Table 12 shows the methods of transport to work In recent years there has been an increase in
for residents of Esher Ward, Elmbridge Borough flexible working practises such as working from
and the whole South East. home on a semi permanent basis. Despite this we
still found that 85.8% of Residents within Esher still Table 13 provides us with the percentage of commute to work, meaning that proximity to work residents from Elmbridge Borough travelling to still remains a key condition for buyers. certain locations, from the last census data.
The second largest group of commuters In 2011 the majority of residents of Elmbridge accounting for 36.1% of the working population lived and worked in the region. They accounted were commuting to Greater London, followed for 31,052 of the 64,181 residents, equivalent to by Guildford and Spelthorne at 3.2% and 3.1% 48.4%. respectively.
Residents’ Method of Travel to Work 2011
Esher Elmbridge South East
Driving a car or van 46.4% 52.2% 60.7%
Underground, metro, light rail, tram, train 25.7% 21.8% 7.7%
Work mainly at or from home 14.2% 9.7% 6.6%
On foot 4.8% 6.2% 10.8%
Bicycle 2.7% 3.2% 3.0%
Passenger in a car or van 2.1% 2.6% 4.7%
Bus, minibus or coach 1.6% 2.1% 4.5%
Other method of travel to work 1.3% 0.7% 0.7%
Motorcycle, scooter or moped 1.0% 1.2% 0.9%
Taxi 0.2% 0.3% 0.4%
Total 100% 100% 100% Table 12, Source: ONS 2011 Census
20 |
When we look at Esher, Elmbridge and the South From the commuting figures it is clear that
East as a whole the preferred method of transport access to parking, good road networks and close in 2011 was driving at 46.4%, 52.2% and 60.7% proximity to train stations are all key factors to respectively. buyers in the region. We find that those who work
mainly from home will on days travel to work and We find in Esher that the second most popular will mostly do this by train or car depending on method of transport is by train accounting for their final location. 25.7% of commuters, with 14.2% of residents working from home, both of these being above Esher has excellent transport links to London with the South East average. Waterloo just 23 minutes by train and access to the
South East via it’s road networks, the employment
prospects are strong in the area.
Elmbridge Residents’ Outward Commuting Flow 2011
Elmbridge Percentage of Commuters
1 Elmbridge 31,052 48.4%
2 Greater London 23,166 36.1%
3 Guildford 2,032 3.2%
4 Spelthorne 1,987 3.1%
5 Mole Valley 1,471 2.3%
6 Woking 716 1.1%
7 Canterbury 640 1.0%
8 Other 3,117 4.9%
Total 64,181 100%
Table 13, Source: ONS, Annual Population Survey Commuter Flows, 2011
| 21
Local Facilities and Amenities
Transport Connections
Esher is situated favourably to provide access to a
number of popular locations via the road network. The M25, M3 & A3 are easily accessible from the
site which enables connectivity to numerous locations including Central London, the Home
Counties, airports & further national motorway
network. Figure 8: Esher train station
To London Waterloo - 23 mins
Esher train station is operated by South Western LONDON GUILDFORD 19 MILES Railway and is located under a mile away from the 15 MILES centre of Sandown Park, being easily accessible to TWICKENHAM CROYDON 7 MILES future residents. There are 2 platforms in current 16 MILES use with trains running between London Waterloo
and Woking. The train to London Waterloo runs
very frequently at peak times and takes just 23
minutes, making Esher a popular commuter town.
Other stations along this line include Surbiton,
West Byfleet, Weybridge, Walton-on-Thames &
Hersham.
To Heathrow by car - 29 mins Heathrow Airport is located 10.8 miles from the
development via the A224.
Gatwick Airport is located 26.5 miles from the To Gatwick by car - 40 mins
development via the M25 and M23.
22 |
Recreation and Shopping Facilities
Esher has a well established and vibrant High
Street with a number of restaurants & shopping facilities available to residents and others who visit the area.
Popular well-known restaurants along the High
Street include names such as Cote Brasserie, Figure 10: Cote Brasserie, Esher High Street Giggling Squid, Pizza Express & Zizzi.
European restaurant, just to name a few. Esher
has an abundance of other restaurants offering a
variety of world cuisine.
There are also a number of cafes along the High
Street including brands such as Cafe Nero, Cafe
Rouge and Costa, along with some independent
outlets such G!ro Cycles, appealing to the ever Figure 9: Seven Bluebirds, Esher High Street growing ‘coffee culture’.
Esher is privileged to offer a number of well regarded independent or smaller chain restaurants. These include outlets such as
‘Siam Food’ offering a Thai cuisine, ‘Layla’ and the ‘Lebanon’ both offering Lebanese cuisine,
‘La Orient’ and ‘The Good Earth’ both high end
Chinese cuisine outlets, ‘Red Peppers’ an Italian restaurant and ‘Seven Bluebirds’ a modern Figure 11: G!ro Cycles Cafe, Esher High Street
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Along the vibrant High Street are further shopping
facilities including pubs, bars, banks, pharmacies, a
2.7 miles post office, hairdressers, clothing outlets and many
other general shops.
Esher has an abundance of car parks to handle
people visiting for the array of shopping & eatery 2.4 miles
facilities, with over 450 spaces available. (The
Civic Centre Car Park - 157 spaces, Highwaysman
Cottage Car Park - 68 spaces, Claremont Lane Car 0.6 miles Park - 46 Spaces, Heather Place Car Park - 29 spaces
& Waitrose Car Park - 150 spaces). There is also
further parking available on the High Street and at
Esher train station which can cater for 273 cars. 2.6 miles
The site is also well positioned to a range of larger
supermarkets in the local area, most notably the Waitrose along Esher High Street. Their proximity that will appeal to residents. These include ‘The
to the site is illustrated on the right. Bentall Centre’, ‘Eden Walk’ and ‘John Lewis’ in
Kingston, and ‘The Ashley Centre’ in Epsom, just to Esher is located a short distance from Kingston name a few. Central & Outer London is also only a Upon Thames (5.7 miles) and Epsom (7.7 miles) short commute from the development for further which offer a wider range of shops & restaurants shopping facilities.
Esher is host to a range local sports clubs including
a football, rugby, cricket and a tennis club.
Esher Lawn Tennis Club, located 1.0 mile from the
development, is a historic club which started in
1898 and offers 3 grass courts, 4 hard courts and 3
artificial clay courts to its members. Figure 12: Waitrose, Esher High Street
24 |
For the rugby fan, professional rugby teams Esher
Rugby Union Club, which play in National League
1, and the Elmbridge Eagles Rugby League Club are located just 2.7 miles and 1.3 miles respectively from the development.
Esher Cricket Club has been part of the community since 1863 and caters for all abilities. The club Figure 14: Luxury Everyman Cinema being only 0.7 miles from the development. Luxury cinema chain company ‘Everyman Cinema’
Esher Football Club aimed at ages 7 to 16 describes is located along Esher High Street. It offers a finer itself as “one of Surrey’s finest sports clubs with a viewing experience and benefits include premium number of F.A qualified coaches.” comfy sofas and tables, alcoholic beverages and
finer food whilst watching an array of mainstream,
classic and independent films.
Sandown Park Race Course, one of the main
venues of the town, is host to number of horse
racing events throughout the calender year. In
addition to this the venue also hosts a number
of concerts, live shows and other performances Figure 13: Esher Lawn Tennis Club which attract nationwide visitors. An abundance of well-renowned local golf clubs Located only 4.5 miles from the development is are located near to the development, most notably the well renowned theme park ‘Chessington World Sandown Park which parts of the proposed of Adventures’, which now incorporates a zoo and development will directly overlook. Other local sea life centre along with it’s famous thrill rides. courses include Hersham Golf Club, Moore Place
Golf Club, Surbiton Golf Club and the popular
Burhill Golf Club which are located just 1.4 miles,
0.8 miles, 3.9 miles and 4.1 miles away respectively.
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Local Schools
One key attraction to the area is the quality of local For further education, Esher Sixth Form College
schools. Listed below are the local primary and is is located just 1.3 miles away and Kingston
secondary schools closest to the site along with University 3.3 miles away. Both received an
their most recent Ofsted rating. ‘Outstanding’ Ofsted rating in the last inspections.
Primary Schools
Name and Type Age Range Pupils Ofsted Rating Subscription 2017 Distance (miles)
Milbourne Lodge School 4 - 13 274 Good Oversubscribed 0.9 (Independent)
Weston Green Preparatory 3 - 11 191 Good Not Oversubscribed 1.0 School (Independent)
Burhill Primary School 3 - 11 641 Good Oversubscribed 1.6 (State)
Bell Farm Primary School 4 - 11 531 Good Not oversubscribed 1.6 (State)
Walton Oak Primary School 3 - 11 476 Good Not oversubscribed 1.8 (State) Table 14 Secondary Schools
Name and Type Age Range Pupils Ofsted Rating Subscription 2017 Distance (miles)
Kisimul School 8 - 19 62 Good Not Oversubscribed 1.9 (Independent)
Hampton Court House 3 - 18 254 Good Not Oversubscribed 2.5 (Independent)
The Hollyfield School & Sixth 11 - 18 1,048 Good Not Oversubscribed 3.2 Form (Academy)
St Paul’s Catholic College 11 - 18 1,108 Outstanding Oversubscribed 3.5 (State)
Tolworth Girls’ School & 11 - 18 1,238 Outstanding Not Oversubscribed 3.5 Sixth From (Academy) Table 15
26 |
Market Overview and Trends
Average House Prices
-2.8% 1.5% 2.5% ELMBRIDGE SOUTH EAST ENGLAND
Average House Prices Percentage Increase - October 2017 to October 2018
The housing market in England over the past In the year up to October 2018 average house year has been very mixed, starting with the snap prices decreased in the majority of surrounding general election in June 2017 and continuing with areas which included Woking (-2.4%), Kingston ongoing uncertainty in the market due to the Upon Thames (-2.2%), Mole Valley (-1.5%),
BREXIT negotiations. Runnymede (-0.8%), Richmond Upon Thames
(-0.7%), Epsom & Ewell (-0.5%), Surrey Heath With greater uncertainty in the property market (-0.5%), Hounslow (-0.4%) & Guildford (-0.3%). average house prices in Elmbridge decreased by 2.8% in the year, down from £599,746 in October However, average house prices increased in two
2017 to £585,825 in August 2018. In contrast, the local areas between October 2017 to October
South East saw a 1.5% increase in values and a 2018, which included Reigate & Banstead and
2.5% increase across England as whole. Spelthorne by 2.2% and 0.2% respectively.
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At Romans we have experienced a widening gap and offering excellent opportunities for residential
between asking and achieved prices with sales development.
now taking longer to agree than last year. In October 2018 the average house price in
In a bid to make property more affordable for Elmbridge was £585,825 which was 79.3% higher
first time buyers stamp duty has been cut on the than the average for the South East at £326,785.
first £300,000 of homes up to £500,000 which will Table 16 shows the average house price for the benefit 95% of first time buyers. local boroughs and the percentage variance
In addition, the continuation of the Help to Buy between October 2017 to October 2018.
scheme has seen increased interest and sales of
new homes ensuring that demand remains strong
South West Greater London Assembly Contituency Spelthorne Runnymede
Surrey Heath Elmbridge Epsom & Ewell Woking Reigate & Guildford Banstead
Mole Valley
Figure 15: Elmbridge Borough and surrounding districts
28 |
Average House Prices
Location October 2017 October 2018 Variance
Elmbridge £599,746 £585,825 -2.3%
Epsom & Ewell £463,155 £461,033 -0.5%
Guildford £444,675 £443,585 -0.3%
Mole Valley £497,090 £489,725 -1.5%
Reigate & Banstead £415,933 £425,088 2.2%
Runnymede £413,317 £409,995 -0.8%
South West Greater London £521,512 £515,929 -1.1%
** Richmond Upon Thames £669,034 £664,601 -0.7%
** Hounslow £397,339 £395,734 -0.4%
** Kingston Upon Thames £498,162 £487,453 -2.2%
Spelthorne £365,872 £366,571 0.2%
Surrey Heath £395,069 £393,239 -0.5%
Woking £421,464 £411,470 -2.4%
South East England £322,066 £326,785 1.5%
England £242,003 £247,914 2.5% Table 16, Source: Land Registry, UK House Price Index
Overall with house prices having increased by Average House Prices - October 2018 over 40% in the South East over the last 5 years it is little surprise that we are starting to see annual percentage rises decrease as house prices stabilise at very high levels. Surrey Heath South East
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The table below shows that average house prices The affordability ratios in Table 18 were produced
in Elmbridge were greater than the South East by the DCLG using ONS and Land Registry figures
averages for all house types. for the lower quartile house prices and earnings in
each area. In Elmbridge average house prices for all house
types decreased in the year up to October 2018. At 14.5 times the average salary properties in
Flats in the borough fell by the largest percentage Elmbridge are less affordable than Spelthorne
at -3.9%, followed by terraced properties at (9.6), Reigate & Banstead (10.5), Hounslow (11.5),
-2.7%. Semi-detached and detached properties Guildford (11.5), Surrey Heath (12.0), Mole Valley
decreased by the smallest percentage however (13.4), Epsom & Ewell (13.6) and Woking (14.3),
still recorded a -1.9% and -1.0% reduction which are all considerably less affordable than
respectively. In contrast, the South East as whole England as a whole (7.0). However Elmbridge
saw average house prices increase for all house is more affordable than Kingston (15.3) and
types, with the largest increase being detached Richmond (17.2).
properties at 2.1%. Average flat values increased The property market has become considerably by 1.2% in the South East between October 2017 tougher during the last 12 months. Based on to October 2018. figures from our office network November 2018
Average Prices by House Type
Elmbridge South East England
Oct 2017 Oct 2018 Variance Oct 2017 Oct 2018 Variance Detached £1,233,184 £1,221,512 -1.0% £552,055 £563,689 2.1%
Semi-Detached £589,835 £578,605 -1.9% £340,617 £346,732 1.8%
Terraced £466,554 £454,170 -2.7% £267,967 £270,089 0.8% Flat £342,622 £329,148 -3.9% £206,343 £208,739 1.2%
Average £599,746 £585,825 -2.3% £322,066 £326,785 1.5%
Table 17, Source: Land Registry UK House Price Index
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Affordability Ratio by Area - Lower Quartile 2015
England Spelthorne & Banstead Reigate Hounslow Guildford SurreyHeath Valley Mole Epsom& Ewell Woking Elmbridge Kingston Upon Thames Richmond Upon Thames
7.0 9.6 10.5 11.5 11.5 12.0 13.4 13.6 14.3 14.5 15.3 17.2
Most Affordable Least Affordable
Table 18, Source: Department for Communities and Local Government (ONS and Land Registry figures)
new instructions and stock availability are good each new plot with far more marketing and but viewing numbers and new sales are down on time involved to secure the same number of
November 2017. reservations.
