan Club site. Middle
Lane runs adjacent to the eastern boundary of the Business Park. There is a public footpath along the western
boundary of the site.
1.8
The site is accessed from an internal road running between the site to the south and the headquarters office
development to the north. Landscaping screens the site and the existing development within the Business
Park. The context of the Wythall Green site is shown within the adopted Bromsgrove Local Plan proposals
map at figure 1.2, which identifies the entire business park site (including the submission site) is allocated for
employment use and surrounded by Green Belt land.
Page 3
Figure 1.1: The Submission Site
Page 4
Figure 1.2: Site Allocation
1.9
Figure 1.2 demonstrates the close proximity of the submission site to existing development to the south and
the nearby settlements of Wythall and Drakes Cross.
1.10
A Transport Appraisal (including an accessibility and sustainability assessment) of the site has been
undertaken in order to demonstrate the potential of the submission site and the clear benefits arising from
its development. The Transport Appraisal identifies the existing public transport links, local facilities and
identifies sustainable initiatives that would be delivered by the development of the submission site. The
conclusions are contained in section six of this report.
Page 5
2
Matters for Examination
2.1
The duly made objections of Phoenix Life Ltd are relevant to a number of matters that are to be discussed at
the Examination of the BDP. Specifically, this submission document focuses on;
Matter B5.1
Are the allocated sites appropriate and deliverable, having regard to the provision of the necessary
infrastructure, affordable housing and other facilities, and taking account of environmental constraints?
Are relevant development requirements clearly set out and appropriately justified?
Is the overall site selection methodology robust and transparent?
Matter B5.2
If there is a need to identify additional land for housing, are the alternative proposals that have been put
forward in representations appropriate and deliverable?
Have they been subject to sustainability appraisal compatible with that for the Local Plan and to public
consultation?
2.2
Each question is answered in the following sections:

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2.3
Evaluation of the evidence base
The market for existing use
Market Demand for Residential Use
Sustainability Assessment
Site Delivery
By implication, this submission document is also relevant to matters relating to housing. However, this is
dealt ith th ough
lie t s su issio s fo a e-allocation of the submission land from employment use to
residential use. Furthermore, Bromsgrove District Council accepts that in order to identify sufficient land to
eet the Dist i t s housi g eeds it ill e e essa to u de take a G ee Belt ‘e ie . The de elop e t of
the submission site for residential use will reduce the impacts on the Green Belt.
Page 6
3
Evaluation of BDP Evidence Base
3.1
The ELR evaluates the Wythall Green Business Park site and concludes the following:

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3.2
The ELR makes a number of assumptions regarding the marketing of the site and the aspirations of the site
owners, which do not take into account the 18 months of active site marketing. The ELR states:


3.3
The site is designated as employment land within the Bromsgrove District Local Plan.
The quality of the existing portfolio is very good and the site benefits from modern and attractive
buildings with a good level of circulation space and high quality landscaping.
The external environment of the site is good, being set within an attractive rural area.
It is likely that the site could be attractive for a number of users.
The site does not appear to have any bad neighbour uses.
The site has good visibility from Middle Lane and is approximately 1.1km from the local facilities of
Wythall.
There appears to be no known abnormal development requirements applying to the site and the site has
no formal environmental constraints or designations.
Development of the remainder of the site could make a valuable contribution to meeting economic
objectives including job creation.
The site is lassified as Good a d the e aluatio is atta hed at appe di 1.
The vacant part of the site has been available for a number of years and there is no apparent marketing
of the site. The site has been marketed for over 18 months and a brochure is attached at appendix 2.
The site is the subject of an extant planning permission for office-led development which is a renewal of
a previous permission which was not implemented. This indicates that the site owner is supportive of
employment uses on the site but perhaps suggests that interest from potential occupiers / developers is
more limited. The site owners have been supportive of employment uses for over a decade. However,
the lack of interest in the available development land has resulted in the need to identify alternative
options for the site.
The ELR recommends that sites a ked Best a d Good i.e. the su issio site should e etai ed a d
their loss to other uses should only be allowed in exceptional circumstances, where it can be clearly
demonstrated that continued / new employment is not viable or that a lack of demand it can be robustly
proven.
Page 7
3
The Market for Existing Use
Are the allocated sites appropriate and deliverable, having regard to the provision of the necessary
infrastructure, affordable housing and other facilities, and taking account of environmental constraints?
3.1
The development land at Wythall Green Business Park (including the submission site) has been marketed for
employment use for over 18 months. There has been no interest expressed in acquiring the land for the
development of offices or other employment uses. This section summarises the findings of the extensive
marketing undertaken to date and explains the market context and how the Business Park and in particular
the submission site compare against competing sites.
Scale and Location
3.2
The Wythall Green Business Pa k site o p ises a la ge fo at head ua te s offi e a pus ith pla i g
permission in place for 22,495 additional sq m of office floorspace. The scale of the site and the existing
buildings are similar to other large office developments located at junctions along the M42. Similarly, the
permitted extension is of a scale equivalent to the existing buildings on the business park and was intended
to serve a similar office market when originally permitted.
3.3
The Cou il s e ide e ase ide tifies the site as ei g lo ated i the u al east pa t of the Dist i t. It is
accepted by the Council that this is not a distinct market area and it is clear that Wythall Green Business Park
is not typical of employment allocations in this part of the district (or indeed the District as a whole).
3.4
The vast majority of employment land within the rural east comprises small scale employment sites in rural
locations and larger scale employment sites which closely relate to the Redditch market. Wythall Green
Business Park more closely relates to business parks along the M42 corridor serving the wider West Midlands
Market.
3.5
However, despite being close to the M42, Wythall Green is relatively isolated from the metropolitan urban
area it does not compare well with those office parks immediately adjoining the urban area, in particular,
Blythe Valley, Fore and Solihull Business Park located at junction 4.
Market Demand
3.6
Larger office requirements are more likely to be attracted to business parks on the M42 corridor and which
adjoin the urban area. Whilst smaller format office development (e.g courtyard office schemes) could be
accommodated at Wythall Green on the submission site the occupier requirements tend to prefer locations
within or surrounding Bromsgrove town as they are typically small professional local firms. Similarly, in
Redditch, the office market is largely ancillary to existing industrial uses and occupier requirements also tend
to be focussed on the urban area of Redditch close to the existing businesses. Figure 4.1 shows the location
of those sites that are capable of competing with the submission site for similar requirements.
3.7
The marketing of the submission site to date has identified no demand for employment development. DTZ
consider the format most likely to appeal to the market would be the incremental development of the site as
an office courtyard development.
Page 8
3.8
DTZ does not consider the site is attractive for the development of small scale light industrial units or hybrid
units, such as those recently developed at Harris Business Park and this is evidenced by the lack of interest
throughout the marketing period.
Development Viability
3.9
The fundamental reason for the lack of interest shown by the marketing of the submission site is that office
development in this location is not viable. The rental values and yields achieved by the market cannot
support an office development in prime office locations within the M42 corridor and there is no current
development in the pipeline in any of these locations. As the submission site is less attractive as a location it
is unlikely office development will be viable on the site for the foreseeable future without facilitating
development. A development appraisal of an indicative office scheme on the remaining land at Wythall
Green site is attached at appendix 3 and demonstrates the extent of the viability gap.
3.10
Office development has also not come forward in recent years at the existing sites in and around Bromsgrove
for the same reason. Indeed, it is noteworthy that a significant proportion of land originally envisaged for
office development has been developed for alternative uses such as car showrooms at Buntsford Hill.
Figure 4.1 Location of Competing Sites
Summary
3.11
The existing site allocation for Wythall Green Business Park is not deliverable. The most appropriate
allocation will reallocate 3.8 hectares of land (the submission site) for residential development in order to
kick start the completion of Wythall Green site and create a sustainable mixed use site.
Page 9
4
Market Demand for Residential Use
4.1
DTZ is currently advising on the sale of some of the largest residential development sites in the West
Midlands and has substantial experience in the Bromsgrove residential market.
4.2
DTZ considers the submission site to be a very attractive location for residential development that will appeal
to a wide range of national and regional house builders and developers. The submission site is capable of
accommodating approximately 130 residential units, which is of a scale that meets the requirements of the
widest range of the market.
4.3
Following the submission of representations by Phoenix Life to the Bromsgrove District Plan DTZ has
conducted a soft marketing exercise to understand the market appetite for the site. There has been
substantial interest in the site from numerous house builders and developers including David Wilson Homes.
Page
10
5
Sustainability Assessment
Have the proposed additional sites for housing been subject to sustainability appraisal compatible with that
for the Local Plan and to public consultation?
5.1
The submission site is allocated for employment use and benefits from outline planning permission.
Reallocating the site for housing will kick start the delivery of the remaining development land at Wythall
Green. It will deliver a sustainable mixed use site that is capable of accommodating additional employment
land.
5.2
A Transport Appraisal (including an accessibility and sustainability assessment) of the site has been
undertaken in order to demonstrate the potential of the submission site and the clear benefits arising from
its development. The Transport Appraisal identifies the existing public transport links, local facilities and
identifies sustainable initiatives that would be delivered by the development of the submission site and these
are summarised below:

The overall public transport provision provides links towards employment and retail opportunities in
Birmingham City Centre, Shirley, Solihull and Redditch.

