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UK Residential Development Land

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The pace of land price growt slowed in the last quarter of 2014 following reduced demand from major housebuilders and rising build costs.

But there are hotspots of land value growth. Land prices in Scotland have bounced back post referendum; greenfield land values increased by 4.8% in Q4 2014.

Cambridge and commuter locations in Essex have seen increased demand for development land and associated land value growth.

The rise of regional housebuilding activity is confirmed by the distribution of Savills land deals in 2014. Housing has become a political issue leading up to the election. All three main political parties are in favour of building more homes with targets of up to 300,000 new homes per year.

Sentiment remains moderately positive for development land reflecting a reduced urgency for land, but the best sites are still highly sought after.

Source : Savills

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