There are fewer buyers and more stock which This said a number of our sites are still performing has highlighted the need for correct pricing and well, securing the target number of sales but it is optimum presentation to be able to achieve a sale. normally far more difficult to secure sales without
The viewing to sale ratio has also increased from 1 product, flexibility on price, sales incentives such in 6 to 1 in 11. as Part Exchange, stamp duty incentives and
inclusions. It is also worth noting that sites with a However it is important to note that people are superior specification are also performing better. still buying homes, but if the property is not well presented and well-priced then it will not sell. Moving forward we do not see any noticeable
changes to the market place until the furore over Romans New Homes have also experienced BREXIT has dissipated. We have noticed however a more difficult market place where pricing that our customers are more and more aware of and presentation are also a key factor. It has the difficulties and are starting to react correctly undoubtedly been more expensive to sell with the pricing and presentation of their homes.
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Average House Prices in Esher and the surrounding area
Number Location December 2018 Majority of Sales - YTD December 2018
1. Esher £939,883 Detached £1,296,445
2. Addlestone £376,215 Semi-detached £423,373
3. Ashtead £576,629 Detached £844,421
4. Byfleet £379,337 Semi-detached £417,040
5. Chessington £396,613 Terraced £391,470
6. Claygate £829,078 Detached £1,067,964
7. Cobham £1,194,219 Detached £1,571,959
8 East Molesey £765,177 Flats £452,386
9. Epsom £519,224 Semi-detached £527,938
10. Ewell £522,605 Semi-detached £530,430
11. Hersham £673,248 Semi-detached £521,490
12. Kingston Upon Thames £655,078 Flats £381,311
13. Leatherhead £555,312 Detached £824,888
14. Long Ditton £680,978 Flats £406,778
15. New Malden £598,381 Terraced £538,728
16. Oxshott £1,442,766 Detached £1,970,044
17. Shepperton £455,577 Semi-detached £480,388
18. Sunbury £497,097 Terraced £481,896
19. Surbiton £547,867 Flats £394,872
20. Walton on Thames £574,314 Semi-detached £547,724
21. Weybridge £711,710 Flats £355,940 Table 19, Source: rightmove.co.uk, December 2018
32 |
Average House Price Map
18 12
17 8 14 19 15
20
2 21 1 11 5 6 10
4 7 16 9
3
13 Figure 16
Esher’s Average House Price by Property Type - December 2018
Detached Semi-Detached Apartment / Flat
Figure 17 - Rightmove.co.uk, Sold house price data, December 2018
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Number of Properties for sale by number of bedrooms (KT10 postcode area)
Figure 18, Source: Home.co.uk
Esher is located within the KT10 postcode area. Figures 18-19 show the number of properties advertised
for sale by number of bedrooms and the average length of time that these properties remained on
the market within the KT10 postcode area. Figure 18 illustrates that in the year up to November 2018
the greatest proportion of properties on the market were 2 bedroom properties, closely followed by 5
bedroom properties. The smallest proportion consisting of 1 bedroom properties. The total number of
properties for sale also increased by 21% in the year.
Average time (days) on the market by number of bedrooms (KT10 postcode area)
Figure 19, Source: Home.co.uk
Figure 19 shows that in the KT10 postcode area on average 3 & 4 bedroom properties sold fastest
throughout the year, averagely remaining on the market for 129 days. Average time on the market
for 3 & 5 bedroom properties decreased between November 2017 to 2018, reducing by 16 & 9 days
respectively. 1 bedroom and 2 bedroom properties on average took longer to sell across the year, most
notably 1 bedroom properties increasing by 131%. However, the graph also reflects the more challenging
marketplace in the area with properties taking on average 12 days longer to sell in November 2018
compared to the previous year.
34 |
Number of Properties for sale by House Type (KT10 postcode area)
Figure 20, Source: Home.co.uk
Figures 20-21 show the number of properties advertised for sale by house type and the average length of time that these properties remained on the market within the KT10 postcode area. Figure 20 above shows that within the local postcode area the majority of properties on the market between November
2017 and November 2018 were detached properties, up from 69 units in 2017 to 106 in 2018, a 54% increase. The number of flats on the market also increased by 7% during this period.
Average time (days) on the market by House Type (KT10 postcode area)
Figure 21, Source: Home.co.uk
Figure 21 shows that terraced properties remained on the market for the least amount of time in the year (92 days) followed by semi detached (113 days) and then detached (142 days) properties indicating greater demand for these house types in the area. Flats on the other hand took the longest period to sell at 186 days an increase of 44% from the previous year, contributing to the reason why the number of flats on the market increased by 7% in the year up to November 2018.
| 35
Leaders36 | Romans Group Head Office, Wokingham
November 2018: RICS Residential Market Survey
The November 2018 RICS UK Residential Market Survey expecting sales volumes to stabilise in the coming year results are consistent with a weaker trend in sales with positive sales trends envisaged across Northern market activity with headline indicators on both Ireland, South West and East Anglia in particular. demand and supply edging further into negative Turning to prices, the headline price net balance came territory. Furthermore, forward looking metrics suggest in at -11% in November, broadly unchanged from -10% that momentum is likely to continue slipping in the in October. Overall, this indicator is consistent with a coming three months, although a somewhat stable modest fall in national house prices. Still, the regional trend is expected to emerge further out. picture remains highly varied, with negative price trends across London, South East and East Anglia Starting off with the demand indicator, the New Buyer contrasting with solid price growth reported in Enquiries gauge fell to -21% in the latest results from Northern Ireland, Scotland, the Midlands and the North -15% previously, representative of a more cautious West. approach from property purchasers. The latest numbers continue to imply that the limited choice for properties Looking ahead, price expectations for the coming for sale is likely to be one factor hampering buyer three months dipped to -25% (from -17% in October) demand. The new instructions series pointed to a consistent with a fall in national house price inflation on decline in the supply of properties coming on to the a UK wide basis. The twelve-month outlook however is market for the fifth consecutive report. Significantly, broadly flat. the net balance of -24% in November was the fastest pace of decline in new sales listings noted in twenty- In the lettings market, the latest numbers (which form eight months. As a result, average stock levels on estate part of a non-seasonally adjusted series) are indicative agents’ books remained close to record lows at 42.1. At of demand from prospective tenants holding broadly the same time, contributors continue to report that new steady for the second month running. Alongside appraisals by property valuers are down in comparison this, the new landlord instructions series remained to a year earlier suggesting that any pick-up in new entrenched in negative territory (net balance of -14%) sales listings is not on the horizon. signalling a decline in the supply of fresh rental stock coming on to the market. As a result of these dynamics, Meanwhile, the time taken to complete a sale from rents are expected to rise modestly over both the three initial listing stands at approximately 19 weeks. As such, and twelve month horizons. this represents the longest duration since the series was first introduced in February 2017 and is another sign of Further out, rental growth is expected to outpace that challenges in the sales market. of prices; on average, rents are expected to rise by 3.1% per annum over the next five years, whilst price growth Against this backdrop, the Newly Agreed Sales net projections stand at 2.3% on the same basis. balance moved to -15% from -10% in the previous report pointing to a modest decline in sales transactions at the national level. When disaggregated, activity was reportedly subdued in almost all areas of the UK. Anecdotal evidence continues to suggest that Brexit uncertainty and lack of fresh stock are the principle factors behind the subdued trend in market activity.
Moreover, there is little sense that these headwinds will fade anytime soon. Headline sales expectations fell to -23% in November (from -6% previously), indicating that momentum looks likely to slip further over the coming three months. That said, contributors are
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Purchaser Profile
The following section of the report will outline The excellent transport links, high standard of
the key requirements and level of demand from local schools and amenities will attract a range
different types of buyers. The key considerations of buyers to Esher. Many of these potential
for buyers are: purchasers will consist of locals; although due to
the excellent transport connections and extensive Transport accessibility employment opportunities, the area will also
Proximity to work attract professional buyers from across the South
Affordability East of England interested in relocating closer to The standard of local schools their workplace. It’s close proximity to London will Access to amenities also be a major draw to potential purchasers.
According to the 2015 ONS survey the average It is expected that the purchaser profile for this
gross weekly earnings for full time workers site would comprise:
resident in Elmbridge Borough stood at £743.60 a
week, or £38,667.20 a year.
This is 29.3% higher than the gross weekly
earnings for the South East of England at £574.90
a week, or £29,894.80 a year.
SOUTH ELMBRIDGE EAST
38 |
Young families will be attracted to Esher due to We anticipate that investors will account for the excellent schools and superb environment a small percentage of purchasers, with their for raising children. In addition the extensive preferred interests in smaller sized units that offer transport links and strong employment prospects higher yields. make the area an ideal place for growing families.
Esher will attract interest from highly paid, The area will appeal to downsizers that wish to aspirational young professional couples. Many move to a more manageable property while still buyers are expected to be locals seeking the maintaining the high standard of living that they convenience of such a location, with buyers also have come to expect, often with the added benefit likely to be commuting in and out of the area. The of allowing them to release equity in their homes. remainder of buyers are expected to be relocating The high quality of life offered by the area as well from across the South East or London. First time as the close proximity to an excellent range of buyers will be interested in the apartments on shops, restaurants and facilities both in Esher and offer due to the close proximity of a town centre. the surrounding areas will also significantly appeal
Many of these buyers are expected to be assisted to retired couples. by parents or taking advantage of the Help to Buy initiative.
| 39
Conclusion
We consider that the housing mix, average floor areas and values proposed within the Executive
Summary of this report reflect the optimum scheme in response to the market conditions prevalent in
the local area.
Esher is a extremely desirable town and boasts excellent schools and transport links as well as a strong
selection of shopping, restaurant and leisure facilities. Open green spaces are also an additional benefit to
the development and the local area.
Esher has also a number of well regarded high profile companies operating in the area making strong
employment prospects, as well as it’s great connectivity to London further broadening those prospects to
potential purchasers.
In conclusion, considering the limited number of recent and emerging developments in the town of
Esher and the vibrant town centre & local leisure facilities, we believe that the development at Sandown
Park Race Course will attract considerable interest. This demand will be from a range of buyers including
young families, professionals, first time buyers, downsizers and retirees as well as potential from buy to let
and institutional investors.
