Building on the Midlands’ positive residential landscape

Chris Jones

By Chris Jones, head of residential land at Harris Lamb

 

The forecast for the West Midlands’ residential market is more positive than it has been for more than a decade, even allowing for continuing caution over the economy and Brexit, as developers seek to provide more properties to meet the increasing demand throughout the region.

A Government commitment to ensure the UK housing shortage was addressed, teamed with slowly increasing house prices and the Help To Buy initiative providing strong support for house-buyers have combined to bolster the market, and although developers are becoming frustrated with certain delays in the planning system which impact on their aims to meet the demand, they are forging ahead with their plans to do so.

While the London property market is under pressure, the West Midlands is out-performing the Capital and most other regions on a number of key factors, and land-owners and developers are keen to maximise on its strong national position.

The region is highly sought after, with developers being particularly keen to identify sites with outline planning permission for between 70 and 200 units as property prices across the West Midlands and Worcestershire remain good, with reasonable increases predicted. A number of high-profile success stories have also given confidence to those house-builders who have earmarked the Greater Midlands region as one to watch.

Added interest from private rental investors, housing associations and partnership developers has ensured the region is in a strong position to attract further investment from a diverse range of sectors.

Regeneration specialists Galliford Try Partnerships successfully secured one of the largest sites in Birmingham; the10.77-acre plot of land that was formerly Hall Green Stadium earlier this year after a lengthy bidding process from national house-builders. With permission for up to 210 homes, the site is primed to be a hub for young professionals – particularly with HS2 plans evolving – and is sure to have reinforced the city’s status as the place to secure future sites.

The demand for suitable sites is good, although land prices are showing signs of leveling, still putting land-owners throughout the Midlands are in a strong position, particularly with local authorities such as Worcestershire County Council issuing a call for sites to help them comply with national requirements to identify more land for housing and commercial development.

Meanwhile, land parcels including the 16.5-acre former Caparo site in Walsall and the 5.36-acre site of Stourminster School in Kidderminster, have been placed on the market and are already attracting wide-spread interest from national developers. The owners of the Green Lane industrial site have applied for planning permission for 252 new homes and apartments, while the latter, on Comberton Road, is allocated in the Preferred Options Draft of the emerging Local Plan as being suitable and sustainable for a scheme of 56 properties following a positive assessment by Wyre Forest District Council.

While local authorities find themselves under pressure to accelerate the planning process to drive through such permissions thereby enabling construction to begin quickly, staff shortages and infrastructure issues inevitably cause delays and developers can only bide their time as they await the green light to progress.

The West Midlands’ strong position, however, means that the coming months will see widespread residential development to help meet the demand from the increasing number of would-be buyers keen to relocate within, and to, the region.

For further information visit http://www.harrislamb.com/

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