Inner city regeneration projects are becoming easier to fund with property development
Regeneration opportunities are usually found in central locations and if selected carefully can represent up to 20% discount in similar property in fully developed areas. The most competitive property development
Areas such as Stratford East in London, parts of Manchester and inner city areas of Cardiff all have regeneration schemes in place and are proving irresistible to investors and buyers. A good example of the perfect regeneration project would be an area like Stratford in London with the 2012 Olympics being hosted in the area. The levels of applications for property development
There is no doubt that developers are realising that brownfield sites represent the best opportunity. This is because it is far easier to develop a brownfield site than go through all the hassle of applying for planning permission to develop a greenfield site.
The developer should be prepared to answer far more questions about the project as the lender is likely to be very careful to ensure the scheme complies with local planning requirements. Mortgage lenders have improved their product offerings to accommodate the inner city type of property, this includes helping people arrange mortgages for residential dwelling situated above commercial premises. In particular the buy-to-let mortgage has really come into its own in this environment. It is not unusual to see an entire development of apartment being snapped up by investors before the project is even ready for viewing.
When researching the
Local and central government and the EU often help fund larger regeneration projects with grants and subsidies, or by providing infrastructure improvements such as transport, schools and hospitals. Seeing publicity about these types of schemes is a sure indicator that the area is ripe for speculative development. It is worth bearing in mind that some of these larger projects can take several years to come to fruition, so it pays to plan ahead.
It is quite likely that the property developer will also need to consider bridging