INTRODUCTION
In February 2006 Ashfield Land secured planning permission for one of the largest
mixed-use development sites within South Lanarkshire. This case study sets out
how we came to own the site and the methodology behind the success story.
BACKGROUND
Newton Farm (450 acres) was introduced to us by an agent in Sussex and until
that time our most northerly development was in Birmingham. We needed to learn
about the differences in planning law and the legal system very quickly and get
to know an area completely new to us.
We always look for strong communication links and nearby railway stations
when assessing potential sites and Newton Farm was extremely well connected
with the adjacent Newton station providing services to Glasgow and Edinburgh.
The M74, M8 and M73 motorways are all very accessible and Glasgow city centre
lies only 6 miles to the west.
The site was being sold by a private company who wanted a sale concluded
quickly and since the site was in the greenbelt planning was many years away.
After completing our due diligence we bought the farm for a significant sum,
certainly much more than the farm was worth as grazing land. A purchase at this
level meant we owned the site outright without any obligation to pay uplift in
the event that planning was achieved.
Historically the site had been a major colliery serving the adjacent Hallside
Steelworks, which produced over half the steel for the Forth Rail Bridge.
Although mining activities on the farm ceased in the 1960’s the relicts of
that industry had left a poor environment.
There were four main issues to be addressed when considering this purchase.
Firstly, planning as the farm was in the green belt, secondly the historic use
needed to be considered in terms of contamination and stability of the ground,
and thirdly the farm needed additional land to secure a development access.
In order to secure the site we had to move quickly and didn’t have time to
pursue these issues to conclusion at that time. It was during our ownership
that we finally resolved the various matters.
ACTION
The following section demonstrated how we dealt with the issues mentioned in the paragraph above.
Planning
Whilst the farm was in the greenbelt the historic mining activities had left
large areas in a very poor agricultural condition and the three
bings were
visually intrusive. In our opinion the farm was brown-field, albeit in the
greenbelt. The other factor was the finalised Structure Plan and the emerging
local plan. The Structure plan allocation of housing for South Lanarkshire was
considerable, and would require some green belt land to be taken out for
development. There were a number of competing green belt proposals but none
with such good public transport provision. The emerging local plan had identified
Newton farm for a release, along with other competing sites. We were confident
that the environmental improvements we could offer along with the benefits of
Newton Station were sufficient to put Newton Farm ahead. It was at this point in
the process that we bought the farm.
Following on from our purchase and with our appointed planning consultants we
worked with the council and demonstrated the benefits of the site compared with
other competing proposals. We attended the Local Plan enquiry with our planners
and legal team and secured an allocation for a notional development of 500 units.
A strong reason for the release was the environmental improvements we would implement.
Historic use, Contamination and ground stability
We commissioned extensive reports into the condition of the ground which included
both chemical testing and investigating the mineral stability of the ground. In
addition we also sunk boreholes into the bings to identify the contamination
levels, and again stability of the material. We also had to test the bings for
combustibility as a reasonable amount of coal was likely to remain amongst the
overburden.
The results were very positive when considering the historical use of the
land. The vast majority of the farm land was clear of contaminants and the
mining’s were at a substantial depth and wouldn’t affect development. The
bings were quite heavily contaminated in part but the volumes involved were small.
We did discover some rare plants and grayling butterflies on one of the bings.
As part of the development we will be creating a new habitat for these species.
Access
At the time of our purchase we didn’t own or control a suitable access for the
proposed development. We had identified land that would suit but that was under
a long term option to another developer. That land was also green belt and we
took the view that they would only achieve development if the environmental
improvements to the bings were instigated and the bings were on our land not
the option land. The planners also held this view and after some 18 months the
other developer realised that there was no option other than to enter into a JV
with us or sell. In the end we bought the land.
PLANNING APPLICATION
Having secured the access land we submitted a landscape driven master-plan
planning application for just over 700 units with associated sports facilities,
a site for a school and a community building. Bearing in mind the size of the
proposal the planning application ran smoothly and within 12 months we secured
a planning approval.
The consented site was sold to a major house builder.
SUMMARY
We acquired 450 acres, took part of the site out of the green belt, secured
an access, obtained a planning permission for 700 units and sold off the site
all within 4 years. This case study demonstrates Ashfield Land’s expertise in
bringing forward development land and their ability to buy large sites without
planning permission.
The new local plan is now moving forward and the whole process of promotion
will start again on the undeveloped 330 acres.