Do You Want to Become a Property Developer?

What Does a Property Developer Do?

Written by Jamie Gillispie

Are you intrigued by the idea of transforming properties and creating new homes or commercial spaces? Property development in the UK offers a wealth of opportunities, especially with the current market dynamics and permitted development rights. Whether you’re looking to extend a residential property, convert a commercial space, or embark on a larger development project, understanding the basics and having the right financial support is crucial.

A property developer is involved in the purchase, development, and sale or lease of properties. This can include residential homes, commercial buildings, and mixed-use developments. The role typically involves:

• Identifying and Acquiring Properties: Finding suitable properties with potential for development.
• Planning and Design: Working with architects and planners to design the project.
• Securing Finance: Obtaining the necessary funding to purchase and develop the property.
• Construction and Renovation: Overseeing the construction or renovation process.
• Sales and Marketing: Selling or leasing the completed properties.

Exploring Opportunities in Permitted Development

Permitted development rights offer property developers the ability to undertake certain building works without needing to apply for full planning permission. This can significantly streamline the development process. Two of the most popular permitted development classes in commercial property are Class G and Class MA.

• Class G: Allows for the conversion of the upper floors of a commercial property to residential use. This is an excellent opportunity for developers to create apartments above shops or offices.
• Class MA: Enables the change of use from commercial, business, and service uses (Class E) to residential use (Class C3). This opens up many possibilities for converting unused office spaces into much-needed housing.

For residential properties, permitted development rights can allow for extensions and alterations without full planning permission. This can be particularly useful if you’re looking to:

• Extend a Residential Property: Create additional space which can increase the property’s value. This extension can then be converted into a House in Multiple Occupation (HMO) or sold on the open market.
• Convert Loft Spaces or Build Conservatories: Simple development opportunities that can add significant value and appeal to a property.

Tips for First-Time Developers

If you are new to property development, consider starting with simpler projects. Look for properties that require minimal structural changes and offer straightforward development opportunities. Additionally, having a good professional team is essential. Working with experienced architects, builders, and legal advisors can greatly enhance the success of your project and ensure that your application is well-prepared and meets all necessary regulations.

How Elleah Property Finance Can Help

At Elleah Property Finance, we specialise in bridging and development finance, offering tailored solutions to meet the needs of both novice and experienced property developers.

Here’s how we can assist you:

• Expert Financial Advice: We provide comprehensive advice on the best finance options available for your development project.
• Bridging Finance: Short-term funding solutions to cover the gap between the purchase of a property and securing long-term finance or selling the property.
• Development Finance: Structured finance solutions to fund the construction and renovation phases of your project.
• Access to a Wide Network: Our extensive network of lenders means we can offer competitive rates and flexible terms that suit your specific needs.
• Support Throughout the Process: From initial consultation to securing finance and managing repayments, we guide you through every step of the process

Contact us today to discuss.