Client: Residential Developer
Sector: Mixed-use – Office and Residential
Overview
Our client acquired a run-down mixed-use site consisting of a 3,000sqft office/warehouse, 1,000sqft of further office space, and 4x residential studios.
The client wanted to maximise the value he gets from the site and following discussions with planning consultants, the local parish council and local agents it was decided to maintain and refurbish parts of the site to create 7x office units for local small businesses to grow, together with the extension and conversion of some office space into 3x high-quality residential flats. The 4x studios are very high-yielding rental properties so these were retained.
Our brief covered everything from:
- Space planning and Design Feasibility
- Planning permissions including Full Planning applications and Lawful Development Certificates for Existing Use
- Architectural drawings and design
- Detailed design, spec, and fit-out
- Interior Design and CGI’s
- Building regulations sign-off
- Site monitoring
Challenges
This development was completed during the COVID pandemic but close coordination with the contractors and external design consultants meant that the build process was undertaken without any issues. The main cause of challenge for the developer was their finance being pulled at the last minute due to COVID causing delays to start the project!
Due to local planning restrictions Permitted Development opportunities to convert the rear office/warehouse to residential use was restricted.
Opportunities
The area is going through massive redevelopment with some 8,000 homes being constructed in the next 5 years and very limited space for small local businesses to call home, so ‘The Business Box’ was created to nurture growing businesses and give them a base 5 mins from the M4 corridor to succeed.
The USP of the 3x residential flats created were the internal design and layouts. Each one had something unique that separated them from the ‘standard stock’ being created by David Wilson Homes and Linden Homes locally. Whether that be the vaulted ceiling and velux windows in the kitchen/lounge of flat 6, or the external balconies available to the upper level flats.
The 3x flats created sold for a total of 8% above the RICS valuation given which shows the attractiveness of the design together with the quality of finish.
Process and insights
The architectural team within CREDO all have experience working with or for property developers and understand that schemes need to work commercially as well as look good and be cleverly designed.
That’s why we are so good at unlocking the full potential of sites. We do this by maximising site value whilst value engineering and reducing build costs through a sensible and pragmatic design approach. Ultimately increasing the bottom line margins.
Solution
Maximising site massing (and saleable space), whilst balancing planning conditions and car parking spaces on a small site was the name of the game, and we believe every sqft of saleable space has been achieved within the design.
Results
The result was a property development shortlisted for Property Development of the Year at the Property Investor Awards 2021 and a very happy client.
The project was phased so that there was no loss of rent from part of the office units and the 4x studios. This allowed the client to keep his finance costs low and increase his profit over the duration of the project.
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