Investment Guidelines
Legal advise prior to commitment
Have you thoroughly explored the contracts prior to committing to buying land?
As with property, land investment is legally complex. As such, legal advise should be sought before committing to buy investment land (although you are advised to review the contracts yourself as well). There are many legal aspects to a land investment of which the nature of the investor’s ownership of the investment land site, access rights, and the extent of the land investment provider’s responsibilities in carrying-out the planning work are among the most important.
Of equal importance from a legal point of view in land investment projects is the exit strategy, ie how you realise your land investment returns at the project’s conclusion. This must be clearly defined in the UK land investment contracts. Land for sale in change-of-use projects usually comes with a buy-back agreement: this must be clearly set-out in the land investment contracts.
A final point: if you are buying land as a land investment you should appoint a lawyer who specialises in UK land rather than property. Your lawyer need not have specific land investment experience, but should be a specialist in UK land sale and purchase law. It is unwise to assume a specialist in conveyancing is au fait with UK land law.