Landsite - Guidance for Housing Land Development
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Clear, practical & honest advice to landowners

Landsite is a specialist land consultant which has been established for over 15 years. We have provided wide ranging guidance to land professionals and companies such as Richborough Estates, Satnam Investments,Wessex Strategic, Barratt-Redrow Homes, Persimmon Homes and Cala Homes.

Call John on 07971 389985 / 01527 328401 or email [email protected] for free, independent and expert guidance.

SEE : 
 'SELLING LAND - FAQ'S'  page for : Selling Land - FAQ's
Clear recent data on UK residential land prices
The price of land with planning permission for housing development in various districts of the UK
UK housing land prices (with planning permission)

UPDATE 2026 :

2026 was looking very positive (at last !) until the Iran Conflict and whilst Landsite witnessed more website enquiries for 'how much is my land worth for building' or 'how much is my land worth for development'  we also saw more 'launching 2026' sale and promotion boards going up on large sites (e.g. Taylor Wimpey, Ely).

Some of the smaller luxury developers (sometimes known as SME developers) are opening up smaller and single plots to build them out, which is always a good sign.


2026 DRIVERS FOR BETTER LAND VALUES : POSITIVE TO NEGATIVE : At the start of 2026 inflation was heading lower, interest rates were set to drop to around 3.25% by October and this was set invigorate the first-time buyer market. Whilst there was some relative stability after the Ukraine and Gaza wars, elections, budgets and the like, this positivity has now dampened due to the Iran Conflict and hike on oil prices. 

In early 2026 Savills were reporting that house prices could increase by 28% to 2030. 

However, stastitics in the first quarter of 2026 showed that the number of housing transactions has plummeted by an astonishing 44% since the same quarter last year (2025) and the much-vaunted '1.5M New Homes' push by Labour has significantly failed.


TO ALL LANDOWNERS : 2026 through 2027 still remains a good time to look seriously at the developmnent potential for your land as many councils still lack a '5 year housing land supply' or do not have a sound Local Plan in place and with the demand side of the residential market now coming back and probably set to continue for 2027 through 2028 and beyond (chance of an economic recession notwithstanding) the timing is about as good as it has been for many years .


WHAT IS MY LAND WORTH  FOR DEVELOPMENT ? : We have outlined land values elsewhere on our website and in the 'Land Prices' section but the last 4 years since late 2022 have been challenging and housing land values and residential land values have both been down (by around a third to as much as half).

For anyone at the end of an Option Agreement deal and being offered a price by a housebuilder it will be vitally important to utilise a big hitter like Savills (
www.savills.com) or CBRE (www.cbre.co.uk) to ensure you hammer the housebuilder as hard as possible and get the best land value you can.

Land in the Home Counties is still averaging around £1M+ per acre (in your hand) after planning permission - though with the introduction of the 'Golden Rules' applying to Greenbelt ('the ' Greybelt') by Angela Rayner this means that normally 50% of any development in the greenbelt has to have affordable/social housing.

This generally means a lower land price but bear in mind this will be countered somewhat by the £39bn earmarked for boosting social, affordable and new council houisng - in fact £9.56bn of that has already been committed towards new schemes so this will help bids (NEVER accept a housebuilder comment that 'we make no money from affordable housing' - THEY DO !).

Expect around £500,000+ per acre in other 'good' areas. Of course, you are only likely to see this if you have secured a deal with a land promoter rather than a housebuilder as the former company use a 'market tested' route whereas the housebuilders / developers pay the landowners what they call 'market value' but which in truth is actually what they want to pay you, not what the land is actually worth. That is why we always suggest to landowners that a Land Promotion Agreement is the better route to take when you have a site of 8 acres or more, especially in a good area.

REMEMBER...REMEMBER...


