If we are approached at this point we are able to demonstrate additional profit/GDV which will enable better finance terms. We were approached by a developer who was looking to start construction on a 278 apartment development. If we are able to get involved early in the process we can add a lot of value and in this instance were able to demonstrate so. We provided vital input on lease, in partnership with the vendors lawyers, in order to ensure the leases were optimized for investment value. Our next step was to exchange contracts, which negated the requirement for Statutory Notices and saved the vendor just under £25,000 in fees, with a completion deferred until unit sales had finished. Whilst the developer was busy constructing and selling units we were able to introduce our sister company, Landmark Collections (link), who took care of all the ground rent management which allowed the developer to concentrate on his primary aim – building and selling units. Once units were sold we proceeded to completion and continue to have a strong working relationship with the developer
Part/Fully Developed Sites
In many instances developers will wait until they are well advanced with construction and sales before they approach us. This is not the best approach and can result in large profit centres being overlooked. However if we are approached at this stage we are still able to work with developers to add value, reduce liability and streamline the whole process. Within 24 hours of receiving information we submitted an offer 20% above our nearest competitor. We then moved quickly to legals, resolved a number of technical management issues on behalf of the vendor, before completing.
A deal came into our office from a retired developer who had built up a large portfolio over 30 years in the business which was becoming difficult to keep control of. As always, we made a strong solid offer very quickly which was in excess of the owners aspirations and therefore accepted. To ease the pressure on the vendor we took over immediate control of the management on his behalf until completion. As we were in control of the management we were able to reduce the amount of information requested from the vendor and his lawyers which saved both time and money.