Bus services that stop in the vicinity of the site include Service numbers 50, X50, 150, and S3, which can
e a essed o the Al este ‘oad to the o th of Be kett s Fa Isla d a out k f o the p oposal site.
Services 150 & S3 can also be accessed on Chapel Lane off Middle Lane at 800m from the proposal site.
A private bus service operates to and from the Phoenix Life building on the site. The service provides a
link from site between; the Man on the Moon public house on the Redditch Road, Maypole, Alcester
Road, Wythall Railway Station, and the Phoenix Group building. There is a possibility that any
residential development on site might be able to utilise this sustainable travel resource.


The closest rail station to the proposal site is Wythall about 2.5km from the proposal site. The station
lies on the line between Stourbridge Junction via Birmingham Snow Hill and Moor Street to Stratfordupon-Avon. The service is hourly with the earliest and latest weekday services towards Stourbridge
Junction at 06:59 and 22:56. Towards Stratford-upon-Avon the earliest and latest services are 06:53 and
22:56. Some additional services also run at peak commuting times.

The station has cycle storage spaces but no car park. The station is accessible by bus; service S3 provides
early morning and late afternoon/early eveni g li ks to a ds Be kett s Fa
Isla d a d Chapel La e.
The existing private bus service operated by Phoenix Life provides a link to and from the railway station
during peak hours of arrival/departure from the site.

The nearest local cycle route to the proposal site is a local on-road route along Icknield Street with access
to Middle Lane from Clewshaw Lane. The majority of local roads are rural or semi-rural in nature and the
A435 is a busy radial route between Birmingham, the M42, and beyond to settlements such as Alcester
and Evesham. As a result, such routes are unlikely to be ideal for all cyclists but proficient cyclists would
find the routes, apart from the A435, fairly lightly trafficked and acceptable for commuting; certainly as
far as Wythall Railway Station.

A footway is provided on the southern side of Middle Lane providing a walk link to leisure, restaurant,
a d etail fa ilities p o ided at the Be kett s Fa outlet. The foot a also p o ides a li kage to a ds
local bus services off Chapel La e a d Be kett s Fa Isla d. The alk oute to fa ilities at D ake s C oss
Page
11
will be along Wilmore Lane and Silver Street. Wilmore Lane has no footways but is a quiet single track
road subject to a 30mph speed limit.

As part of the 1998 outline permission for 22,600 sq m B1 development on the site that a S106
Agreement was entered into to provide a footway/cycle way link along the southern side of Middle Lane
to a ds a d a oss the southe a of Be kett s Isla d. O e e al of this pe issio i
03 and
again in 2006 Worcestershire CC confirmed receipt of these monies although the combined
footway/cycleway has yet to be implemented.

Local Facilities Figure 6.1 identifies local shops and facilities and also the location of nearby bus stops and
Wythall Railway Station.

The Be kett s Fa
outlet p o ides a u e of fa ilities i ludi g; ake , ut he s, deli atesse ,
takea a , afe, estau a t, a d g o e s. Also o the site a e; o fe e i g fa ilities, fu itu e etaile s,
cookery school, a beauty salon, florist, gift shop, tyre & exhaust centre, and a golf shop & driving range
facility. This facility is a 750m walk from the proposal site.

O the Al este ‘oad at D ake s C oss a out . k
o th of the site is the White “ a pu li house.
Other facilities in this location include; post office, beauty salon, hairdresser, mini-markets, Chinese
takea a , estate age ts, fish a d hip shop, ut he s, flo ist a d opti ia .

Other facilities nearby include; a mini-market, Chinese takeaway, stationers, fish and chip shop, beauty
salon and pharmacy, all located on Station Road about 2.1km from the proposal site. Kings Norton and
Fulford Heath Golf clubs are also nearby.

Further afield retail facilities, including supermarkets and a range of typical High Street shops, are
available at the Maypole.