LAND PROMOTERS = HIGH LAND PRICE (COMPETITIVE 'MARKET-TESTED' BIDDING)

HOUSEBUILDERS = LOW LAND PRICE (BEWARE OF 'MARKET VALUE' OFFERS)


This is generally the best rule when it comes to getting the 'right' deal for your land but do also be careful to read the small print as some (only some at the moment) land promoters may seek to incorporate a 'confidential marketing exercise' in their terms and this may often be essentially what is known as a 'pre-emption' clause and could mean the fully 'market-tested' route to get a top bid for your land is seriously undermined (just ask yourself ; 'Confidential' - yes, but to whom, you or the Land Promoter ?).

You should also be aware that some land promoters are now owned by plc housebuilders or have been purchased by them and this may influence how they appraoch their land deals.


Is your site is larger than 10 acres in size and you have been approached by a housebuilder or a land promoter ?

DO THE DEAL WITH THE LAND PROMOTER IF YOU WANT THE BEST END LAND PRICE.

Sometimes, due to a small site size or complex ownership and timing reasons a traditional Option Agreement is the only effective way forward. However, landowners may find the people they did the original deal with have moved on or the developer takes a 'plan-led' solution - i.e. they wait for the land to be 'allocated' in a Local Plan before pushing for planning permission and this process may feel very slow and 'not what was promised' for some landowners. You will almost certainly end up with a land price that suits the devloper not you as it wilol have never been MARKET-TESTED (which is what the Land Promoters do).

By signing into the wrong agreement, picking the wrong developer or even the wrong promoter (yes this does happen) and not ensuring they have either a clear and deliverable plan to obtain planning permission or that you may not get your site properly 'market-tested' (i.e. sold to the highest bidder) you could potentially end up with a significantly lower land value.

Many landowners can find themselves in this position and are often confused about the way ahead (you are not alone !)

The only real way to beat that system is to get the best agreement you can in the first instance and that is only achievable when all concerned are honest and transparent.

This is exactly what Landsite specialise in doing so do give us a call or email : [email protected] or 07971 389985.
​

HOW IS LAND VALUED FOR HOUSEBUILDING ?
Roughly speaking, residential development land (with planning permission) in the United Kingdom in 2024 is worth between £350,000 per acre (e.g. remoter parts of the UK) to as much as £3,000,000 per acre (e.g. 'Home Counties' close to London) with planning permission in place.

Normally, councils will expect an acre of 'net developable' (known as NDA - Net Developable Area) land to have around 15 'plots' on it and therefore if each plot is worth (say) £35,000 then simply calculate that multiplied by the (net) acreage of your land (if you have 10 acres in allk then around 6-7 acres will be the NDA). So, let's say your land is around 8 acres and therefore the 'NDA' is 5 acres, then that would allow for 5 x 15 = 75 new houses to be built on itr and at £35,000 a plot it would provide a land value of £2,625,000. Of course if the land is in a high value area then thje plot prices could be twice as high at £70,000 each and therefore the 5 acres would be worth £5,250,000 (and remember every 5 acres of NDA is another £5.25M...so a 30 acre site with permission for 300 houses could be £21,000,000.

The reason the values can vary so widely is very much dependent upon were the land is and how challenging it is to develop (e.g. slope, contamination, access and infrastructure requirements) and of course the state of the economy (interest rates, inflation, mortgage deals and other political and economic factors).

Land is a very emotive subject because it is valuable and it may have sentimental or inheritance family issues associated with it. 

A landowner only gets to sell their land once and cannot go back and 'have another go' if they are not happy with the price or the result.

It is therefore vital that you do your research and take proper stock of the situation before committing to a particular developer, land promoter or housebuilder.

The old adage that 'all that glitters is not gold' is certainly true as whilst many developers and land promoters are actually perfectly good, reliable and honest firms, nevertheless buying your land is a business decision for them and your best interests as a landowner or a family will not always be of paramount importance when it comes to payment for the land with planning.

The latter impact is for three reasons : Firstly, the developer simply tries to secure a planning permission, not the 'best' planning permission in terms of actual land value; Secondly, some Agreements allow the charge of a wide range of costs, 'interest rates' and unecessary charges to the landowner and Thirdly, there will often be huge additional infrastructure and associated commitments which may be readily made by one development partner compared with another.

