Residential Development Site, Lea Road, Gainsborough

Description

Freehold residential development site with planning permission granted for a 220-unit residential scheme and 5 commercial units for retail/restaurant use. Site area 9.46 acres (3.83 hectares). Phase 1 has commenced. By order of the LPA Receivers. Overlooking the River Trent.

Accommodation

Proposed accommodation: 48 three-bedroom houses; 22 four-bedroom houses; 61 three-bedroom flats; 78 two-bedroom flats; 10 one-bedroom flats; and 5 commercial units with A1/A3 use class (now E a/b).

Location

Situated to the west of Carr Lane, alongside the River Trent. The site is to the south-west side of Gainsborough and benefits from local amenities on Trinity Road. Lincoln is approximately 17 miles to the south and Sheffield 35 miles to the west. The surrounding area provides open countryside and recreation opportunities. Gainsborough Station is nearby.

Tenure / Property Information

Investment Analysis

The £500,000 guide cannot be validated from the supplied evidence. The sold comparables are individual Lea Road properties ranging from £52,000 to £210,000 and do not provide a reliable basis for valuing a permitted 220-unit residential scheme with five commercial units. No development GDV evidence, unit sale comparables, build-cost estimate, infrastructure-cost estimate, abnormal-cost assessment or professional valuation has been supplied. The description states 220 residential units, while the listed accommodation totals 219 units, requiring clarification. Buyer fees, VAT and seller charges are also unspecified.

Investment Snapshot

Strategy Recommendation

Do not bid on the supplied evidence alone. Obtain planning and legal due diligence, confirmation of the 219/220-unit discrepancy, a full measured development appraisal, verified remaining-cost schedule, infrastructure and abnormal-cost review, professional GDV evidence, and clarification of fees and VAT before considering acquisition.

Works Required

Complete and deliver the permitted residential and commercial scheme, including the commenced Phase 1 works. The evidence does not specify the works completed, remaining construction, infrastructure requirements, abnormal costs, build costs or professional fees, so no works allowance can be estimated.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

A BRRR appraisal cannot be established because GDV, remaining development cost, finance costs, timing, completed-unit rents and refinance assumptions are unavailable. The £500,000 guide excludes unspecified buyer fees and potentially applicable VAT.

Buy-to-Let Analysis

A BTL appraisal cannot be established. The only rental evidence is an advertised £795 pcm asking rent for a two-bedroom house in Gainsborough, which is not evidence of achieved rent and is not directly applicable to the proposed two-bedroom flats. The scheme also includes multiple unit types and five commercial units, with no operating-cost or letting-cost information.

Flip Analysis

A flip/development resale surplus cannot be calculated. No supported GDV or total project cost is available, and no selling-cost allowance has been supplied. The individual-property sold comparables do not support a scheme-level resale valuation.

Investor Risks & Due Diligence

• No supported development GDV or unit-level sales evidence.

• No reliable estimate of remaining construction, infrastructure, professional or abnormal costs.

• Listed residential accommodation totals 219 units despite the stated 220-unit residential scheme.

• Phase 1 has commenced, but the extent and quality of completed works are not supplied.

• The commercial units have no supplied value, rent, demand or viability evidence.

• Buyer fees, VAT applicability and seller charges are unspecified.

• The guide price is being offered by order of the LPA Receivers, and the supplied evidence does not explain the receiver sale circumstances or title/planning conditions.

Recommendation

Do not bid on the supplied evidence alone. Obtain planning and legal due diligence, confirmation of the 219/220-unit discrepancy, a full measured development appraisal, verified remaining-cost schedule, infrastructure and abnormal-cost review, professional GDV evidence, and clarification of fees and VAT before considering acquisition.

Strategy Rating

Analysis Confidence

The planning description, tenure, site area and proposed accommodation are supplied, but core valuation inputs—GDV, remaining costs, commercial values, rent evidence, fees and VAT—are missing or incomplete.