40 |
Appendix I - Sales Values
Number House Type Sq.Ft Achievable Value £ per Sq.Ft of Plots Total Sq.Ft
Studio Apartment 395 £255k £646 2 790
1 Bedroom Apartment 550 £350k - £370k £636 - £673 72 39,600
2 Bedroom Apartment 700 £475k £679 8 5,600
2 Bedroom Apartment 800 £520k - £565k £650 - £706 178 142,400
3 Bedroom Apartment 950 £585k - £630k £616 - £663 58 55,100
Total: 318 243,490
GDV - 318 homes: £164,605,000
Number Site House Type of Plots Sq.Ft Achievable Value Total Sq.Ft Total Value £ per Sq.Ft
1 1 Bedroom Apartment 5 550 £350,000 2,750 £1,750,000 £636
1 2 Bedroom Apartment 10 800 £520,000 8,000 £5,200,000 £650
2 1 Bedroom Apartment 4 550 £350,000 2,200 £1,400,000 £636
2 2 Bedroom Apartment 8 700 £475,000 5,600 £3,800,000 £679
2 2 Bedroom Apartment 18 800 £520,000 14,400 £9,360,000 £650
2 3 Bedroom Apartment 19 950 £585,000 18,050 £11,115,000 £616
3 1 Bedroom Apartment 27 550 £370,000 14,850 £9,990,000 £673
3 2 Bedroom Apartment 87 800 £565,000 69,600 £49,155,000 £706
4 Studio Apartment 2 395 £255,000 790 £510,000 £646
4 2 Bedroom Apartment 39 800 £565,000 31,200 £22,035,000 £706
4 3 Bedroom Apartment 31 950 £630,000 29,450 £19,530,000 £663
5 1 Bedroom Apartment 36 550 £360,000 19,800 £12,960,000 £655
5 2 Bedroom Apartment 24 800 £540,000 19,200 £12,960,000 £675
5 3 Bedroom Apartment 8 950 £605,000 7,600 £4,840,000 £637
Total: 318 243,490 £164,605,000 £676
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Appendix II - New Build Comparable Evidence 1. Indigo Square, Brighton Road, Surbiton, Surrey, KT6 5LR
Property Details:
Guide Price: £725,000 Type: 3 Bedroom Apartment
Size: 1114 sq.ft £ per sq.ft £651 Status: For Sale Marketed from: 26th December 2018 Marketed to: Number of days:
Key Features:
New Build Duplex ground & lower floor apartment Two bathroom & separate WC Garden area Allocated parking space Bosch & Hotpoint appliances Underfloor heating Communal courtyard
42 |
2. Flat 13 Scase House, Ewell Road, Surbiton, Surrey, KT6 6AW
Property Details:
Guide Price: £625,000 Type: 3 Bedroom Apartment
Size: 1033 sq.ft £ per sq.ft £605 Status: Sold Marketed from: 22nd May 2017 Marketed to: Number of days: 19th October 2017 151 days
Key Features:
New Build Third floor apartment Two bathroom Terrace area Utility room Allocated parking space
| 43
3. Flat 1, 7 Paragon Grove, Surbiton, Surrey, KT5 8RE
Property Details:
Guide Price: £600,000 Type: 3 Bedroom Apartment
Size: 984 sq.ft £ per sq.ft £610 Status: For Sale Marketed from: 9th March 2018 Marketed to: Number of days: 9th October 2018 214 days
Key Features:
New Build - by Falcon Investments Ltd First floor apartment Two bathroom Balcony Allocated parking space Underfloor heating 0.5 miles to Surbiton town centre
44 |
45. Hare Lane, Claygate, Surrey, KT10
0LZ Property Details:
Guide Price: £700,000 Type: 2 Bedroom Apartment
Size: 907 sq.ft £ per sq.ft £772 Status: Sold Marketed from: 31st January 2017 Marketed to: Number of days: 20th December 2017 324 days
Key Features:
New Build Duplex penthouse apartment Two bathroom Allocated parking space Balcony Additional study room Mezzanine level Integrated appliances
| 45
5. King Georges Walk, High Street, Esher, Surrey, KT10 9FJ
Property Details:
Guide Price: £625,000 Type: 2 Bedroom Apartment
Size: 835 sq.ft £ per sq.ft £749 Status: Sold Marketed from: 12th April 2017 Marketed to: Number of days: 8th September 2017 149 days
Key Features:
New Build Third floor penthouse apartment Two bathroom Terrace area Allocated parking space Siemens appliances Underfloor heating Close to Esher train station
46 |
47. Hare Lane, Claygate, Surrey, KT10
0LZ Property Details:
Guide Price: £560,000 Type: 2 Bedroom Apartment
Size: 816 sq.ft £ per sq.ft £686 Status: Sold Marketed from: 31st January 2017 Marketed to: Number of days: 20th December 2017 324 days
Key Features:
New Build Second floor apartment Two bathroom Allocated parking space Integrated appliances
| 47
7. Plot 3 Ditton Mews, Esher, Surrey, KT10 9AB
Property Details:
Guide Price: £420,000 Type: 2 Bedroom Apartment
Size: 627 sq.ft £ per sq.ft £670 Status: Under Offer Marketed from: 31st October 2018 Marketed to: Number of days:
Key Features:
New Build - by ZeroC Ground floor apartment One bathroom Balcony Allocated parking space Siemens appliances Close to Esher train station
48 |
8. Plot 2 Ditton Mews, Esher, Surrey, KT10 9AB
Property Details:
Guide Price: £399,950 Type: 2 Bedroom Apartment
Size: 634 sq.ft £ per sq.ft £612 Status: Under Offer Marketed from: 31st October 2018 Marketed to: Number of days:
Key Features:
New Build - by ZeroC Ground floor apartment Two bathroom Terrace area Allocated parking space Siemens appliances Close to Esher train station
| 49
9. Ditton Mews, Esher, Surrey, KT10 9AB
Property Details:
Guide Price: £385,000 Type: 1 Bedroom Apartment
Size: 532 sq.ft £ per sq.ft £724 Status: For Sale Marketed from: 31st October 2018 Marketed to: Number of days:
Key Features:
New Build - by ZeroC Ground floor apartment One bathroom Allocated parking space Siemens appliances Close to Esher train station
50 |
10. Flat 9, 7 Paragon Grove, Surbiton, KT5 8RE
Property Details:
Guide Price: £379,950 Type: 1 Bedroom Apartment
Size: 555 sq.ft £ per sq.ft £685 Status: Sold STC Marketed from: 9th March 2018 Marketed to: Number of days: 9th October 2018 214 days
Key Features:
New Build - by Falcon Investments Ltd Third floor apartment One bathroom Underfloor heating 0.5 miles to Surbiton town centre
| 51
11. King Georges Walk, High Street, Esher, Surrey, KT10 9FJ
Property Details:
Guide Price: £360,000 Type: 1 Bedroom Apartment
Size: 451 sq.ft £ per sq.ft £798 Status: Sold STC Marketed from: 5th April 2017 Marketed to: Number of days: 8th September 2017 156 days
Key Features:
New Build Second floor apartment One bathroom Allocated parking space Siemens appliances Underfloor heating Close to Esher train station
52 |
12. Portland Place, Portsmouth Road, Thames Ditton, KT7 0EY
Property Details:
Guide Price: £340,000 Type: 1 Bedroom Apartment
Size: 549 sq.ft £ per sq.ft £619 Status: Sold STC Marketed from: 26th December 2016 Marketed to: Number of days: 23rd June 2017 180 days
Key Features:
New Build First floor apartment One bathroom Allocated parking space Integrated appliances
| 53
54 |
| 55
Contact Us
Leaders Romans Group Our branch network
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New Homes
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56 |
Appendix 5 SAVILLS HOTEL VALUATION
leaders.co.uk romans.co.uk boyerplanning.co.uk
25 January 2019
The Jockey Club c/o Jockey Club Estates Ltd 101 High Street
Newmarket
Suffolk CB8 8JL Richard Dawes E: [email protected] For the attention of: William Gittus DL: +44 (0) 20 7409 8106
33 Margaret Street London W1G 0JD T: +44 (0) 20 7499 8644 savills.com Dear William,
DESKTOP APPRAISAL POTENTIAL HOTEL AT SANDOWN PARK RACECOURSE, ESHER
1.0 Instructions and Terms of Reference
In accordance with your emails and our mandate dated 8 October 2018, we set out below our indication of value in respect of the above.
You have instructed us to provide our short form desktop advice as to the site value of the potential hotel at Sandown Park Racecourse, Esher (the “Property”). The Property has not been inspected. The valuation date is the date of our report.
The advice set out in the Report is indicative only and is not a substitute for a valuation undertaken in accordance with the RICS Red Book. We shall not be undertaking the due diligence necessary to complete a full formal report and will rely upon the information with which you will/have provided us and will not be verifying this information. The Report shall be provided to you for your information only on a strictly non-reliance and without liability basis. You agree not to use the Report for any other purpose and the Report may not be relied upon as the basis for any binding decision. Savills (UK) Limited does not accept responsibility for the consequence of any binding decision that may be made on the basis of the advice set out in the Report.
You agree not to disclose all or any part of the Report to any other person without our prior written consent.
2.0 Information Received
We have been provided with the following information which we have relied upon as part of our desktop exercise: - Preliminary Hotel Layout, prepared by PRC - Overview of Sandown Park Racecourse operational and financial information and guest profile, prepared by Jockey Club Estates Ltd - Hilton Garden Inn Development Deck Q1 2018, prepared by Hilton Worldwide - HGI Developers Guide Europe 1.1, prepared by Hilton Worldwide
3.0 Overview of Potential Hotel Scheme
The Property is located in Esher, Surrey, which falls within the M25 and is situated approximately 2 miles from the A3 and 5.5 miles from the M3. The hotel would form part of Sandown Park Racecourse, which hosts approximately 24 race days and 350 CB&E events per annum.
The Property will be located centrally towards the southern part of Sandown Park Racecourse, situated adjacent and east of the grandstand, and north of the A307 Portsmouth Road. The Property will occupy a site of circa 0.74 acres for the building and associated landscaping, not including any allocated car parking.
Offices and associates throughout the Americas, Europe, Asia Pacific, Africa and the Middle East.. Savills (UK) Limited. Chartered Surveyors. Regulated by RICS. A subsidiary of Savills plc. Registered in England No. 2605138. 2
The Property is designed as an upper midscale branded hotel and currently refers to Hilton Garden Inn as a good example of this product level. It is understood that the hotel would comprise 150 keys, two meeting rooms, bar, dining area, outdoor seating, terrace and reception. The average bedroom size is 24.5 sq m NIA. We provide an accommodation schedule below:
Floor Amenities Area Ground Floor Reception, back of house, plant, lounge, dining, bar and outdoor 1,627 sq m seating First Floor 22 keys, 2 meeting rooms and terrace 1,074 sq m Second Floor 32 keys 1,074 sq m Third Floor 32 keys (including balconies) 1,074 sq m Fourth Floor 32 keys 1,074 sq m Fifth Floor 32 keys 1,074 sq m Total 150 keys 6,997 sq m
We have not been provided with car parking plans for the Property and thus have assumed that 150 car parking spaces will be made available for use by the hotel, noting a 1:1 ratio with the number of bedrooms. This assumption is in line with what we would expect to see for an upper midscale, new build hotel in this location.
We note that the ground floor of the Property will step down from 26m AOD from the western end to circa 23m AOD at the eastern end. The sloping site presents a construction challenge, but also interesting design opportunities.
4.0 Tenure
The Property is held freehold. We have assumed that the Property is not subject to any onerous or unusual third party rights or restrictions which could affect value.
5.0 Anticipated Hotel Performance
For the purpose of our valuation we have prepared a set of Profit and Loss accounts modelling cashflow based on a hypothetically efficient operator, based on our knowledge of similar operations within a close proximity to the Property. We summarise our projections below.
2020F 2021F 2022F 2023F 2024F Occupancy (%) 67.0 71.0 75.0 75.0 75.0 ADR (£) 81.0 85.0 89.0 91.7 94.4 RevPAR (£) 54.3 60.4 66.8 68.8 70.8 Total Revenue (£) 3,635,000 4,031,000 4,459,000 4,592,000 4,743,000 EBITDA (£) 1,334,000 1,568,000 1,838,000 1,893,000 1,955,000 EBITDA (% of Revenue) 36.7 38.9 41.2 41.2 41.2
We anticipate that the hotel would reach stabilised trade in Year 3, thereafter growing income linked to inflation growth. We anticipate that the hotel would stabilise at 75.0% occupancy and an ADR of £89.00.
We have assumed that the hotel will serve breakfast, lunch and dinner, in line with the indicative brand specifications provided by Hilton Garden Inn. This is expected to equate to 18% of total revenue. MOD income is anticipated at 4% of total revenue, accounting for two small meeting rooms.
We have considered that the hotel would be operated by an owner operator and franchised with an upper midscale brand under an umbrella brand. We have attributed operational costs and fees as such.
It should be noted that in an open market sales process, different operating structures may be targeted and may correspondingly have differing impacts on the pricing level achieved.
Registered office: 33 Margaret Street, London, W1G 0JD
Both costs attributed to repairs and maintenance and FF&E reserve grow as the hotel becomes older. This is reflective of the assumed new build nature of the Property with sufficient capital expenditure on the building and contents from the outset.
The resulting stabilised EBITDA equates to £1,838,000 (41.2% of total revenue, before a FF&E allocation of 3% of total revenue). This is in-line with our expectations of a new build, upper midscale offering in this market.
6.0 Hotel Market Commentary
The continuing rise in staycation numbers, recovery in corporate travel and the weak Sterling have boosted operational performance in the UK’s hotel market over recent years. Between 2013-2018, the UK regions saw 6.2% average annual growth in RevPAR according to STR.
