Every waking hour we at Intali are thinking about property.
Just to prove the point, our Charles Howard was on his way to the office early one February morning. He happened to see a “For Sale” board being erected on a site for residential development in the Leicestershire village of Croft.
Although only just awake, he knew immediately that Intali had a retained client who would be very keen on this site. As soon as he got to the office he called them to discuss it.
This was a 0.95 acre site for residential development on Broughton Road, Croft. It had outline planning consent for 9 houses.
Working with the client, Charles set to work on preparing a competitive bid. He prepared a number of development appraisals, feasibility studies and sensitivity analyses. Once the bid price was established and approved by the client it was submitted to the selling agent.
Following acceptance of the offer and solicitors being instructed, Britain voted to leave the EU.
In the days that followed the vote there was more than a little uncertainty in the property and financial markets. We agreed with the client’s view that “uncertainty risk” needed to be priced into the deal.
At Intali we don’t like re-negotiating deals that have already been agreed. When we are selling we will advise clients to withdraw contracts rather than revise agreed terms without good reason. But here was a truly exceptional situation that we needed to deal with for our client. Both the selling agent and vendor recognised this and a second round of negotiations ensued.
A revised price was agreed with the vendor in return for an early exchange of contracts and completion, which took place in early August. Development is expected to start in the near future.