You can make plenty of money from land acquisitions, which
can be achieved without undertaking any development.
Here, our Director Peter To shares his insight on the strategies
for land acquisitions and investments.
One of the best ways to do this is to add value by improving its planning rights and
then selling on to a developer. Remember that a developer only buys land to make
a return on his money. The more profit the developer thinks can be made from
a piece of land, the more they will pay for it. If you are seriously considering buying
land as an investment then you should have satisfactory answers to the issues
1. Check with a reputable surveyor that the land is the size you are paying for.
2. Research the various levels of planning regulations to understand the
planning status of your land. Normally, countries have any combination of
master national plans, regional plans and local restrictions.
3. When investigating the land planning rights, get at least two opinions
and educate yourself so you understand all the issues.
4. Is electricity available to the land and where is the nearest connection point?
Is the capacity sufficient for the developed land?
5. What is the access point? Are you sure the gradient can take a road? How
much road has to be built? What length? At will the cost be?
6. Look out for neighbouring land that could, if built on, obscure key views
from your site. What are the planning restrictions on this land? Could any
future development augment or decrease the value of your site?
7. If the land you are buying is made up of several plots, are these plots
contiguous and do they form a coherent whole?
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