We have noted key performance metrics of a sample of hotels within a 5 mile radius of the Property. Occupancy falls within the range of 75-82%, accompanied by ADR levels of £86-91. Due to the confidential nature of this information, which has been informed from other Savills projects, we are unable to disclose further detail.
PWC recognise the strengthening of the UK market in their forecasts for 2018 and 2019. In the provinces, PWC anticipate ADR to increase by 1.3% and 1.2% respectively year-on-year, converting to a rise on RevPAR levels of 1.0% and 1.2% respectively year-on-year. Occupancy is anticipated to remain stable at 76%, with the regions absorbing a net growth of 3.3% in 2019.
Investment into the UK hotel market reached £6.6 billion in 2018, up by 25% on 2017 volumes and exceeding the long term average for UK hotel investment volumes by 76%. Overseas investors accounted for £3.6 billion (54% of transactional value), buoying demand from domestic investors who transacted £3 billion. The investment of overseas capital into UK hotels is a testament to the strength of the sector even when facing Brexit uncertainty. This is further echoed in the popularity of portfolios which accounted for the majority of volumes, pointing to a positive market sentiment.
Focusing on the South, East and Home Counties, the region saw £1.36 billion transact in 2018, representing an increase of 39% on 2017 volumes. The region is currently the strongest performing market outside of London, accounting for 34% of regional market activity and transacting 44 deals over the year. The South, East and Home Counties hotel investment market has been driven by a number of high value portfolio deals, as well as consistent appetite from domestic investors who tended to focus on individual hotel transactions.
Domestic demand continues to drive performance in regional hotels. With the weakening of the Pound, overseas travel has become more expensive and leisure seekers have consequently focused their attention to the UK. Uncertainty around current economic prospects has dampened corporate demand but is not detrimental. We note that in spite of economic uncertainty banks are seeking further divestment, and sovereign wealth funds, private equity, high net worth individuals and specialist hotel investors continue to actively seek opportunities. There is certainly potential for high levels of transactional activity to continue in the short to medium term.
3
7.0 Principal Valuation Considerations
The principal valuation considerations of the Property are as follows:
Strengths: - Freehold property. - Accessible location. - Opportunity to achieve economies of scale with sufficient bedroom count. - Opportunity to leverage off existing C&E provision at the racecourse. - Anticipated strong demand from leisure visitors to the racecourse and nearby demand drivers. - Limited hotel pipeline within 5 mile radius, as well as limited existing branded stock in the area.
Weaknesses: - Opportunity to convert one of the meeting rooms to a gym to meet criteria for a full upper midscale offering.
8.0 Approach to Valuation
We have adopted a capitalisation rate of 7.25%, which has been applied to the year 10 income and discounted annual forecast returns at 10.75%.
This provides for an opinion of value in the region of £19,300,000. This equates to approximately £129,000 per key. This is after purchaser’s costs of 6.8%.
In order to arrive at the site value, we have considered the associated build costs. We assume that the build cost per key would equate to £82,500, with a further £7,500 per key of FF&E costs, plus standard professional fees. We have assumed that there are no non-standard land remediation costs associated with the development or extensive utility/power linkage costs.
With a build period of 18 months and a 3% contingency, we consider the site value to be £2,473,000. This equates to approximately £16,500 per key. We have assumed that the site benefits from planning permission for the hotel as per the preliminary hotel layout prepared by PRC.
4
Desktop Limitations
In accordance with our standard procedures, all such desktop advice is provided as indicative guidance only and is not a substitute for a valuation undertaken in accordance with the RICS Red Book. It should not be relied upon as the basis for any binding decision. This advice is for your internal use alone. Savills does not accept responsibility for the consequence of any binding decision that may be made on the basis of this advice. All correspondence (email or otherwise) hereinafter is on the basis of this position on reliance and responsibility. In this respect the figures do not carry our Professional Indemnity Insurance cover.
Please do not hesitate to contact any of the undersigned if you have any questions relating to the contents of this letter.
Yours sincerely
For and on behalf of Savills (UK) Limited
Richard Dawes MRICS James Greenslade MRICS RICS Registered Valuer RICS Registered Valuer Director Associate
5
Appendix 6 CALFORD SEADEN COST PLAN
Five Sites : Sandown Park
Order of Cost Estimate Revision 4
Five Sites : Sandown Park
For and on Behalf of:
Rapleys LLP
Date 18/02/2019 K180717/E8/0001/DP/G1
St John’s House 1a Knoll Rise Orpington Kent BR6 0JX 01689 888 222 [email protected]
calfordseaden.com
ORPINGTON | LONDON | BIRMINGHAM | SOUTHEND-ON-SEA | WINCHESTER |CAMBRIDGE calfordseaden LLP is a Limited Liability Partnership Registered in England and Wales number OC315838. Registered Office: Devonshire House 60 Goswell Road London EC1M 7AD where a list of members is kept Regulated by RICS
K180717/E8/0001 DP/G1
Five Sites : Sandown Park
Order of Cost Estimate Revision 4
Five Sites : Sandown Park
Approval Sign-off
Revision Estimator Reviewer Approval Date Draft 0 DP DP 24/01/2019 Draft 1 DP DP 25/01/2019 Draft 2 DP DP 28/01/2019 3 DP DP 08/02/2019 4 DP DP 18/02/2019
K180717/E8/0001 DP/G1
Five Sites : Sandown Park
Order of Cost Estimate
Contents
1 Executive Summary
2 Summary - Site 1
3 Summary - Site 2
4 Summary - Site 3
5 Summary - Site 4
6 Summary - Site 5
7 Assumptions
8 Exclusions
9 Building Works Estimate - Site 1
10 Building Works Estimate - Site 2
11 Building Works Estimate - Site 3
12 Building Works Estimate - Site 4
13 Building Works Estimate - Site 5
14 Area Schedule
15 Accommodation Schedule
16 Definitions
K180717/E8/0001 DP/G1
Five Sites : Sandown Park
1. Executive Summary
This Order of Cost Estimate has been produced to show the forecast construction costs for the five separate sites at Sandown Park, as requested by Rapleys.
The scope of works to each of the sites is summarised as follows:
Site 1 : 15nr Newbuild apartments in one block - Private (without cost uplift) Site 2 : 49nr Newbuild apartments in one block, including large undercroft - Affordable Site 3 : 114nr Newbuild apartments in 9nr separate blocks - Private Site 4 : 72nr Newbuild apartments in one block, including basement - Private Site 5 : 68nr Newbuild apartments in 4nr separate blocks - Private
Our Order of Cost Estimate generates the following rounded headline construction cost information, estimated todays pricing levels :
TOTAL Av £/Unit Av £/m²
Site 1 : £ 3,065,000 £ 204,000 £ 2,550 Site 2 : £ 11,697,000 £ 239,000 £ 2,580 Excl undercroft area Site 3 : £ 24,631,000 £ 216,000 £ 2,610 Site 4 : £ 19,165,000 £ 266,000 £ 2,760 Excl basement area Site 5 : £ 13,975,000 £ 206,000 £ 2,700
Development Total : £ 72,533,000 £ 228,000.00 £ 2,640
K180717/E8/0001 DP/G1 1
Five Sites : Sandown Park
2. Summary - Site 1
% £ £
Building Works Estimate 2,048,767
Main Contractor's Preliminaries 21.00% 430,241
Sub-total 2,479,008
Main Contractor's Overheads and Profit 8.00% 198,321
Works Cost Estimate 2,677,329
Project/Design Team Fees Consultants' fees 0.00% 0 Main contractor's pre-construction fee 0.00% 0 Main contractor's design fee 6.00% 160,640 160,640
Sub-total 2,837,968
Other Development/Project Costs 0
Base Cost Estimate 2,837,968
Risk Design Development Risk 3.00% 85,139 Construction Risk 5.00% 141,898 Employer Change Risk 0.00% 0 Employer Other Risk 0.00% 0 227,037
Cost Limit (excluding inflation) 3,065,006
Tender Inflation 0.00% 0
Cost Limit (excluding construction inflation) 3,065,006
Construction Inflation 0.00% 0
Cost Limit (including inflation) 3,065,006
Cost (£/m² GIA) 2,554
Cost (£/unit) 204,334
K180717/E8/0001 DP/G1 2
Five Sites : Sandown Park
3. Summary - Site 2
% £ £
Building Works Estimate 8,200,613
Main Contractor's Preliminaries 17.00% 1,394,104
Sub-total 9,594,717
Main Contractor's Overheads and Profit 7.00% 671,630
Works Cost Estimate 10,266,347
Project/Design Team Fees Consultants' fees 0.00% 0 Main contractor's pre-construction fee 0.00% 0 Main contractor's design fee 5.50% 564,649 564,649
Sub-total 10,830,996
Other Development/Project Costs 0
Base Cost Estimate 10,830,996
Risk Design Development Risk 3.00% 324,930 Construction Risk 5.00% 541,550 Employer Change Risk 0.00% 0 Employer Other Risk 0.00% 0 866,480
Cost Limit (excluding inflation) 11,697,476
Tender Inflation 0.00% 0
Cost Limit (excluding construction inflation) 11,697,476
Construction Inflation 0.00% 0
Cost Limit (including inflation) 11,697,476
Cost (£/m² GIA) including undercroft area 1,846 Cost (£/m² GIA) excluding undercroft area 2,579
Cost (£/unit) 238,724
K180717/E8/0001 DP/G1 3
Five Sites : Sandown Park
4. Summary - Site 3
% £ £
Building Works Estimate 17,651,760
Main Contractor's Preliminaries 15.00% 2,647,764
Sub-total 20,299,524
Main Contractor's Overheads and Profit 7.00% 1,420,967
Works Cost Estimate 21,720,491
Project/Design Team Fees Consultants' fees 0.00% 0 Main contractor's pre-construction fee 0.00% 0 Main contractor's design fee 5.00% 1,086,025 1,086,025
Sub-total 22,806,516
Other Development/Project Costs 0
Base Cost Estimate 22,806,516
Risk Design Development Risk 3.00% 684,195 Construction Risk 5.00% 1,140,326 Employer Change Risk 0.00% 0 Employer Other Risk 0.00% 0 1,824,521
Cost Limit (excluding inflation) 24,631,037
Tender Inflation 0.00% 0
Cost Limit (excluding construction inflation) 24,631,037
Construction Inflation 0.00% 0
Cost Limit (including inflation) 24,631,037
Cost (£/m² GIA) 2,606
Cost (£/unit) 216,062
K180717/E8/0001 DP/G1 4
Five Sites : Sandown Park
5. Summary - Site 4
% £ £
Building Works Estimate 13,610,544
Main Contractor's Preliminaries 15.50% 2,109,634
Sub-total 15,720,178
Main Contractor's Overheads and Profit 7.00% 1,100,412
Works Cost Estimate 16,820,591
Project/Design Team Fees Consultants' fees 0.00% 0 Main contractor's pre-construction fee 0.00% 0 Main contractor's design fee 5.50% 925,132 925,132
Sub-total 17,745,723
Other Development/Project Costs 0
Base Cost Estimate 17,745,723
Risk Design Development Risk 3.00% 532,372 Construction Risk 5.00% 887,286 Employer Change Risk 0.00% 0 Employer Other Risk 0.00% 0 1,419,658
