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Land Acquisition, Property Compensation and the London Resort Premium

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Land Acquisition, Property Compensation and the London Resort Premium Land acquisition, property compensation and the London Resort Premium For more information about the project and our proposals, please visit www.londonresort.info Compulsory Acquisition Compensation can be claimed under the London Resort Company Holdings and Compensation following categories: Professional advice and fees (LRCH) is proposing to develop a world- class, next generation entertainment The planning application will address all the • The value of the land taken. This is valued If you think that any of the above resort known as the ‘London Resort’, on works necessary for the Resort. In addition, on the basis of its open market value, circumstances may apply to you or your the banks of the River Thames. the DCO will include powers to allow LRCH ignoring the effects of the proposed property, we encourage you to seek to compulsorily acquire the land and interests scheme under the DCO. It is valued independent, professional advice from This document outlines LRCH’s approach in land that are needed to construct and by reference to recent comparable Compulsory Acquisition specialists who to land acquisition, the London Resort operate the Resort. It will also include powers transactions and having made adjustments are also experienced in the DCO process Premium, the statutory Compulsory to extinguish private rights, take temporary for differences in size, location and any as soon as possible to agree terms with Acquisition process and the entitlement possession of land, undertake safeguarding other relevant factors. you ahead of the statutory process. to compensation which may arise should works to buildings and survey and • Compensation is also paid for ‘severance we use Compulsory Acquisition powers investigate land. As no Compulsory Acquisition powers once they are available. and injurious affection’, i.e. any proven yet exist there is no entitlement to the If your land is subject to Compulsory reduction in the open market value of land reimbursement of adviser fees. However, About the Project Acquisition powers (i.e. within the Order you retain when only part of your land we strongly recommend you to instruct Limits boundary) then you may be entitled to holding is acquired. your chosen adviser to contact us to seek The proposed location for the London compensation. In limited circumstances there • Compensation for ‘disturbance’ is payable agreement up front on what fees can be Resort is the Swanscombe Peninsula, may be a claim even where no land is taken in respect of costs/losses incurred reimbursed and when. near the banks of the River Thames in from you. north Kent, with supporting transport due to you being disturbed from your facilities on the northern side of the river LRCH wishes to do what it reasonably can to occupation of the property. In most in Tilbury, Thurrock. reduce the extent to which it will need to use cases this is only available to occupiers Compulsory Acquisition powers and is therefore of a property although it can be payable The Resort will comprise of themed rides seeking to negotiate to acquire the land and for the reimbursement of reinvestment and attractions across two theme parks, interests in land that it needs and to agree costs such as stamp duty etc. for with a range of hotels, entertainment, terms for compensation, on a voluntary basis. investment owners. retail and dining, both inside and outside the park gates. The project includes a LRCH is already in discussion with a number Compensation where no land Is taken textnew to access move road it downfrom the A2 to keep of those likely to be affected, and their A right to compensation may also arise in Resort traffic separate to local traffic, and advisers, with a view to agreeing fair and limited circumstances where no land is taken supporting transport infrastructure. reasonable terms. We are keen to speak to anyone who considers that they may be but when statutory powers are exercised. entitled to compensation in the event that Compensation may be payable for a reduction The planning process the DCO is granted, with a view to agreeing in the value of your land caused by the fair and reasonable terms prior to resorting to execution (i.e. the construction) of the Resort The project is classified as a Nationally Compulsory Acquisition powers. and/or a reduction in the value of your land Significant Infrastructure Project (NSIP) caused by the subsequent use of the Resort. under the Planning Act 2008. As such, LRCH Below and on the next page is a broad overview is required to make an application for a of entitlement to compensation under the Compensation for the adverse effects of the Development Consent Order (DCO) to obtain Compulsory Acquisition system and how it is Proposed Development planning permission to construct and operate applied in various circumstances. The Resort may cause inconvenience and the