The closest primary school to the development site is Meadow Green Primary School on Meadow Road
off Station Road within 1.3km of the proposal site. Further afield on Shawhurst Lane, off Alcester Road is
Coppice Primary School. Adjacent to the Coppice Primary School is Woodrush Community High School.
Sustainable Initiatives
5.3
The Transport Appraisal confirms that a residential development proposal would be accompanied by a travel
plan, the purpose of which would be to promote the use of sustainable travel to and from the site. It is
envisaged that the measures would include, but not be limited to, the following;
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Appoint a travel plan coordinator;
Promote the travel plan and sustainable travel opportunities on the development website;
Provide travel plan packs to new residents;
Provide vouchers redeemable against public transport travel cards for the initial occupants of the site;
Upgrade nearest bus stops to shelters;
Provide cycle parking for dwellings (whether in a garage for those with garages or in an alternative
storage area).
Page
12
Figure 6.1: Local Facilities
Evaluation of Evidence Base Assessment
5.4
The Cou il s 2014 Strategic Housing Land Availability Assessment (SHLAA) considers the submission site and
concludes that it should be discounted as a potential site for the following reasons:
Strategy Location – The site is physically separate from all defined settlements, it would be unsustainable to
build homes in such a detached location, and the sprawl of such housing estates across the district would
materially harm the character and appearance of the area.
5.4
Whilst the site is physically separate from defined settlements it is allocated as an employment site and
benefits from extant planning permission for development. The submission site adjoins existing development
(including residential uses) and is located in close proximity to Wythall. The creation of a mixed use site
provides the opportunity to improve the sustainability of the existing business park, make best use of the
outstanding facilities on site, as well as improve the links between the Wythall Green site and the
surrounding settlements. In doing so the development of the submission site would not result in the sprawl
of housing estates across the district and it would not materially harm the character and appearance of the
area.
Green Belt – To ensure that there is permanence to Green Belt boundaries, sites within the Green Belt will
initially be discounted.
5.5
The submission site is not located within the Green Belt and, therefore, should not be discounted for this
reason.
Page
13
6
Site Delivery
If there is a need to identify additional land for housing, are the alternative proposals that have been put
forward in representations appropriate and deliverable?
6.1
A su
ary of the site details a d a lear u dersta di g of the site’s o strai ts are set out elow
(consistent with information required by the SHLAA) which demonstrates that the submission site is
capable of delivery within five years:
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6.2
Site area: 3.8 hectares – the attached masterplan demonstrates the potential capacity of the site.
The site is allocated for development
The site is access from Wythall Green Way
Public transport access includes bus services (approximately 800 metres from the site with the
opportunity of bus services from the site. The nearest railway station is approximately 2 kilometres from
the site.
Utilities and services are available on the Wythall Green business park site and capable of
accommodating development on the submissions site.
The site benefits from extant planning permission for office development.
The site is in single ownership with a willing seller
There is a high level of developer interest for residential use
The site is viable for residential use
The site lies within flood zone 1 and is not at risk of flooding
The site is le el a d is ot affe ted TPO s
The site is constrained by an employment land allocation
The submission site has the potential to make a signifi a t o t i utio to a ds eeti g the Cou il s
housing land supply and this would still retain development land for employment use within the Wythall
Business Park site.
Site Masterplan
6.3
The submission site masterplan attached at appendix 4 provides an indication of how the site could be
developed for residential use that would enhance the environment of the wider site and its surroundings.
The indicative layout shows 130 dwellings at a development density of 34 dwellings per hectare reflecting the
development density of nearby residential development.
6.4
Open space is retained within the site close to the existing sports and recreation facilities already on site. The
orientation of the layout is informed by retaining views into the cricket field located centrally within Wythall
Green.
Page
14
Appendix 1 – Qualitative Site Evaluation
Criteria
Ranking for Wythall Green
Business Park (submission site
only)
BDC
DTZ
Key: 4 = Best, 3 = Good, 2 = Moderate, 1 = Other
Market Attractiveness
Quality of the existing portfolio, internal and external environment
o Quality of the existing environment
o Amenity impacts (e.g. noise, dust and smell)


Quality of the Wider Environment
o Adjoining land uses
o Road frontage visibility
o Perception of the wider environmental quality (attractive, countryside setting,
urban context in need of regeneration etc)
o Availability of local facilities including retail and housing
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
Accessibility
o Ease of a ess to the st ategi high a et o ks i.e. a A oad / oto a
o Quality of local road access
o Quality of site access