Cost Limit (excluding inflation) 19,165,381
Tender Inflation 0.00% 0
Cost Limit (excluding construction inflation) 19,165,381
Construction Inflation 0.00% 0
Cost Limit (including inflation) 19,165,381
Cost (£/m² GIA) including basement area 2,267 Cost (£/m² GIA) excluding basement area 2,756
Cost (£/unit) 266,186
K180717/E8/0001 DP/G1 5
Five Sites : Sandown Park
6. Summary - Site 5 Main Site % £ £
Building Works Estimate 9,796,993
Main Contractor's Preliminaries 17.00% 1,665,489
Sub-total 11,462,482
Main Contractor's Overheads and Profit 7.00% 802,374
Works Cost Estimate 12,264,855
Project/Design Team Fees Consultants' fees 0.00% Main contractor's pre-construction fee 0.00% Main contractor's design fee 5.50% 674,567
Sub-total 12,939,422
Other Development/Project Costs 0
Base Cost Estimate 12,939,422
Risk Design Development Risk 3.00% 388,183 Construction Risk 5.00% 646,971 Employer Change Risk 0.00% Employer Other Risk 0.00%
Cost Limit (excluding inflation) 13,974,576
Tender Inflation 0.00% 0
Cost Limit (excluding construction inflation) 13,974,576
Construction Inflation 0.00% 0
Cost Limit (including inflation) 13,974,576
Cost (£/m² GIA) 2,696
Cost (£/unit) 205,508
K180717/E8/0001 DP/G1 6
Five Sites : Sandown Park
7. Assumptions
The following has been assumed in the preparation of this Order of Cost estimate:
1 Procurement - Work will be procured under a fixed-price competitively tendered Design and Build contract 2 Individual Projects - All sites treated as individual construction projects, as timing of the works is unknown 3 Leslie Clark - Confirmation received from Gordon Balharrie that full site clearance, reduced level excavation and associated retaining walls on Site 2 only, is accommodated within their own budget costs and can be therefore excluded from calfordeadean cost estimate. Note that Leslie Clark have made now other budget allowances in relation to any of the other sites 4 Preliminaries - Considered on a project by project programme basis ranging from 15%-21% Programme - Based on the following assumptions, using in house experience and BCIS calculator : Site 1 - 60 weeks Site 2 - 88 weeks Site 3 - 105 weeks Site 4 - 98 weeks Site 5 - 92 weeks 5 Overheads & Profit - Included at 8% to site 1, 7% on sites 2-5. 6 Design Fees - Included on all schemes, ranging from 5-6% value dependent. 7 Contingency - Included at 8% on all schemes, split 3% design risk and 5% construction risk. 8 Inflation (Tender and Construction) - Excluded 9 Tenure - Based on the following advised by Rapleys: 10 Sites 1 - Private (Note no pricing uplift has been applied for enhanced internal and external specifications)
11 Sites 2 - Affordable 12 Sites 3, 4, & 5 - Private specification. (See sections 11 - 13 for financial uplift applied to internal private specification and enhanced external envelope) 13 Dwelling Size - Incorporated as advised by PRC Architecture & Planning 14 Undercroft (Site 2) & Basement (Site 4) Size - Areas incorporated as advised by PRC Architecture & Planning 15 Form of Construction - Assumed reiniforced concrete frame on piled foundations to all sites 16 Building Works Estimates Allowances and Provisions - Refer to Sections 9-13 for specific details of external works and site specific allowances within each scheme 17 Façade Enhancements - Only applicable to Sites 3, 4 & 5 using an 'extra over' allowance of £200/m² of the estimated façade area 18 Roof Enhancements - Only applicable to Sites 3, 4 & 5 using an 'extra over' allowance of £80/m² of the roof area 19 Balconies - Assumed required to all units, applying an allowance of £6,000/balcony 20 Specification Uplift to Private Sale Units - Only applicable to Sites 3, 4 & 5 using an allowance of £6,000 for enhanced finishes 21 Wheelchair Adapted Units - Taken at 10% across all sites (rounded up to nearest whole number) 22 Utilities - Gas - SGN - NOT INCLUDED. Instead, costs are captured within Leslie Clark's site wide Cost Plan, as confirmed in telephone conversation 25/01/19 23 Utilities - Electricity - UKPN - Offsite Works - NOT INCLUDED. Instead, costs are captured within Leslie Clark's site wide Cost Plan, as confirmed in telephone conversation 25/01/19 24 Utilities - Electricity - UKPN - Onsite Distribution £600,000 budget inclusion by calfordseaden calculated by allowing trenching at £150/m to the entire 3,300m approx site perimeter, all for the purpose of this budget exercise. Costs are apportioned across the sites based on the average £/dwelling and include £100,000 provision for a substation. Leslie Clark confirm they have not made provsion for this work within their Cost Plan, as confirmed in telephone conversation 25/01/19
K180717/E8/0001 DP/G1 7
Five Sites : Sandown Park
7. Assumptions
25 Utilities - Water Supply - Thames Water - Onsite Works - NOT INCLUDED. Instead, costs are captured within Leslie Clark's site wide Cost Plan, as confirmed in telephone conversation 25/01/19 26 Utilities - Foul Sewerage - Thameswater - Sufficient capacity available. No budget inclusion. 27 Information Used - The following information has been used in the preparation of this Estimate: PRC Architecture & Planning: PRC FE_001F - Site 1 Plan PRC FE_104 - Site 1 Section PRC FE_002G - Site 2 Plan PRC FE_017 - Site 2 Site Plan & Section PRC FE_030 - Site 2 Sections_2 PRC FE_003J - Site 3 Plan PRC FE_103 - Site 3 Section PRC FE_004H - Site 4 Plan PRC FE_005A - Site 4 Sections PRC FE_005H - Site 5 Plan Site 5 Typical Block Plan - No Ref Site 5 Typical Core Model - No Ref Survey Solutions: Topographical Survey - Site 1 - 23053cv-01 Topographical Survey - Site 2 - 23053cv-02 Topographical Survey - Site 3 - 23053cv-03 Topographical Survey - Site 4 - 23053cv-04 Topographical Survey - Site 5 - 23053cv-05 Rapleys - Building Survey & Feasibility Study - Former Toll House - Dec 2018 Waterman Infrastructure & Environment Ltd - Utilities Assessment - 22 Jan 2019 Tyler Grange - Preliminary Ecological Appraisal Bat Roost Assessment - 23 Nov 2018
K180717/E8/0001 DP/G1 8
Five Sites : Sandown Park
8. Exclusions
The following items are excluded from this Order of Cost Estimate. They are known to have costs and allowances should be provided from other budgets:
1 Professional/legal fees, planning/building control fees, statutory fees, site surveys, monitoring costs, environmental audits. 2 Value Added Tax (VAT). 3 Site acquisition fees/costs, air rights, rights to light (or any other third party compensation settlements), over- sailing licences, scaffold licences, sale or letting fees/costs and other developer's costs. 4 Costs arising from a Section 106 agreement. 5 Costs arising from a Section 278 agreement. 6 Costs arising from a Community Infrastructure Levy assessment. 7 Independent Commissioning Management fees. 8 Client finance costs and insurances. 9 Monitoring of adjacent buildings. 10 Local Authority charges, road closures, etc. 11 Archaeological survey. 12 Any off-site reinforcement of services infrastructure. 13 Costs associated with asbestos removal. 14 Developer's risk allowance/project contingency.
The following items are excluded from this Order of Cost Estimate. They may result in additional costs and a separate contingency allowance should be retained to cover these costs:
1 Phasing costs. 2 BREEAM assessment costs. 3 Abnormal ground conditions and basements in existing structures. 4 Feature hoarding. 5 Out of hours working. 6 Cost of project collaboration tool (e.g. project intranet). 7 Show homes, marketing suites and marketing costs. 8 Boosted water mains. 9 Deep sewer outfalls in excess of 3 m. 10 Service diversions. 11 Artworks. 12 Measures associated with barriers against methane/carbon dioxide gas. 13 Sewerage pumps. 14 Substation works beyond the £100k provision made. 15 Contamination remediation. 16 CCTV. 17 Any measure due to flood risk. 18 Allowance for bee/bat boxes. 19 Asbestos survey and removal. 20 Sprinkler installations. 21 Tree survey. 22 Any other renewables energies utilities other than those the stated in assumptions. 23 MVHR 24 Façade enhancements including windows to Sites 1 & 2. 25 Roof enhancements to Sites 1 & 2. 26 Photovoltaics. 27 Internal Private specification uplift to Sites 1 & 2. 28 Ecology works associated with great crested newts. 29 Double handling of excavated material. 30 District heating. 31 Play equipment associated with Nursery. K312807 Any works to the Nursery Site. K180717/E8/000117/E8/0001 DP DP/G1/G1 9
Five Sites : Sandown Park
11. Building Works Estimate - Site 3
Section Quantity Unit Rate Item Total £ £ £
Residential 9,450 m² 1,300 12,285,000 12,285,000
External Works
Demolition of bungalows, incl grubbing up foundations 2,344 m³ 25 58,612 Site clearance generally - incl vegetation and tree clearance 17,641 m² 5 88,205 Excavate mound to suit surrounding levels and stockpile arising's 1,980 m³ 10 19,800 Raise ground level to building footprint, due to Flood Zone 2 4,536 m³ 25 113,400 Divert existing culvert 231 m 100 23,100 Form new crossover 1 item 7,500 7,500 Decommission old crossover 1 item 7,500 7,500 External drainage 6,113 m² 15 91,695 Roads and parking 4,667 m² 110 513,370 Paving 1,446 m² 85 122,910 Grassed areas - Say 2,000m² 2,000 m² 25 50,000 Graded areas - balance of site area 5,748 m² 3 17,244 Planting allowance 1 item 30,000 30,000 Allowance for new trees - medium. Rate reduced due to quant 122 nr 400 48,800 Allowance for external gates - racecourse emergency access 1 nr 5,000 5,000 Boundary treatment works to recourse allowance 1 item 20,000 20,000 External lighting 3,446 m² 15 51,690 Bins 228 nr 80 18,240 Services connections 114 nr 3,500 399,000 1,686,066
Site-specific Allowances
E/O for façade enhancements - Extra over allowance at £200/m² 7,866 item 200 1,573,200 E/O for roof enhancements - Extra over allowance at £80/m² 3,780 m² 80 302,400 Platform lift to core at entrance 9 nr 20,000 180,000 Allowance for balconies 114 nr 6,000 684,000 Allowance for PV's (Excluded) 0 item 0 0 Allowance for specification uplift to private units 114 nr 6,000 684,000 Tree survey allowance (Excluded) 0 item 0 0 Asbestos removal (Excluded) 0 item 0 0 Utilities Gas - SGN New main works - Within L. Clark costs 1 item 0 0 Utilities Electricity - UKPN - Within L. Clark costs 114 nr 0 0 Utilities Electricity - UKPN Onsite distribution and RMU enclosure 114 nr 1,887 215,094 Utilities Water Supply - Thames Water - Within L. Clark costs 1 item 0 0 Utilities Foul Sewerage - Thames Water - Capacity available 0 item 0 0 Allowance for wheelchair adapted units 12 nr 3,500 42,000 3,680,694
17,651,760
K180717/E8/0001 DP/G1 10
Five Sites : Sandown Park
12. Building Works Estimate - Site 4
Section Quantity Unit Rate Item Total £ £ £
