Working with landowners to achieve the best outcomes
Promotion Agreements are the deal structure of choice for most landowners, agents and solicitors. This form of Agreement ensures transparency and a complete alignment of objectives for landowner and their advisors with the Promoter.
This is achieved through enabling the Promoter to use their industry experience to obtain a market facing planning permission with all technical issues resolved, before the site is placed on the Open Market for the house builders to bid in a wholly competitive environment. This guarantees transparency and maximisation of value for the landowner.
The Promoter should not have any intention of developing the site nor should it have a development arm as an arm’s length sister company. This brings about exactly what the principles of the Promotion route seek to avoid; namely potential conflict. The Promoter funds the planning and promotion process in it’s entirety and in exchange for this risk, the Promoter’s reward is an agreed share of the net price received when the site is sold to a developer. This simple process ensures that the Promoter is seeking to maximise the site’s value and, in turn look after the landowner’s interest throughout.
Developers, be they housebuilders or commercial developers, cannot offer the Promotion Agreement route to landowners as it does not guarantee the right to develop the site out. The competitive tendering process that is fundamental to the Promotion Agreement route guarantees the landowner the maximum receipt. Our planning applications are recommended for approval because we work very closely with the landowner, local communities, local planning officers and town councils to create the most mutually beneficial plans.
Enhancing the process through innovative planning solutions.
A practical and creative approach
As soon as we have been selected as the preferred Promoter, we work quickly and positively to enhance the process, taking a practical and creative approach to secure a solution that offers real value.
Strategy and preparation
To ensure we adopt the correct strategy, we prepare material fastidiously, analysing key policy and political factors, and working in conjunction with our professional consultant team that we carefully selected for each project.
Throughout the planning process, we work with local planning authorities to promote development opportunities, enabling us to submit high quality planning applications that take into account such factors as urban design, the environment, sustainability, green travel and social inclusion.
We also spend a great deal of time working with local stakeholders and we try and understand the critical issues facing the community. It is frequently the case that we can assist the community with providing a facility that isn’t presently available or alternatively upgrading existing tired facilities
Trust and understanding
From the outset, we aim to work closely with landowners, building a relationship based on trust and understanding, and tailoring the process to meet client’s requirements in order to maximise potential. As a matter of course we will communicate succinctly and attempt to ensure that a partnership approach is adopted with landowners.
The land remains vested with the landowner therefore the level of involvement and input varies according to the situation. We encourage a joint approach the extent of which is determined by the landowner.
The Promotion Agreement structure is free of conflict and risk for the landowner. The landowner’s and Promoter’s objectives are aligned from day one and the landowner is indemnified against costs and not expected to contribute towards the planning process. To cap this off, once consent is granted the site is sold on the open market in a transparent competitive bidding process. This maximises the return for the landowner and Promoter and ensures that the critical issue of aligned objectives is always at the forefront of our minds.
The Promotion Agreement process is funded entirely by the Promoter. The Promoter funds the legal and planning process which can run into hundreds of thousands of pounds. This investment is the Promoter’s risk money and clearly, the Promoter is backing their professional judgement in putting up this risk money. If planning permission is not forthcoming, then these fees are abortive.
Our objectives are perfectly aligned from day one as the Promoter receives an agreed percentage of the net amount received and the Promoter therefore wants the maximum possible Capital Receipt for the landowner.
Lone Star Land boasts an enviable track record in delivering planning permissions at a local level. This is achieved through an all embracing approach to local consultation. This process can involve fortnightly stakeholder meetings – whatever the process, local consultation and hopefully a positive local decision can take years off the planning process and save the landowner tens, if not hundreds of thousands of pounds and eliminates the potential of the land being blighted by an adverse Appeal decision.
Absolutely nothing. The Promoter carries the financial risk and potential burden. Of course you need a Solicitor to enter into a Promotion Agreement with Lone Star Land, but we cover this cost and in doing this, this paves the way for securing your return.