Market Conditions / Perception of Demand
o Duration of availability
o Marketing and enquiry interest

Ownership
o Ownership / owner aspirations

Site Development Constraints
o Environmental constraints and abnormal development requirements (e.g.
landscape / nature conservation designations, heritage features (listed buildings
a d o se atio a eas . TPO s a d ide tified i de elop e t e ui e e ts /
issues / constraints set out in Local Plan policies, site development briefs etc)
o Physical site features (e.g. site size, shape, topography, pylons, drainage ditches
and known underground utilities infrastructure dissecting the site)
o Ground conditions / contamination
o Flooding

 Environmental Sustainability

Prudent use of Natural Resources
o Sequential Location
o Land classification
o Ease of access to public transport
o Ease of walking and cycling


Effective protection and enhancement of the environment
o Potential to enhance environmental quality without impacting on the sensitivity
of environmental resources

 Strategic Planning

Social Progress and Regeneration
4
4
4
4
4
4
4
3
-
4
3
-
2
3
3
4
4
4
4
4
3
1
3
1
4
1
4
4
4
4
4
3
4
4
1
2
2
2
1
2
2
2
1
1
1
1
Page
15
o
o

Multiple Deprivation Indices (national statistics website)
Ability to deliver specific regeneration objectives (including comprehensive /
mixed use development)