Residential - Curved on plan 6,954 m² 1,325 9,214,050 Basement - mechanically ventilated 1,500 m² 1,100 1,650,000 10,864,050
External Works
Site clearance - None, cleared greenfield 5,797 m² 0 0 Form new ramp and associated retaining walls 315 m² 600 189,000 Enhance existing crossover 1 item 2,500 2,500 External drainage 1,844 m² 15 27,660 Roads and parking 1,804 m² 110 198,440 Paving 40 m² 85 3,400 Grassed areas 2,138 m² 25 53,450 Planting allowance 1 item 10,000 10,000 Allowance for new trees - medium 31 nr 500 15,500 Allowance for new trees - small 27 nr 300 8,100 Boundary treatment works allowance, entire boundary 1 item 15,000 15,000 External lighting 1,805 m² 15 27,075 Bins 144 nr 80 11,520 Services connections 72 nr 3,500 252,000 813,645
Site-specific Allowances
E/O for façade enhancements - Extra over allowance at £200/m² 3,925 item 200 785,000 E/O for roof enhancements - Extra over allowance at £80/m² 1,500 m² 80 120,000 Allowance for balconies 72 nr 6,000 432,000 Allowance for PV's (Excluded) 0 item 0 0 Allowance for specification uplift to private units 72 nr 6,000 432,000 Tree survey allowance (Excluded) 0 item 0 0 Asbestos removal (Excluded) 0 item 0 0 Utilities Gas - SGN New main works - Within L. Clark costs 1 item 0 0 Utilities Electricity - UKPN - Within L. Clark costs 72 nr 0 0 Utilities Electricity - UKPN Onsite distribution and RMU enclosure 72 nr 1,887 135,849 Utilities Water Supply - Thames Water - Within L. Clark costs 0 item 0 0 Utilities Foul Sewerage - Thames Water - Capacity available 0 item 0 0 Allowance for wheelchair adapted units 8 nr 3,500 28,000 1,932,849
13,610,544
K180717/E8/0001 DP/G1 11
Five Sites : Sandown Park
13. Building Works Estimate - Site 5
Section Quantity Unit Rate Item Total £ £ £
Residential 5,184 m² 1,300 6,739,200 6,739,200
External Works
Demolition of existing buildings 1,588 m³ 25 39,700 Site clearance generally 8,098 m² 5 40,490 Enhance existing crossover 1 item 2,500 2,500 External drainage 2,769 m² 15 41,535 Roads and parking 2,229 m² 110 245,190 Paving 540 m² 85 45,900 Grassed areas - say 1,000m² 1,000 m² 25 25,000 Graded areas - balance of site area 2,662 m² 3 7,986 Planting allowance 1 item 10,000 10,000 Allowance for new trees 44 nr 500 22,000 Boundary treatment works allowance, entire boundary 1 item 20,000 20,000 External bike stores 4 nr 7,500 30,000 External lighting 1,540 m² 15 23,100 Bins 136 nr 80 10,880 Services connections 68 nr 3,500 238,000 802,281
Site-specific Allowances
Works to existing tollhouse - (Excluded here - see Section 1) 1 item 151,750 151,750 E/O for façade enhancements - Extra over allowance at £200/m² 5,008 item 200 1,001,600 E/O for roof enhancements - Extra over allowance at £80/m² 1,667 m² 80 133,360 Allowance for balconies 68 nr 6,000 408,000 Allowance for PV's (Excluded) 0 item 0 0 Allowance for specification uplift to private units 68 nr 6,000 408,000 Tree survey allowance (Excluded) 0 item 0 0 Asbestos removal (Excluded) 0 item 0 0 Utilities Gas - SGN New main works - Within L. Clark costs 1 item 0 0 Utilities Electricity - UKPN - Within L. Clark costs 68 nr 0 0 Utilities Electricity - UKPN Onsite distribution and RMU enclosure 68 nr 1,887 128,302 Utilities Water Supply - Thames Water - Within L. Clark costs 1 item 0 0 Utilities Foul Sewerage - Thames Water - Capacity available 0 item 0 0 Allowance for wheelchair adapted units 7 nr 3,500 24,500 2,255,512
9,796,993
K180717/E8/0001 DP/G1 12
Five Sites : Sandown Park
14. Area Schedule
SITE 1 Floor Quantity Unit NIA 20% GIA Studio 0 40 m² 0 m² 0 m² 0 m² 1 Bed 2 Person Apartment 5 50 m² 250 m² 50 m² 300 m² 2 Bed 3 Person Apartment 0 65 m² 0 m² 0 m² 0 m² 2 Bed 4 Person Apartment 10 75 m² 750 m² 150 m² 900 m² 3 Bed 5 Person Apartment 0 90 m² 0 m² 0 m² 0 m² Total 15 1,000 m² 200 m² 1,200 m²
SITE 2 Floor Quantity Unit NIA 20% GIA Studio 0 40 m² 0 m² 0 m² 0 m² 1 Bed 2 Person Apartment 4 50 m² 200 m² 40 m² 240 m² 2 Bed 3 Person Apartment 8 65 m² 520 m² 104 m² 624 m² 2 Bed 4 Person Apartment 18 75 m² 1,350 m² 270 m² 1,620 m² 3 Bed 5 Person Apartment 19 90 m² 1,710 m² 342 m² 2,052 m² SubTotal - Residential Only 49 3,780 m² 756 m² 4,536 m² Undercroft 1,800 m² Total 49 3,780 m² 756 m² 6,336 m²
SITE 3 Floor Quantity Unit NIA 20% GIA Studio 0 40 m² 0 m² 0 m² 0 m² 1 Bed 2 Person Apartment 27 50 m² 1,350 m² 270 m² 1,620 m² 2 Bed 3 Person Apartment 0 65 m² 0 m² 0 m² 0 m² 2 Bed 4 Person Apartment 87 75 m² 6,525 m² 1,305 m² 7,830 m² 3 Bed 5 Person Apartment 0 90 m² 0 m² 0 m² 0 m² Total 114 7,875 m² 1,575 m² 9,450 m²
SITE 4 Floor Quantity Unit NIA 20% GIA Studio 2 40 m² 80 m² 16 m² 96 m² 1 Bed 2 Person Apartment 0 50 m² 0 m² 0 m² 0 m² 2 Bed 3 Person Apartment 0 65 m² 0 m² 0 m² 0 m² 2 Bed 4 Person Apartment 39 75 m² 2,925 m² 585 m² 3,510 m² 3 Bed 5 Person Apartment 31 90 m² 2,790 m² 558 m² 3,348 m² SubTotal - Residential Only 72 5,795 m² 1,159 m² 6,954 m² Basement 1,500 m² Total 72 5,795 m² 1,159 m² 8,454 m²
SITE 5 Floor Quantity Unit NIA 20% GIA Studio 0 40 m² 0 m² 0 m² 0 m² 1 Bed 2 Person Apartment 36 50 m² 1,800 m² 360 m² 2,160 m² 2 Bed 3 Person Apartment 0 65 m² 0 m² 0 m² 0 m² 2 Bed 4 Person Apartment 24 75 m² 1,800 m² 360 m² 2,160 m² 3 Bed 5 Person Apartment 8 90 m² 720 m² 144 m² 864 m² Total 68 4,320 m² 864 m² 5,184 m²
Nursery 1 337 m² Total 1 337 m²
Notes It has not been possible to measure plot sizes from the drawn information provided. Instead we have based the unit areas on advice received from Mark Cameron at PRC as issued via Rapleys on 8th January 2019 as follows: Accommodation schedule – please assume the following areas for the units: - Studio – 40 sq.m - 1B2P – 50 sq.m - 2B3P – 65 sq.m - 2B4P – 75 sq.m - 3B5P – 90 sq.m
20% has been added to the NIA to all site in order to take account of communal spaces and circulation area. This equates to a building efficiency of 83.3% for the purpose of this cost exercise.
Areas used for the Site 2 Undercroft and Site 4 Basement are advised by PRC on 24th January 2019
K180717/E8/0001 DP/G1 13
Five Sites : Sandown Park
15. Accommodation Schedule
SITE 1 Unit Type Affordable Rent Shared Private Sale Total Ownership Studio 0 0 1 Bed 2 Person Apartment 5 5 2 Bed 3 Person Apartment 0 0 2 Bed 4 Person Apartment 10 10 3 Bed 5 Person Apartment 0 0 Total 15 15
SITE 2 Unit Type Affordable Rent Shared Private Sale Total Ownership Studio 0 0 1 Bed 2 Person Apartment 4 4 2 Bed 3 Person Apartment 8 8 2 Bed 4 Person Apartment 18 18 3 Bed 5 Person Apartment 19 19 Total 49 49
SITE 3 Unit Type Affordable Rent Shared Private Sale Total Ownership Studio 0 0 1 Bed 2 Person Apartment 27 27 2 Bed 3 Person Apartment 0 0 2 Bed 4 Person Apartment 87 87 3 Bed 5 Person Apartment 0 0 Total 114 114
SITE 4 Unit Type Affordable Rent Shared Private Sale Total Ownership Studio 2 2 1 Bed 2 Person Apartment 0 0 2 Bed 3 Person Apartment 0 0 2 Bed 4 Person Apartment 39 39 3 Bed 5 Person Apartment 31 31 Total 72 72
SITE 5 Unit Type Affordable Rent Shared Private Sale Total Ownership Studio 0 0 1 Bed 2 Person Apartment 36 36 2 Bed 3 Person Apartment 0 0 2 Bed 4 Person Apartment 24 24 3 Bed 5 Person Apartment 8 8 Total 68 68
Note Rapleys Accommodation Schedule dated 18.12.18 used in preaparation for the above table. Tenure based on discussions with Rapleys - Affordable Rent to Sites 1 and 2, Private Spec to Sites 1-5. K180717/E8/0001 DP/G1 14
Five Sites Sites : Sandown : Sandown Park Park
16. Definitions
Terms used in this Order of Cost Estimate have the following meanings:
Base Cost Estimate The estimated cost of the works including allowances for preliminaries, overheads & profit and fees, but excluding risk and inflation Building Works Estimate The estimated cost of the construction works before the application of allowances for preliminaries, overheads & profit, fees, risk allowances and inflation
Construction Inflation Inflation from the anticipated tender return date to the mid-point of the construction period
Construction Risk Risks relating to the construction process (e.g. underground obstructions, geotechnical problems, services, site access, weather, disputes) Consultants' Fees Fees to consultants paid by the client (e.g. project and design team fees, specialist consultants' fees, site investigation fees) Cost per square metre The Cost Limit divided by the Gross Internal Area Cost per unit The Cost Limit divided by the total number of residential units
Cost Limit The maximum estimated expenditure for the works including the estimated cost of the construction works with allowances added for fees, overheads & profit and risk
Design Development Risk Risks relating to the development of the design (e.g. uncertainty of design, design coordination, uncertainty of area schedules) Employer Change Risk Risks relating to employer changes (e.g. changes in scope, quality or programme)
Employer Other Risk Risks relating to other employer matters (e.g. brief changes, project programme, funding, tender strategy, insolvency, claims, planning delays, market conditions)
Gross Internal Area (GIA) The internal area of the building measured to the inner face of the external walls with no deduction for the space occupied by internal walls, interruptions or voids
Main Contractor's Design Fees to consultants paid by the contractor to complete the design, including post Fees novation fees Main Contractor's Pre- Costs incurred by the main contractor during any pre-construction period project construction Fees involvement (e.g. management and staff costs, specialist advice, temporary accommodation, overheads & profit on these) Net Internal Area (NIA) The useable internal area of the building - usually, the lettable or saleable area. This is measured to the inner face of the external walls with the space occupied by internal walls, interruptions or voids deducted. Note: architects' area schedules often use NIA for the total area of flats in a building, although this calculation may be composed of the individual GIAs for the flats added together and is not, strictly, in accordance with the definition of NIA.
Other Development/ Other client costs not covered in the building works estimate, preliminaries, overheads Project Costs & profit and fees (e.g. land acquisition costs, finance costs, planning fees, building control fees and the like, adoption charges, planning contributions, insurances, decanting costs, furniture, marketing) Tender Inflation Inflation from the estimate date to the anticipated tender return date
K180717/E8/0001 DP/G1 DP/G1 15
Five Sites : Sandown Park
Note: architects' area schedules often use NIA for the total area of flats in a building, although this calculation may be composed of the individual GIAs for the flats added together and is not, strictly, in accordance with the definition of NIA.
