Land & Buildings lying to the North of Hanover Street, Herne Bay, Kent, CT6 5EH

Description

A plot of land measuring approximately 271 sq m (2,920 sq ft), offered with planning permission to demolish the existing storage units and erect 2 x three bedroom houses.

Accommodation

Plot of land measuring approximately 271 sq m (2,920 sq ft). Planning permission is for 2 no. three-storey semi-detached dwellings following demolition of existing storage units.

Location

The land is situated within Herne Bay town centre on a residential road close to local shops and amenities. Herne Bay Beach is within easy reach. Transport links are provided by Herne Bay rail station and Triangle bus route.

Tenure / Property Information

Investment Analysis

Freehold development land of approximately 271 sq m with permission for demolition of existing storage units and construction of two three-storey semi-detached three-bedroom houses. The supplied completed-sale evidence is limited to one nearby Hanover Street transaction at £380,000, classified as “Other”, so it does not establish a reliable GDV for either proposed dwelling or the completed scheme. The £130,000–£150,000 guide excludes the unknown construction cost and potentially applicable buyer premium, searches, legal, transfer and seller-cost reimbursements.

Investment Snapshot

Strategy Recommendation

Undertake planning and legal-pack due diligence and obtain an independent appraisal of both completed units plus a detailed construction budget before bidding. Do not rely on the guide or the single supplied comparable as evidence of scheme profitability.

Works Required

Demolish the existing storage units and construct two three-storey semi-detached three-bedroom dwellings in accordance with the stated planning permission. Construction costs, professional fees, utilities, external works and planning-condition requirements are not supplied.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

BRRR analysis is not supportable from the evidence. The scheme has stated planning permission, but there is no reliable GDV, build-cost estimate, project programme, finance cost or completed valuation. A 75% refinance calculation therefore cannot be produced.

Buy-to-Let Analysis

Two supplied advertised three-bedroom rental listings indicate £1,350–£2,300 pcm each, implying a combined asking-rent range of approximately £2,700–£4,600 pcm. These are advertised asking rents rather than achieved rents. BTL yield cannot be established because GDV, construction cost, total project cost and applicable buyer fees are unavailable.

Flip Analysis

A flip appraisal cannot be established. The single £380,000 completed sale is classified as “Other” and does not confirm the value of either proposed three-bedroom house. Construction and selling costs are also unavailable, so no surplus or maximum bid can be calculated.

Investor Risks & Due Diligence

• Construction costs and professional fees are entirely unsupported by the supplied evidence.

• The single completed comparable is classified as “Other” and does not establish the value of the proposed houses.

• Buyer premium and other purchaser costs may apply but are not quantified.

• Planning permission is stated, but planning conditions, implementation requirements and legal-pack details have not been supplied.

• Rental evidence consists of advertised asking rents only and includes a wide range.

• The guide price excludes the cost of delivering the two dwellings.

Recommendation

Undertake planning and legal-pack due diligence and obtain an independent appraisal of both completed units plus a detailed construction budget before bidding. Do not rely on the guide or the single supplied comparable as evidence of scheme profitability.

Strategy Rating

Analysis Confidence

Planning description, tenure, guide range, one limited completed sale and asking-rent evidence are supplied, but there is no reliable completed GDV, construction cost, valuation, planning-condition detail or full fee schedule.