Selling a couple of acres, how decide on price?

[Overby]

Morning,
I've been approached by a local fella who wants to buy a couple of acres to stick a shed on to run his gardening business from.
How do we decide on a price? It obviously has to be attractive enough for us to sell, but he's not going to pay developer money.
Any ideas?

 

[stroller]

Ask him for his best offer then triple it? You can only sell it once, he may not develop it but he may sell it on again.

 

[An Gof]

Morning,
I've been approached by a local fella who wants to buy a couple of acres to stick a shed on to run his gardening business from.
How do we decide on a price? It obviously has to be attractive enough for us to sell, but he's not going to pay developer money.
Any ideas?

So has he got change of use from planning?
Sell it with an uplift clause if he ever decides to develop it with a dwelling.

 

[Richy12]

What if it's really for his sons house?

 

[Clive]

I would say if hes not going to pay development money he isn't going be developing anything is he !

 

[som farmer]

the formula for pricing land/plot next to a dwelling is work out the extra value to the property, and charge 90%
we sold 4 acres to a 'big' house, wasn't fussed about selling it, so said £25,000 acre, he tried to offer less, but paid full amount, this was in 2003, 2 years later, I heard he thought he had bought it really cheap, I get to cut it, and another 3 acres, twice a year free.
so the answer to your question is, firstly do you want to sell it, how badly does he want it, and remember, land can only be sold once.
as for uplift, friend sold 5 acre field, with up lift, chap built 1 house, paid the uplift, and now has pp for 8 houses, with no uplift, as he had paid it on the first pp for 1 house

 

[Richy12]

I would say if hes not going to pay development money he isn't going be developing anything is he !

If I was a developer I still wouldn't want to pay development money...

 

[Ormond]

He wants to buy it more than you want to sell it so you're in the driving seat. Work out what you'll be actually left with after tax and it theres any capital gains. Be nice to get a decent amount to go and buy more acres that joins you on another part of the farm.

 

[CornishTone]

Name your price by the sounds of it, plus they pay all expenses.

 

[curlietailz]

Make sure the uplift is on every development and I’d state a minimum as well say £75k per Plot !
Make sure you make the boundary and fence it yourself BUT make them pay for the fencing
Get it GPS mapped coz people are really good and inching further out than they should
Stipulate restrictive covenants such as they have no right to light or view and that they can’t object to any lawful activity on your property
Think of every eventuality and write it in the deeds
And perhaps put a 10 year buy back clause in so they have to offer it back to you first

Been there numerous times and have learned from previous mistakes

Treat everyone as a robbing conniving twit and cover your ass

Bitter?...me??? Nah

 

[ISCO]

Uplift or overage should be on 'bite and bite again' basis to avoid payment only on first planning application.

 

[curlietailz]

Uplift or overage should be on 'bite and bite again' basis to avoid payment only on first planning application.

Does depend on the competence of the solicitor drawing up the agreement in the first place
Bite and bite again

 

[Northeastfarmer]

Sell some land so you end up with a neighbour?! I want less neighbours not more

 

[Overby]

It's miles away from my house so not an issue.
He's a decent fella but seems to think I'd sell it for agric price!
Thanks for the replies so far

 

[ARW]

Only sell land to buy more

 

[MrNoo]

He'll bang a shed up, use it for a few years then use permitted development to get it converted to houses. I know of a similar situation down this way, chap bought an old yard with decent buildings for 70k, just got planning for houses. Supposedly an uplift clause on it but I have my doubts. Original owners not super happy about it all as you can imagine.

 

[Highland Mule]

Morning,
I've been approached by a local fella who wants to buy a couple of acres to stick a shed on to run his gardening business from.
How do we decide on a price? It obviously has to be attractive enough for us to sell, but he's not going to pay developer money.
Any ideas?

Give him a rental price.

 

[Derrick Hughes]

Once you tell him what you want he will forget the idea. Hes expecting mates rates no dought

 

[nick...]

Had someone offer me £10k an acre for couple acres month or so ago.its prime agricultural land and prospective buyer wanted a base.had I sold it I’d make nearly £7k profit on what I paid 20 years ago and after paying tax on profit it’s not so great.i said I’d not sell it for £25k and that was the end of it.i had no intention of selling it anyway.
Nick...

 

[curlietailz]

£50 per square meter
They can have as much as they like at that price !!