1 Other client costs not covered in the building works estimate, preliminaries, overheads & profit and fees (e.g. land acquisition costs, finance costs, planning fees, building control fees and the like, adoption charges, planning contributions, insurances, decanting costs, furniture, marketing) Tender Inflation Inflation from the estimate date to the anticipated tender return date
K180717/E8/0001 DP/G1 16
Five Sites : Sandown Park
Appendix 7 DEVELOPMENT APPRAISALS
K180717/E8/0001 DP/G1 17
Proposed Scheme - Sites 1 - 5 100% Private calfordseaden Timings
Sandown Park Racecourse Portsmouth Road Esher KT10 9AJ
Development Appraisal Rapleys 11 February 2019
APPRAISAL SUMMARY RAPLEYS Proposed Scheme - Sites 1 - 5 100% Private
Appraisal Summary for Merged Phases 1 2 3 4 5 6
Currency in £
REVENUE Sales Valuation Units ft² Sales Rate ft² Unit Price Gross Sales Site 3 - Private 114 84,450 700.36 518,816 59,145,000 Site 1 - Private 15 10,750 646.51 463,333 6,950,000 Site 2 - Private 49 40,250 637.89 523,980 25,675,000 Site 5 - Private 68 46,600 660.09 452,353 30,760,000 Site 4 - Private 72 61,440 684.81 584,375 42,075,000 Totals 318 243,490 164,605,000
Rental Area Summary Initial Net Rent Initial Units ft² Rent Rate ft² MRV/Unit at Sale MRV Family Enclosure Cafe 1 7,534 15.00 113,010 113,010 113,010 Totals 1 7,534 113,010 113,010
Investment Valuation
Family Enclosure Cafe Current Rent 113,010 YP @ 7.0000% 14.2857 1,614,429
Total Investment Valuation 1,614,429
GROSS DEVELOPMENT VALUE 166,219,429
Purchaser's Costs 6.19% (99,933) Effective Purchaser's Costs Rate 6.19% (99,933)
NET DEVELOPMENT VALUE 166,119,495
Additional Revenue Hotel Land Value 2,470,000 Nursery Land Value 1,050,000 3,520,000
NET REALISATION 169,639,495
OUTLAY
ACQUISITION COSTS Residualised Price 47,589,425 47,589,425 Stamp Duty 2,316,471 Effective Stamp Duty Rate 4.87% Agent Fee 1.00% 475,894 Legal Fee 0.50% 237,947 Town Planning 250,000 3,280,312
CONSTRUCTION COSTS Construction ft² Build Rate ft² Cost Site 3 - Private 105,563 216.05 22,806,516 Site 1 - Private 13,438 211.20 2,837,968 Site 2 - Private 50,313 215.27 10,830,996 Site 5 - Private 58,250 222.14 12,939,422 Site 4 - Private 76,800 231.06 17,745,723 Totals 311,897 ft² 67,160,625 Contingency 5.00% 3,358,031 Site 3 - Elmbridge CIL 1,636,698 Site 3 - S106 Contribution 114 un 3,000.00 /un 342,000 Site 3 - S278 Contribution 114 un 1,500.00 /un 171,000 Site 1 - Elmbridge CIL 221,576 Site 1 - S106 Contribution 15 un 3,000.00 /un 45,000 Site 1 - S278 Contribution 15 un 1,500.00 /un 22,500 Site 2 - Elmbridge CIL 829,661 Site 2 - S106 Contribution 49 un 3,000.00 /un 147,000 Site 2 - S278 Contribution 49 un 1,500.00 /un 73,500 Site 5 - Elmbridge CIL 768,434
100% Private Site 5 - S106 Contribution 68 un 3,000.00 /un 204,000 Site 5 - S278 Contribution 68 un 1,500.00 /un 102,000 Site 4 - Elmbridge CIL 1,266,432 Site 4 - S106 Contribution 72 un 3,000.00 /un 216,000 Site 4 - S278 Contribution 72 un 1,500.00 /un 108,000 76,672,457
PROFESSIONAL FEES Professional Fees - Site 3 3.00% 718,405 Professional Fees - Site 1 2.00% 59,597 Professional Fees - Site 2 2.50% 284,314 Professional Fees - Site 5 2.50% 339,660 Professional Fees - Site 4 2.50% 465,825 1,867,801 MARKETING & LETTING Letting Agent Fee 10.00% 11,301 Letting Legal Fee 3.00% 3,390 14,691 DISPOSAL FEES Sales Agent Fee - Private 2.50% 4,115,125 Sales Legal Fee - Private 318 un 600.00 /un 190,800 4,305,925 FINANCE Debit Rate 6.000%, Credit Rate 0.750% (Nominal) Total Finance Cost 3,326,761
TOTAL COSTS 137,057,373
PROFIT 32,582,123
Performance Measures Profit on Cost% 23.77% Profit on GDV% 19.60% Profit on NDV% 19.61% Development Yield% (on Rent) 0.08% Equivalent Yield% (Nominal) 7.00% Equivalent Yield% (True) 7.32%
IRR 23.48%
Rent Cover 288 yrs 4 mths Profit Erosion (finance rate 6.000) 3 yrs 7 mths
APPRAISAL SUMMARY RAPLEYS Proposed Scheme - Sites 1 - 5
Proposed Scheme - Sites 1 - 5 10% Affordable Housing calfordseaden Timings
Sandown Park Racecourse Portsmouth Road Esher KT10 9AJ
Development Appraisal Rapleys 11 February 2019
APPRAISAL SUMMARY RAPLEYS Proposed Scheme - Sites 1 - 5 10% Affordable Housing
Appraisal Summary for Merged Phases 1 2 3 4 5 6
Currency in £
REVENUE Sales Valuation Units ft² Sales Rate ft² Unit Price Gross Sales Site 3 - Private 114 84,450 700.36 518,816 59,145,000 Site 1 - Private 15 10,750 646.51 463,333 6,950,000 Site 2 - Private 17 15,400 624.68 565,882 9,620,000 Site 2 - AH 32 24,850 251.33 195,174 6,245,555 Site 5 - Private 68 46,600 660.09 452,353 30,760,000 Site 4 - Private 72 61,440 684.81 584,375 42,075,000 Totals 318 243,490 154,795,555
Rental Area Summary Initial Net Rent Initial Units ft² Rent Rate ft² MRV/Unit at Sale MRV Family Enclosure Cafe 1 7,534 15.00 113,010 113,010 113,010 Totals 1 7,534 113,010 113,010
Investment Valuation
Family Enclosure Cafe Current Rent 113,010 YP @ 7.0000% 14.2857 1,614,429
Total Investment Valuation 1,614,429
GROSS DEVELOPMENT VALUE 156,409,984
Purchaser's Costs 6.19% (99,933) Effective Purchaser's Costs Rate 6.19% (99,933)
NET DEVELOPMENT VALUE 156,310,050
Additional Revenue Hotel Land Value 2,470,000 Nursery Land Value 1,050,000 3,520,000
NET REALISATION 159,830,050
OUTLAY
ACQUISITION COSTS Residualised Price 41,874,854 41,874,854 Stamp Duty 2,030,742 Effective Stamp Duty Rate 4.85% Agent Fee 1.00% 418,749 Legal Fee 0.50% 209,374 Town Planning 250,000 2,908,865
CONSTRUCTION COSTS Construction ft² Build Rate ft² Cost Site 3 - Private 105,563 216.05 22,806,516 Site 1 - Private 13,438 211.20 2,837,968 Site 2 - Private 19,250 215.27 4,143,947 Site 2 - AH 31,063 215.27 6,686,824 Site 5 - Private 58,250 222.14 12,939,422 Site 4 - Private 76,800 231.06 17,745,723 Totals 311,897 ft² 67,160,401 Contingency 5.00% 3,358,020 Site 3 - Elmbridge CIL 1,636,698 Site 3 - S106 Contribution 114 un 3,000.00 /un 342,000 Site 3 - S278 Contribution 114 un 1,500.00 /un 171,000 Site 1 - Elmbridge CIL Contribution 221,592 Site 1 - S106 Contribution 15 un 3,000.00 /un 45,000 Site 1 - S278 Contribution 15 un 1,500.00 /un 22,500 Site 2 - Elmbridge CIL 317,433 Site 2 - S106 Contribution 17 un 3,000.00 /un 51,000
APPRAISAL SUMMARY RAPLEYS Proposed Scheme - Sites 1 - 5
Site 2 - S278 Contribution 17 un 1,500.00 /un 25,500 Site 5 - Elmbridge CIL 768,434 Site 5 - S106 Contribution 68 un 3,000.00 /un 204,000 Site 5 - S278 Contribution 68 un 1,500.00 /un 102,000 Site 4 - Elmbridge CIL 1,266,432 Site 4 - S106 Contribution 72 un 3,000.00 /un 216,000 Site 4 - S278 Contribution 72 un 1,500.00 /un 108,000 76,016,010
PROFESSIONAL FEES Professional Fees - Site 3 3.00% 718,405 Professional Fees - Site 1 2.00% 59,597 Professional Fees - Site 2 2.50% 284,308 Professional Fees - Site 5 2.50% 339,660 Professional Fees - Site 4 2.50% 465,825 1,867,795 MARKETING & LETTING Letting Agent Fee 10.00% 11,301 Letting Legal Fee 3.00% 3,390 14,691 DISPOSAL FEES Sales Agent Fee - Private 2.50% 3,629,389 Sales Agent Fee - AH 1.00% 62,456 Sales Legal Fee - Private 286 un 600.00 /un 171,600 Sales Legal Fee - AH 32 un 400.00 /un 12,800 3,876,244 FINANCE Debit Rate 6.000%, Credit Rate 0.750% (Nominal) Total Finance Cost 3,429,126
TOTAL COSTS 129,987,587
PROFIT 29,842,463
Performance Measures Profit on Cost% 22.96% Profit on GDV% 19.08% Profit on NDV% 19.09% Development Yield% (on Rent) 0.09% Equivalent Yield% (Nominal) 7.00% Equivalent Yield% (True) 7.32%
IRR 22.63%
Rent Cover 264 yrs 1 mth Profit Erosion (finance rate 6.000) 3 yrs 6 mths
APPRAISAL SUMMARY RAPLEYS Proposed Scheme - Sites 1 - 5 10% Affordable Housing
Proposed Scheme - Sites 1 - 5 15% Affordable Housing calfordseaden Timings
Sandown Park Racecourse Portsmouth Road Esher KT10 9AJ
Development Appraisal Rapleys 11 February 2019
APPRAISAL SUMMARY RAPLEYS Proposed Scheme - Sites 1 - 5 15% Affordable Housing
Appraisal Summary for Merged Phases 1 2 3 4 5 6
Currency in £
REVENUE Sales Valuation Units ft² Sales Rate ft² Unit Price Gross Sales Site 3 - Private 114 84,450 700.36 518,816 59,145,000 Site 1 - Private 15 10,750 646.51 463,333 6,950,000 Site 2 - Affordable 49 40,250 254.33 208,911 10,236,651 Site 5 - Private 68 46,600 660.09 452,353 30,760,000 Site 4 - Private 72 61,440 684.81 584,375 42,075,000 Totals 318 243,490 149,166,651
Rental Area Summary Initial Net Rent Initial Units ft² Rent Rate ft² MRV/Unit at Sale MRV Family Enclosure Cafe 1 7,534 15.00 113,010 113,010 113,010 Totals 1 7,534 113,010 113,010
Investment Valuation
Family Enclosure Cafe Current Rent 113,010 YP @ 7.0000% 14.2857 1,614,429
Total Investment Valuation 1,614,429
GROSS DEVELOPMENT VALUE 150,781,080
Purchaser's Costs 6.19% (99,933) Effective Purchaser's Costs Rate 6.19% (99,933)
NET DEVELOPMENT VALUE 150,681,146
Additional Revenue Hotel Land Value 2,470,000 Nursery Land Value 1,050,000 3,520,000
NET REALISATION 154,201,146
OUTLAY
ACQUISITION COSTS Residualised Price 40,295,426 Residualised Price (Negative land) (2,414,752) 37,880,674 Stamp Duty 1,962,271 Effective Stamp Duty Rate 4.87% Agent Fee 1.00% 402,954 Legal Fee 0.50% 192,252 Town Planning 250,000 2,807,477
CONSTRUCTION COSTS Construction ft² Build Rate ft² Cost Site 3 - Private 105,563 216.05 22,806,516 Site 1 - Private 13,438 211.20 2,837,968 Site 2 - Affordable 50,313 215.27 10,830,996 Site 5 - Private 58,250 222.14 12,939,422 Site 4 - Private 76,800 231.06 17,745,723 Totals 311,897 ft² 67,160,625 Contingency 5.00% 3,358,031 Site 3 - Elmbridge CIL 1,636,698 Site 3 - S106 Contribution 114 un 3,000.00 /un 342,000 Site 3 - S278 Contribution 114 un 1,500.00 /un 171,000 Site 1 - Elmbridge CIL Contribution 221,593 Site 1 - S106 Contribution 15 un 3,000.00 /un 45,000 Site 1 - S278 Contribution 15 un 1,500.00 /un 22,500 Site 2 - S106 Contribution 49 un 3,000.00 /un 147,000 Site 2 - S278 Contribution 49 un 1,500.00 /un 73,500 Site 5 - Elmbridge CIL 960,543
APPRAISAL SUMMARY RAPLEYS Proposed Scheme - Sites 1 - 5 15% Affordable Housing
Site 5 - S106 Contribution 68 un 3,000.00 /un 204,000 Site 5 - S278 Contribution 68 un 1,500.00 /un 102,000 Site 4 - Elmbridge CIL 1,266,432 Site 4 - S106 Contribution 72 un 3,000.00 /un 216,000 Site 4 - S278 Contribution 72 un 1,500.00 /un 108,000 76,034,922
PROFESSIONAL FEES Professional Fees - Site 3 3.00% 718,405 Professional Fees - Site 1 2.00% 59,597 Professional Fees - Site 2 2.50% 284,314 Professional Fees - Site 5 2.50% 339,660 Professional Fees - Site 4 2.50% 465,825 1,867,801 MARKETING & LETTING Letting Agent Fee 10.00% 11,301 Letting Legal Fee 3.00% 3,390 14,691 DISPOSAL FEES Sales Agent Fee - Private 2.50% 3,473,250 Sales Agent Fee - AH 1.00% 102,367 Sales Legal Fee - Private 269 un 600.00 /un 161,400 Sales Legal Fee - AH 49 un 400.00 /un 19,600 3,756,617 FINANCE Debit Rate 6.000%, Credit Rate 0.750% (Nominal) Total Finance Cost 3,532,165
TOTAL COSTS 125,894,347
PROFIT 28,306,800
Performance Measures Profit on Cost% 22.48% Profit on GDV% 18.77% Profit on NDV% 18.79% Development Yield% (on Rent) 0.09% Equivalent Yield% (Nominal) 7.00% Equivalent Yield% (True) 7.32%
