Surge in land sales as housebuilders top up landbanks

Tuesday, 24 August 2021 00:00 Editor

The market for new housing land in the region - particularly larger sites - has picked up strongly over the summer as housebuilders refill their landbanks after seeing strong sales during the past year. “We have seen a particularly busy second quarter, with activity levels in the land market higher than previous quarters. The momentum has continued through July and we look forward to a busy third quarter," said Andy Redman, who leads Savills development teams in Essex and Suffolk.

"We are seeing lots of new sites being brought forward with increasingly motivated buyers in the market and no sign of a summer lull," he added. Savills completed more than £272m worth of land sales across the East of England in the first half,  involving 20 sites and enough land for over 8,500 new homes.

Richard Janes of Savills in Cambridge said: “The high sales rates of last year have depleted housebuilders’ stocks of new homes and land, meaning that land replenishment will be an ongoing feature of the 2021 market.” Significant recent deals in the region included a 58 acre site in Felixstowe which was sold to Persimmon Homes with permission for 560 units. Elsewhere, a 23 acre site in Thetford with permission for 225 homes was sold to Taylor Wimpey as part of the larger Kingsfleet development. The agent's research shows UK greenfield land prices rose by 1.7 per cent over the last quarter - the strongest growth since 2014 -  and urban prices rose by 1.8 per cent.

Last Updated ( Tuesday, 24 August 2021 07:12 )