scheme. Compensation when land is taken discomfort to people living in the area. This We are currently in the pre-application stage of may be intense enough to entitle you to the process. We intend to submit our planning Compensation in this case is based on the apply for mitigation measures to help reduce application by the end of 2020 and, provided principle that overall you should be no worse the impact of development works, e.g. noise it is granted, construction would begin in early off after the compulsory acquisition than you insulation works for residential properties in 2022, and the Resort would open in 2024. The were before, and similarly you should be no the area. key stages of the DCO process are outlined in better off. this document. What happens after THE LONDON RESORT PREMIUM stock of ‘outers’. Smudgeprint has two Heidlberg 30% capped at £500,000 printing presses. The printing presses will be the DCO application down for two days whilst they are moved from LRCH recognises that claimants may find it Northfleet to Smudgeprint’s new factory. difficult to secure alternative accommodation is submitted? both in the locality and also at similar entry level The Northfleet property is alarmed (both for (rent / value) and is therefore prepared to make fire and intruders) and networked for data an enhanced proposal to qualifying claimants. and telephone. It has offices and shower / WC facilities which are of permanent construction LRCH’s proposal is based on the valuation and is also fitted out with two dark rooms, a principles set out by compulsory acquisition - in chemical store and staff mess room. The property addition to Market Value and Disturbance, LRCH Smudgeprint is moving to is a modern, steel is proposing to replace basic loss (7.5% capped frame ‘shed’ construction building with no offices, at £75,000) and occupier’s loss (2.5% capped at toilets etc installed. Smudgeprint will have to £25,000) with The London Resort Premium of install everything it requires. 30% of the claim, capped at £500,000 for each claim. Smudgeprint has been approached by London Resort Company Holdings (‘LRCH’). In order 28 Days Hypothetical Case Study: Smudgeprint to deliver the Resort, LRCH needs to acquire interests in the land owned and occupied by Smudgeprint Ltd is a printing company on the Smudgeprint and its neighbours. 1 Acceptance Northfleet Estate occupying a 500 sq. m industrial unit. The client base is predominantly local but LRCH is committed to compensate both owners The acceptance stage begins when a the company was recently appointed as the and occupiers of land that needs to be purchased developer submits a formal application sole printer for ‘outers’ for Gnaw-it, a prepared- in order to deliver the Resort. LRCH has also food catering company; this new contract is for development consent to the committed to cover the reasonable costs for worth £100,000 p.a. in terms of net profit claimants such as Smudgeprint in obtaining Planning Inspectorate. There follows a to Smudgeprint. professional advice from Chartered Surveyors period of up to 28 days (excluding the with demonstrable experience in dealing with date of receipt of the application) for Gnaw-It operates on a ‘just-in-time’ basis where Compulsory Acquisition matters. the Planning Inspectorate to decide its requirements are emailed to Smudgeprint 48 whether or not the application meets hours before delivery is required. Smudgeprint will Worked example illustrating how the Premium the standards required to be formally 2 Pre-examination incur contractual penalties if delivery is not made would be applied for Smudgeprint. on time and does not have space to build up any accepted for examination. Compensation At this stage, the public will be able to Item Description Cost (£) Shortfall Comment register with the Planning Inspectorate Code and provide a summary of their 1 Legal costs of new lease etc 7,500 7,500 views of the application in writing. Approx 3 Months Approx Stamp Duty on purchase At pre-examination stage, everyone 2 7,500 7,500 of Newworks who has registered and made a relevant representation will be invited Commercial agent’s fee – finding/ 3 12,500 12,500 to attend a preliminary meeting run negotiating lease of new property and chaired by an Inspector. This stage 4 New landlord’s legal fees 5,000 5000 of the process takes approximately three months from the developer’s Provision of internal three phase formal notification and publicity of an 5 electrics, distribution boards etc 10,000 10,000 accepted application. to presses Provision of additional power sockets Value for 6 5,000 5000 3 Examination for normal power consumption money Reconfiguration of lighting system 7 3,000 3000 The Planning Inspectorate has six around presses Value for months to carry out the examination. 8 Provision of partitioned offices 25,000 25,000 During this stage, people who have 6 Months money registered to have their say are invited 9 Provision of dark rooms 5,000 5000 to provide more details of their views Provision of constructing chemical in writing.
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