IRR 22.21%
Rent Cover 250 yrs 6 mths Profit Erosion (finance rate 6.000) 3 yrs 5 mths
APPRAISAL SUMMARY RAPLEYS Proposed Scheme - Sites 1 - 5 15% Affordable Housing
Proposed Scheme - Sites 1 - 5 20% Affordable Housing calfordseaden Timings
Sandown Park Racecourse Portsmouth Road Esher KT10 9AJ
Development Appraisal Rapleys 11 February 2019
APPRAISAL SUMMARY RAPLEYS Proposed Scheme - Sites 1 - 5 20% Affordable Housing
Appraisal Summary for Merged Phases 1 2 3 4 5 6
Currency in £
REVENUE Sales Valuation Units ft² Sales Rate ft² Unit Price Gross Sales Site 3 - Private 114 84,450 700.36 518,816 59,145,000 Site 1 - AH 15 10,750 258.78 185,462 2,781,928 Site 2 - AH 49 40,250 254.33 208,911 10,236,651 Site 5 - Private 68 46,600 660.09 452,353 30,760,000 Site 4 - Private 72 61,440 684.81 584,375 42,075,000 Totals 318 243,490 144,998,579
Rental Area Summary Initial Net Rent Initial Units ft² Rent Rate ft² MRV/Unit at Sale MRV Family Enclosure Cafe 1 7,534 15.00 113,010 113,010 113,010 Totals 1 7,534 113,010 113,010
Investment Valuation
Family Enclosure Cafe Current Rent 113,010 YP @ 7.0000% 14.2857 1,614,429
Total Investment Valuation 1,614,429
GROSS DEVELOPMENT VALUE 146,613,008
Purchaser's Costs 6.19% (99,933) Effective Purchaser's Costs Rate 6.19% (99,933)
NET DEVELOPMENT VALUE 146,513,074
Additional Revenue Hotel Land Value 2,470,000 Nursery Land Value 1,050,000 3,520,000
NET REALISATION 150,033,074
OUTLAY
ACQUISITION COSTS Residualised Price 38,630,714 Residualised Price (Negative land) (3,060,949) 35,569,765 Stamp Duty 1,889,536 Effective Stamp Duty Rate 4.89% Agent Fee 1.00% 386,307 Legal Fee 0.50% 193,154 Town Planning 250,000 2,718,996
CONSTRUCTION COSTS Construction ft² Build Rate ft² Cost Site 3 - Private 105,563 216.05 22,806,516 Site 1 - AH 13,438 211.20 2,837,968 Site 2 - AH 50,313 215.27 10,830,996 Site 5 - Private 58,250 222.14 12,939,422 Site 4 - Private 76,800 231.06 17,745,723 Totals 311,897 ft² 67,160,625 Contingency 5.00% 3,358,031 Site 3 - Elmbridge CIL 1,636,698 Site 3 - S106 Contribution 114 un 3,000.00 /un 342,000 Site 3 - S278 Contribution 114 un 1,500.00 /un 171,000 Site 1 - S106 Contribution 15 un 3,000.00 /un 45,000 Site 1 - S278 Contribution 15 un 1,500.00 /un 22,500 Site 2 - S106 Contribution 49 un 3,000.00 /un 147,000 Site 2 - S278 Contribution 49 un 1,500.00 /un 73,500 Site 5 - Elmbridge CIL 768,434 Site 5 - S106 Contribution 68 un 3,000.00 /un 204,000
APPRAISAL SUMMARY RAPLEYS Proposed Scheme - Sites 1 - 5 20% Affordable Housing
Site 5 - S278 Contribution 68 un 1,500.00 /un 102,000 Site 4 - Elmbridge CIL 1,266,432 Site 4 - S106 Contribution 72 un 3,000.00 /un 216,000 Site 4 - S278 Contribution 72 un 1,500.00 /un 108,000 75,621,220
PROFESSIONAL FEES Professional Fees - Site 3 3.00% 718,405 Professional Fees - Site 1 2.00% 59,597 Professional Fees - Site 2 2.50% 284,314 Professional Fees - Site 5 2.50% 339,660 Professional Fees - Site 4 2.50% 465,825 1,867,801 MARKETING & LETTING Letting Agent Fee 10.00% 11,301 Letting Legal Fee 3.00% 3,390 14,691 DISPOSAL FEES Sales Agent Fee - Private 2.50% 3,299,500 Sales Agent Fee - AH 1.00% 130,186 Sales Legal Fee - Private 254 un 600.00 /un 152,400 Sales Legal Fee - AH 64 un 400.00 /un 25,600 3,607,686 FINANCE Debit Rate 6.000%, Credit Rate 0.750% (Nominal) Total Finance Cost 3,652,819
TOTAL COSTS 123,052,979
PROFIT 26,980,096
Performance Measures Profit on Cost% 21.93% Profit on GDV% 18.40% Profit on NDV% 18.41% Development Yield% (on Rent) 0.09% Equivalent Yield% (Nominal) 7.00% Equivalent Yield% (True) 7.32%
IRR 21.90%
Rent Cover 238 yrs 9 mths Profit Erosion (finance rate 6.000) 3 yrs 4 mths
APPRAISAL SUMMARY RAPLEYS Proposed Scheme - Sites 1 - 5 20% Affordable Housing
Proposed Scheme - Sites 1 - 5 30% Affordable Housing calfordseaden Timings
Sandown Park Racecourse Portsmouth Road Esher KT10 9AJ
Development Appraisal Rapleys 11 February 2019
APPRAISAL SUMMARY RAPLEYS Proposed Scheme - Sites 1 - 5 30% Affordable Housing
Appraisal Summary for Merged Phases 1 2 3 4 5 6
Currency in £
REVENUE Sales Valuation Units ft² Sales Rate ft² Unit Price Gross Sales Site 3 - Private 114 84,450 700.36 518,816 59,145,000 Site 1 - AH 15 10,750 258.78 185,462 2,781,928 Site 2 - AH 49 40,250 254.33 208,911 10,236,651 Site 5 - Private 37 26,300 656.27 466,486 17,260,000 Site 5 - AH 31 20,300 266.38 174,435 5,407,472 Site 4 - Private 72 61,440 684.81 584,375 42,075,000 Totals 318 243,490 136,906,051
Rental Area Summary Initial Net Rent Initial Units ft² Rent Rate ft² MRV/Unit at Sale MRV Family Enclosure Cafe 1 7,534 15.00 113,010 113,010 113,010 Totals 1 7,534 113,010 113,010
Investment Valuation
Family Enclosure Cafe Current Rent 113,010 YP @ 7.0000% 14.2857 1,614,429
Total Investment Valuation 1,614,429
GROSS DEVELOPMENT VALUE 138,520,480
Purchaser's Costs 6.19% (99,933) Effective Purchaser's Costs Rate 6.19% (99,933)
NET DEVELOPMENT VALUE 138,420,546
Additional Revenue Hotel Land Value 2,470,000 Nursery Land Value 1,050,000 3,520,000
NET REALISATION 141,940,546
OUTLAY
ACQUISITION COSTS Residualised Price 33,890,878 Residualised Price (Negative land) (3,060,949) 30,829,929 Stamp Duty 1,652,544 Effective Stamp Duty Rate 4.88% Agent Fee 1.00% 338,909 Legal Fee 0.50% 169,454 Town Planning 250,000 2,410,907
CONSTRUCTION COSTS Construction ft² Build Rate ft² Cost Site 3 - Private 105,563 216.05 22,806,516 Site 1 - AH 13,438 211.20 2,837,968 Site 2 - AH 50,313 215.27 10,830,996 Site 5 - Private 32,875 222.14 7,302,852 Site 5 - AH 25,375 222.14 5,636,802 Site 4 - Private 76,800 231.06 17,745,723 Totals 311,897 ft² 67,160,858 Contingency 5.00% 3,358,043 Site 3 - Elmbridge CIL 1,636,698 Site 3 - S106 Contribution 114 un 3,000.00 /un 342,000 Site 3 - S278 Contribution 114 un 1,500.00 /un 171,000 Site 1 - S106 Contribution 15 un 3,000.00 /un 45,000 Site 1 - S278 Contribution 15 un 1,500.00 /un 22,500 Site 2 - S106 Contribution 49 un 3,000.00 /un 147,000 Site 2 - S278 Contribution 49 un 1,500.00 /un 73,500
APPRAISAL SUMMARY RAPLEYS Proposed Scheme - Sites 1 - 5 30% Affordable Housing
Site 5 - Elmbridge CIL 542,109 Site 5 - S106 Contribution 68 un 3,000.00 /un 204,000 Site 5 - S278 Contribution 68 un 1,500.00 /un 102,000 Site 4 - Elmbridge CIL 1,266,432 Site 4 - S106 Contribution 72 un 3,000.00 /un 216,000 Site 4 - S278 Contribution 72 un 1,500.00 /un 108,000 75,395,140
PROFESSIONAL FEES Professional Fees - Site 3 3.00% 718,405 Professional Fees - Site 1 2.00% 59,597 Professional Fees - Site 2 2.50% 284,314 Professional Fees - Site 5 2.50% 339,666 Professional Fees - Site 4 2.50% 465,825 1,867,807 MARKETING & LETTING Letting Agent Fee 10.00% 11,301 Letting Legal Fee 3.00% 3,390 14,691 DISPOSAL FEES Sales Agent Fee - Private 2.50% 2,962,000 Sales Agent Fee - AH 1.00% 184,261 Sales Legal Fee - Private 223 un 600.00 /un 133,800 Sales Legal Fee - AH 95 un 400.00 /un 38,000 3,318,061 FINANCE Debit Rate 6.000%, Credit Rate 0.750% (Nominal) Total Finance Cost 3,581,369
TOTAL COSTS 117,417,904
PROFIT 24,522,642
Performance Measures Profit on Cost% 20.88% Profit on GDV% 17.70% Profit on NDV% 17.72% Development Yield% (on Rent) 0.10% Equivalent Yield% (Nominal) 7.00% Equivalent Yield% (True) 7.32%
IRR 21.68%
Rent Cover 216 yrs 12 mths Profit Erosion (finance rate 6.000) 3 yrs 2 mths
APPRAISAL SUMMARY RAPLEYS Proposed Scheme - Sites 1 - 5 30% Affordable Housing
Proposed Scheme - Sites 1 - 5 50% Affordable Housing calfordseaden Timings
Sandown Park Racecourse Portsmouth Road Esher KT10 9AJ
Development Appraisal Rapleys 12 February 2019
Appraisal Summary for Merged Phases 1 2 3 4 5 6
Currency in £
REVENUE Sales Valuation Units ft² Sales Rate ft² Unit Price Gross Sales Site 3 - Private 114 84,450 700.36 518,816 59,145,000 Site 1 - AH 15 10,750 258.78 185,462 2,781,928 Site 2 - AH 49 40,250 254.33 208,911 10,236,651 Site 5 - AH 68 46,600 258.18 176,932 12,031,398 Site 4 - Private 45 39,150 684.29 595,333 26,790,000 Site 4 - AH 27 22,290 274.98 227,010 6,129,262 Totals 318 243,490 117,114,239
Rental Area Summary Initial Net Rent Initial Units ft² Rent Rate ft² MRV/Unit at Sale MRV Family Enclosure Cafe 1 7,534 15.00 113,010 113,010 113,010 Totals 1 7,534 113,010 113,010
Investment Valuation
Family Enclosure Cafe Current Rent 113,010 YP @ 7.0000% 14.2857 1,614,429
Total Investment Valuation 1,614,429
GROSS DEVELOPMENT VALUE 118,728,668
Purchaser's Costs 6.19% (99,933) Effective Purchaser's Costs Rate 6.19% (99,933)
NET DEVELOPMENT VALUE 118,628,734
Additional Revenue Hotel Land Value 2,470,000 Nursery Land Value 1,050,000 3,520,000
NET REALISATION 122,148,734
OUTLAY
ACQUISITION COSTS Residualised Price 26,002,079 Residualised Price (Negative land) (6,494,840) 19,507,239 Stamp Duty 1,268,604 Effective Stamp Duty Rate 4.88% Agent Fee 1.00% 260,021 Legal Fee 0.50% 130,010 Town Planning 250,000 1,908,635
CONSTRUCTION COSTS Construction ft² Build Rate ft² Cost Site 3 - Private 105,563 216.05 22,806,516 Site 1 - AH 13,438 211.20 2,837,968 Site 2 - AH 50,313 215.27 10,830,996 Site 5 - AH 58,250 222.14 12,939,422 Site 4 - Private 48,938 231.06 11,307,499 Site 4 - AH 27,863 231.06 6,437,909 Totals 311,897 ft² 67,160,310 Contingency 5.00% 3,358,016 Site 3 - Elmbridge CIL 1,636,698 Site 3 - S106 Contribution 114 un 3,000.00 /un 342,000 Site 3 - S278 Contribution 114 un 1,500.00 /un 171,000 Site 1 - S106 Contribution 15 un 3,000.00 /un 45,000 Site 1 - S278 Contribution 15 un 1,500.00 /un 22,500 Site 2 - S106 Contribution 49 un 3,000.00 /un 147,000 Site 2 - S278 Contribution 49 un 1,500.00 /un 73,500
APPRAISAL SUMMARY RAPLEYS APPRAISAL SUMMARY RAPLEYS Proposed Scheme - Sites 1 - 5 50% Affordable Housing Site 5 - S106 Contribution 68 un 3,000.00 /un 204,000 Site 5 - S278 Contribution 68 un 1,500.00 /un 102,000 Site 4 - Elmbridge CIL 645,584 Site 4 - S106 Contribution 72 un 3,000.00 /un 216,000 Site 4 - S278 Contribution 72 un 1,500.00 /un 108,000 74,231,608
PROFESSIONAL FEES Professional Fees - Site 3 3.00% 718,405 Professional Fees - Site 1 2.00% 59,597 Professional Fees - Site 2 2.50% 284,314 Professional Fees - Site 5 2.50% 339,660 Professional Fees - Site 4 2.50% 465,817 1,867,793 MARKETING & LETTING Letting Agent Fee 10.00% 11,301 Letting Legal Fee 3.00% 3,390 14,691 DISPOSAL FEES Sales Agent Fee - Private 2.50% 2,148,375 Sales Agent Fee - AH 1.00% 311,792 Sales Legal Fee - Private 159 un 600.00 /un 95,400 Sales Legal Fee - AH 159 un 400.00 /un 63,600 2,619,167 FINANCE Debit Rate 6.000%, Credit Rate 0.750% (Nominal) Total Finance Cost 3,311,567
TOTAL COSTS 103,460,700
PROFIT 18,688,034
Performance Measures Profit on Cost% 18.06% Profit on GDV% 15.74% Profit on NDV% 15.75% Development Yield% (on Rent) 0.11% Equivalent Yield% (Nominal) 7.00% Equivalent Yield% (True) 7.32%
IRR 21.34%
Rent Cover 165 yrs 4 mths Profit Erosion (finance rate 6.000) 2 yrs 9 mths