Landsite is very passionate about landowners being listened to in any transaction and the only way this can be achieved is if ALL the relevant information on housing land prices, timescales, planning, contracts and marketing are clearly, honestly and transparently explained.

We cannot stress enough how important it is for landowners to be properly and fully appraised of the potential for development of their land - including the pitfalls, obstacles and time it can take to achiever a planning permission and sale of the land.

Land deals can be successful and landowners and their development partner (be that plc housebuilder, independent developer or land promoter) can all end the day happy and content with the results, so long as throughout the process everything is clearly explained and trust is maintained between the parties.

In today's modern world of email, social media, texting, internet meetings and the like, sometimes the simplest solution is the best : if landowners and their development partner cannot agree or are unhappy -
get everyone physically round the table and resolve the matter face-to-face.

Many would be amazed how very little this approach is undertaken by the largest of housebuilders and (sadly) some land promoters too. It is a VITAL aspect of good land development.
 
One thing we also offer at Landsite (somewhat uniquely) is the ability to research and compare actual sold prices for land in your area using Land Registry information so that a value per 'plot' can be ascertained. Once we know that information we can then work out how many building 'plots' your land can accommodate and calculate a likely land value. This gives a real and accurate idea of what a site may be worth and is an invaluable aid for a landowner trying to work out a 'housing' land value for their land.

If you are currently being approached or have been approached by a plc housebuilder to sign into an OPTION AGREEMENT then please please tread carefully. By all means give me a call or email me for guidance on 07971 389985 or via [email protected] and I will be happy to explain whether that route may indeed be best or whether a land promotion agreement may offer a better solution.

Sometimes Option Agreements (or even Conditional Contracts) are the right choice and they can work for landowners. Indeed, once they used to be the only option for landowners. However, nowadays, the Land Promotion Agreement usually creates a significantly better solution with a much much better land sale value for the landowner or farmer.

You do after all only get to sell your land once.

By 'much better' you can be looking at perhaps 50% to even 100%+ more payment for your land after planning in some cases and if you require proof of this then I am happy to provide plenty of real examples.

For instance, the final land payment for a piece of land with permission for 100 houses (on say 10 acres) in a good location could be as much as £12,000,000 through the full competitive open market sale that a Land Promotion Agreement offers, compared with perhaps £6,000,000 to £7,000,000 via a standard Option Agreement.


L​andsite Limited have been providing guidance and consultancy to landowners for over 15 years.

We have many years of experience working at senior levels (Area Land Manager, Land Director, Development Director) within the land departments of Taylor Wimpey, Bovis Homes (now Vistry Group), Beaverbrook Land and Gladedale Homes (now Avant Homes). We have also worked with developers including : Banner Homes,
David Wilson Homes (Barratt Group), CALA Homes, Bellway Homes, Vistry Group and Persimmon Homes and with land promoters including : Wessex Strategic, Richborough Estates, IM Land, Terra Strategic, Catesby Estates and Satnam Investments.

We will always take the time to speak with you and explain how the process really works in practice and you are welcome to telephone or email either John Holland to discuss your concerns :

John Holland - Director - 07971 389985 / 01527 328401 or [email protected]

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Landsite
Registered office : Penrose House, 67 Hightown Road, Banbury, Oxfordshire OX16 9BE
​Telephone : 01527 328401   Mobile : 07971 389985
​E-Mail : [email protected] Web. www.landsite.co.uk



Please Note / Important : The views and opinions expressed on this website are the personal opinion of the author and do not represent the policies, views or opinions of the company. ALL information provided is for general guidance only and any actions or decisions the reader or user may take based upon content, information or opinion(s) expressed in this website is entirely at their own risk and liability. The information contained in this website cannot be legally relied upon at a later date and it is provided on a 'without prejudice' basis. Landsite has no affiliation with any other company, website or organisation and it accepts no legal liabilities arising from use, misuse or mis-interptretation of the data and information contained within this website.
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