Economic Development
o Ability to improve local economic activity rates
o Economic Development
2
3
1
3
1
3
Page
16
Appendix 2 – Site Marketing Brochure
Page
17
Wythall Green
BUSINESS PARK
Design and Build Pre-Let Development Opportunity
3.2 acres and 8.42 acres sites available
The Opportunity
Wythall Green
BUSINESS PARK
Wythall Green is a prestigious
landmark scheme, strategically
located just two miles from
junction 3 of the M42 at the
heart of the Midlands’ business
network and in close proximity to
Birmingham City Centre.
The 42 acre landscaped environment
is characterised by waterscapes
and countryside views, offering an
unrivalled working environment.
Already home to the 220,000 sq ft corporate
headquarters of Phoenix Life Assurance
Limited with associated onsite facilities,
Wythall Green provides an excellent prospect
for a high profile development opportunity
with extensive on site car parking.
Design and Build Pre-Let Development Opportunity
02
The Site
Two separate development sites
of 3.2 acres and 8.42 acres with
outline planning consent for up
to 243,000 sq ft are available as
design and build opportunities
within one of the Midlands’
premier office environments.
Wythall Green
BUSINESS PARK
Phoenix Life Assurance
Development Areas
Plot 1100
Plot 1100
3.2 acres (1.3 hectares)
Plot 1200
8.42 acres (3.4 hectares)
Site Boundary
Plot 1200
Design and Build Pre-Let Development Opportunity
03
The Location
Wythall Green benefits from
easy access and communication
links with Birmingham’s central
business district.
Road
Situated just minutes away from the region’s
extensive motorway network, Wythall Green’s
prestigious location offers access to almost
75% of the UK within two hours’ drive.
The site is approximately two miles away
from junction 3 of the M42 (less than five
minutes by car) and five miles to the M40
south for Oxford and London. The M6
for both north and south destinations is
easily accessed via the M42 junction 7.
Wythall Green
BUSINESS PARK
Rail & Air
Both Birmingham International railway station
and Birmingham Airport are approximately
15 miles away (around 20 minutes’ drive
time) when accessed by the M42 junction
6. The railway station provides direct access
to Birmingham New Street railway station
along with fast links to the rest of the West
Midlands and the UK. The airport offers
hundreds of national and international flights
serving over 125 direct destinations with
the runway extension due for completion
in 2014 set to increase its global reach.
Bus
Within easy reach of a skilled workforce, a
fast and efficient bus service is operational
five days a week from dedicated bus stops
along the south Birmingham suburb routes.
Design and Build Pre-Let Development Opportunity
04
For all enquiries:
[email protected]
DTZ, a UGL company, for themselves and for the vendors or lessor of this property for whom they act, give notice that: (i) these particulars are a general outline only, for the guidance of prospective purchasers or tenants, and do not constitute the whole or
any part of an offer or contract; (ii) DTZ cannot guarantee the accuracy of any description, dimensions, references to condition, necessary permissions for use and occupation and other details contained herein and prospective purchasers or tenants must
not rely on them as statements of fact or representations and must satisfy themselves as to their accuracy; (iii) rents quoted in these particulars maybe subject to VAT in addition; (iv) DTZ will not be liable, in negligence or otherwise, for any loss arising from
the use of these particulars; and (v) the reference to any plant, machinery, equipment, services, fixtures or fittings at the property shall not constitute a representation (unless otherwise stated) as to it’s state or condition or that it is capable of fulfilling its
intended function. Prospective purchasers/tenants should satisfy themselves as to the fitness of such items for their requirements.(vi) no employee of DTZ has any authority to make or give any representation or warranty or enter into any contract whatever
in relation to the property. Produced by Core 0121 232 5000. February 2013.
Appendix 3 – Development Appraisal
Page
18
DTZ Debenham Tie Leung
Development Appraisal
Report Date: 12 November 2014
APPRAISAL SUMMARY
DTZ DEBENHAM TIE LEUNG
Summary Appraisal for Phase 1
Currency in £
REVENUE
Rental Area Summary
Plot 1300 & 1400
Investment Valuation
Plot 1300 & 1400
Market Rent
(1yr Rent Free)
Units
1
ft²
170,000
Rate ft²
16.00
Initial
MRV/Unit
2,720,000
Net Rent
at Sale
2,720,000
2,720,000
YP @
PV 1yr @
7.5000%
7.5000%
13.3333
0.9302
33,736,434
GROSS DEVELOPMENT VALUE
Initial
MRV
2,720,000
33,736,434
Purchaser's Costs
5.80%
(1,956,713)
(1,956,713)
NET DEVELOPMENT VALUE
31,779,721
NET REALISATION
31,779,721
OUTLAY
ACQUISITION COSTS
Residualised Price
Town Planning
Survey
(3,009,035)
20,000
5,000
(2,984,035)
CONSTRUCTION COSTS
Construction
Plot 1300 & 1400
Developers Contingency
ft²
190,000 ft²
Rate ft²
120 pf²
Cost
22,800,000
3.00%
684,000
22,800,000
684,000
PROFESSIONAL FEES
Professional Fees
10.00%
2,280,000
2,280,000
MARKETING & LETTING
Marketing
Letting Agent Fee
Letting Legal Fee
15.00%
5.00%
170,000
408,000
136,000
714,000
DISPOSAL FEES
Sales Agent Fee
Sales Legal Fee
1.00%
0.50%
317,797
158,899
476,696
FINANCE
Debit Rate 6.000% Credit Rate 0.000% (Nominal)
Land
Construction
Letting Void
Total Finance Cost
(192,349)
868,617
2,987,600
3,663,868
TOTAL COSTS
27,634,529
PROFIT
4,145,192
Performance Measures
Profit on Cost%
Profit on GDV%
Profit on NDV%
Development Yield% (on Rent)
Equivalent Yield% (Nominal)
Equivalent Yield% (True)
IRR
Rent Cover
Profit Erosion (finance rate 6.000%)
File: [Untitled]
ARGUS Developer Version: 6.00.002
15.00%
12.29%
13.04%
9.84%
7.50%
7.87%
12.53%
1 yr 6 mths
2 yrs 4 mths
Date: 12/11/2014
Appendix 4 – Submission site Masterplan
Page
19
© This drawing and the building works depicted are the copyright of the Architect and may
not be reproduced except with written consent. Figured dimensions only are to be taken
from this drawing. All contractors must visit the site and be responsible for taking and
checking all dimensions relative to their work. Lathams are to be advised of any variation
between drawings and site conditions. Do not scale off drawings.
All dimensions to be checked on site.
NORTH
Open Space
Open Space
Rev
Comments
Date
Drawn
PLANNING
STATUS
Derby: St. Michael's, Queen Street ,Derby DE1 3SU
t: +44 (0) 1332 365777
London: 70 Cowcross Street, London EC1M 6EJ
t: +44 (0) 20 7490 0672
e: [email protected]
www.lathamarchitects.co.uk
Architecture
Conservation
Urbanism
Landscape
PROJECT
WYTHALL GREEN ROAD OFF MIDDLE LANE,
Wythall Birmingham
CLIENT
TITLE
SITE PROPOSAL
0
5
metres
1:500
10
15
30
SCALE
1:500
DATE
NOV 2014
DRAWN
PJ
CHECKED
SH
PROJECT NO.
DWG NO.
REV NO.
DWG SIZE
A
A1
© copyright