The latest research from Searchland, the development site sourcing specialists, has revealed that there is an estimated £1.3bn worth of development potential currently held within Class Q sites across the market in England.
Searchland analysed the number of Class Q sites currently available across England, the total building area they occupy and the current market value of this land if it were to be brought to market today.
Introduced in 2014, Class Q sites are a form of permitted development designed to ease the pressure with respect to housing in rural areas. They allow the reclassification of buildings from agricultural to residential use, providing these buildings meet the required criteria.
The analysis by Searchland shows that, currently, there are some 10,373 Class Q titles found across England. The majority of these sites are located across the South East (19%), East of England (15%), East Midlands (15%), Yorkshire and the Humber (14%), North West (11%) and West Midlands (11%).
Across England, it’s estimated that Class Q buildings cover 4,363,056 sq ft, with the average building size sitting at 421 sq ft. With developed land currently commanding £300 per sq ft, that’s a total market value of £1.308bn, averaging a potential £126,241 per building.
Not only is the South East home to the largest proportion of Class Q buildings at present, but with developed land commanding £414 per sq m, Searchland estimates that the region’s Class Q buildings could be worth £347.1m in the current market.
The East of England sits second with an estimated £301.5m worth of Class Q buildings located within the region, although at £192,178, the region is home to the second highest average potential market value per building.
The East Midlands (£149m), Yorkshire and the Humber (£131m) and South West (£116.3m) also rank within the top five regions with the highest potential market value of Class Q development opportunities.
Co-founder and CEO of Searchland, Mitchell Fasanya said, “The repurposing of agricultural land is becoming increasingly more common and we’ve seen a sharp uptick in the number of commercial ventures looking to under-utilised farm land in order to develop logistical hubs.
However, there are also a wealth of existing agricultural buildings that are ripe and ready for redevelopment into residential housing and, in the current market, they are worth a considerable sum.”
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