Frequently asked questions

What is an option agreement?
This is a simple 5 page agreement enabling Premium Estates to invest in planning application on your behalf. This provides both parties with the comfort and security of our full commitment

How does Premium Estates Developments make their money?
Once planning permission has been awarded, Premium Estate Developments will arrange for the sale of the land by formal tender to several property developers. Or by a commission from a developer like Signature Senior Life.

Is my land of Interest
YES – If you meet one of the following criteria:
A rear or adjoining garden that is approx 70 feet wide or 180 feet long, your land may qualify to be considered for residential development.
You own land which forms the access for an adjoining large plot

How much is my land worth
No two schemes are the same, and land values vary from area to area. It also depends on access and local factors such as affordable housing requirements. However after our initial assessment we will always give an honest valuation.

What is the process?
Following our initial discussions, Premium Estates will visit the landowner and explain, in “non technical terms,” the relevant procedures, and the benefits that are possible and answer any questions you may have.

If the landowner decides to proceed, we will carry out detailed appraisals of the planning prospects, establish the market value and make a clear offer in the form of an Option Agreement.

This Option Agreement allows Premium Estates to obtain planning permission and thus proceed with the purchase. Premium Estates undertakes to pay all the costs involved in attempting to obtain planning permission and do so at their own risk.

Would the settlement I receive really be free of Tax

“The sale of your personal private residence which includes its garden is not liable to Capital Gains Tax. Selling part of the garden if planning permission has been granted for a development to take place upon it is also free of Tax. In such a case the garden must be sold before the house. So what is important is whether the house is your personal private residence and if it is then the sale will be free of Tax.”

I have been told that if my property stands in over an acre then I would have to pay tax is that correct?

“It is correct that if your property and its land exceeds one acre the possibly Capital Gains Tax may become payable but, each case is determined on its merits and what is important is to establish that the land with your house has been used for garden or social purposes and not for commercial or other type uses e.g.. pony paddock. However if there was a disallowance this would not affect your house and the land up to one acre.”

The Developer has asked me to grant him an option. What is an option?

“An option is an agreement under which you give the Developer the opportunity to purchase your land within a specified period of time. The Developer would not be willing to commit tens of thousands of pounds in costs in obtaining planning permission without the benefit of an agreement enabling him to buy your property if planning permission has been granted.

Is my home at risk if I grant the Developer an option or could I lose money?

“No. The Developer would normally meet all legal or other professional costs involved in connection with the transaction. You would be using your own Solicitor or one recommended to you so that you benefit from independent legal advice. The only restriction is that during the period of the option you would not be able to sell your house. You would also need to obtain the consent of any mortgage lender”