Taylor Langton Associates

The Opportunity

Advantages in land >
Self build >
Contrast with purchasing property >
What the Government has said >
How it works? >

Land investment in UK - why land?

In the past, land for sale was only made available to a closed circle of individuals, typically property developers and landowners.

Investing in plots of land is a simple and hassle free alternative to buying into the property market and as a result, the number of land investment opportunities has increased enormously.

So why is land investment such a good idea? The answer – the basic economic principle: supply and demand. There will be no more land made or built. It is a finite resource.

Because it is a finite resource, it naturally increases in value regardless of planning or building. In short, the supply of land for sale is limited, but the demand for it will continue to rise, which has been seen here in the UK in recent years amidst the housing boom.

Advantages in land

Unlike other forms of investment, land is a tangible asset, one that can be physically experienced. The tangible nature of a land investment can be very rewarding, not to mention prestigious. This along with the simple nature of investing in land makes it a very attractive investment proposition.

As we already mentioned, investing in land is a simple process, where an investor does not require a degree in economics to understand why the value of land has gone up or down.

Although we cannot guarantee that our sites will gain planning permission, one thing is certain; because land is becoming scarcer it should not see the tumbling values that other forms of investment have seen.

Self build

The last ten years have seen significant lifestyle changes in the UK, with all-new value being placed upon quality leisure time because of its scarcity. This lifestyle shift has created even more demand for land investment, as people in the UK try to realise their dream and build their own home. Should planning permission be granted, by building their own home, self-builders could typically save around 30% on the market value of their home.

Contrast with purchasing property

Part of the reason for purchasing land over property is that land without planning permission is comparatively cheap, and its value has been steadily increasing.

Purchasing property not only involves a much higher initial outlay, but typically involves further investment and high maintenance costs before an investor can see any actual returns.

In direct contrast, purchasing land requires a much smaller outlay. In addition, it often involves little or no maintenance costs and can remain untouched yet still experience considerable rises in value.

Companies really make money from this land if planning permission is granted. When this happens the value of the land can, in some instances, increase by as much as three hundred times its value before achieving planning permission.

By dividing up large sites into smaller plots Taylor Langton Associates has made land banking available to the ordinary individual, who now has the opportunity to own a piece of England with the potential for making large profits.

What the Government has said

Recently, there has been a substantial change in the Government's stance regarding the release of land and the building of new homes. The UK is facing a massive housing shortage and that's why residential land for sale with or without planning permission is increasing in value and becoming a popular investment option.

With local authorities having to meet increasingly tough housing targets, it is likely that the development of greenfield land will be a necessity and those who own it in areas where housing shortages are of worst, know just how lucrative that could be.

The Government has stepped in to ensure the local councils address the shortfall in housing. This has traditionally been a sensitive area for councils, but now it is becoming increasingly likely that the development of greenfield land will be a necessity.

Tony Blair stated in May 2004:

“The demand for new homes is so great it would be irresponsible to rule out specific tracts of land for development. There is a requirement for additional housing, and if we don’t face up to decisions on that, the people who will suffer will be generations to come, particularly first time buyers.”

This admission by the Government backed up by figures showing that three million new homes need to be built over the next twenty years, has signalled their intention to potentially release further greenbelt or greenfield sites. This in turn could provide the private investor with increased opportunities to purchase land that currently has planning restrictions and potentially make large profits.

How it works?

Buying land is simple and straightforward. Taylor Langton Associates considers it their priority to guide all investors, regardless of their level and experience through every step of the purchasing process, offering them straightforward advice on any aspect of their investment.

Taylor Langton Associates purpose is to make the private investor’s experience as simple and straight forward as possible.

The first step is for you to choose the plot or plots that you would like to purchase. We will retain units within our sites for our own investment and then we will work on behalf of ourselves to get our units re-designated, but due to the fact that our units are strategically placed within our site, if we get re-designated then the whole site will be re-designated.

On the other hand, there are certain aspects of the process that Taylor Langton Associates cannot guarantee:

• We will not tell you that our sites are going to definitely get planning permission;
• We will not guarantee that you can self-build;
• We will not manage your investment or control it in any shape or form; and
• We will not put in planning applications on your behalf.