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			<title>Green Building Forum - Economic influence to a property developer</title>
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		<title>Economic influence to a property developer</title>
		<link>https://www.greenbuildingforum.co.uk/newforum/comments.php?DiscussionID=1008&amp;Focus=11189#Comment_11189</link>
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		<pubDate>Wed, 19 Dec 2007 09:14:00 +0000</pubDate>
		<author>ally.gill</author>
		<description>
			<![CDATA[I need to produce a paper on the influence of the economy on a property developer and want to look specifically at changing building standards, incorporation of green bling, provision of grants, etc.  Any pointers or input from this forum would be greatly appreciated.  Also any uk economics supply/demand help would be great, as i'm struggling to find suitable reference material.]]>
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		<title>Economic influence to a property developer</title>
		<link>https://www.greenbuildingforum.co.uk/newforum/comments.php?DiscussionID=1008&amp;Focus=11193#Comment_11193</link>
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		<pubDate>Wed, 19 Dec 2007 09:41:32 +0000</pubDate>
		<author>skywalker</author>
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			<![CDATA[The fact that they are not building properties to part l properly should give it away - could be a short paper. Property developers are about making money not building properties, that is their job. You need to look to the Peabody Trust and similar house builders for real improvements on standards and attempts to quantify added value.<br /><br />As for 'green bling' almost any develoment in the Thames Gateway you care to look at is claiming high environmental standards & there are tons of grants/funds being supplied by HMG there (majority for infrastructure). Though high environmental standards there tends to mean homogeneous manicured street scenes. Should be enough happening there to get you started.<br /><br />S.]]>
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		<title>Economic influence to a property developer</title>
		<link>https://www.greenbuildingforum.co.uk/newforum/comments.php?DiscussionID=1008&amp;Focus=11194#Comment_11194</link>
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		<pubDate>Wed, 19 Dec 2007 09:49:27 +0000</pubDate>
		<author>jon</author>
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			<![CDATA[Who do you need to produce the paper for?<br /><br />You've stumbled upon a difficult subject:  You will find it difficult to get real answers.<br /><br />As skywalker says, development is about making money.  Bling abounds.  Grants are rarely of value.  Building standards will make the production of buildings more expensive.  Development these days is largely controlled by a relatively small number of developers.]]>
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		<title>Economic influence to a property developer</title>
		<link>https://www.greenbuildingforum.co.uk/newforum/comments.php?DiscussionID=1008&amp;Focus=11195#Comment_11195</link>
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		<pubDate>Wed, 19 Dec 2007 09:55:07 +0000</pubDate>
		<author>skywalker</author>
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			<![CDATA[You could try talking to one of the big property companies like Pro Logis or Land Securities. You may get somewhere but be prepared to get fobbed off. These people are deeply sensitive to their image and defend it ferociously.<br /><br />Good luck!<br /><br />S.]]>
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		<title>Economic influence to a property developer</title>
		<link>https://www.greenbuildingforum.co.uk/newforum/comments.php?DiscussionID=1008&amp;Focus=11196#Comment_11196</link>
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		<pubDate>Wed, 19 Dec 2007 09:58:45 +0000</pubDate>
		<author>skywalker</author>
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			<![CDATA[The Thames Barrier park had an intersting economic rationale as well so you could search out the old LDDC or whatever thay are now called.]]>
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		<title>Economic influence to a property developer</title>
		<link>https://www.greenbuildingforum.co.uk/newforum/comments.php?DiscussionID=1008&amp;Focus=11201#Comment_11201</link>
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		<pubDate>Wed, 19 Dec 2007 10:50:13 +0000</pubDate>
		<author>ally.gill</author>
		<description>
			<![CDATA[Thanks for response.  Paper is for architectural design and technology course and the economics part is a distraction but i'd like to use it to address some real issues.  the fact that developers will need to up the ante to comply with increased part l spec should be a much needed kick up the arse but from economic standpoint is it feasible for them to continue building if costs increase and buyers cap their spend - if the profit margin isnt there will they go through all the hassle especially with increased hse emphasis on pursuing corporate honchos if a fatal accident occurs.  if kitchens and doors cant be fitted properly, what hope is there for a pv system, heat pumps, water recycling, etc.]]>
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		<title>Economic influence to a property developer</title>
		<link>https://www.greenbuildingforum.co.uk/newforum/comments.php?DiscussionID=1008&amp;Focus=11202#Comment_11202</link>
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		<pubDate>Wed, 19 Dec 2007 10:54:24 +0000</pubDate>
		<author>ally.gill</author>
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			<![CDATA[skywalker, could you de-acronymise LDDC]]>
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		<title>Economic influence to a property developer</title>
		<link>https://www.greenbuildingforum.co.uk/newforum/comments.php?DiscussionID=1008&amp;Focus=11204#Comment_11204</link>
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		<pubDate>Wed, 19 Dec 2007 11:27:04 +0000</pubDate>
		<author>nigel</author>
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			<![CDATA[One thing you should note is that any additional costs of developing property will normally be reflected in a reduction in the base land value.<br />Developers baulk at the extra cost because it will devalue their existing landbank.<br /><br />If government set out long term improvements in standards developers would be able to predict these increasing costs and reflect these in the price they pay for land.]]>
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		<title>Economic influence to a property developer</title>
		<link>https://www.greenbuildingforum.co.uk/newforum/comments.php?DiscussionID=1008&amp;Focus=11207#Comment_11207</link>
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		<pubDate>Wed, 19 Dec 2007 11:44:13 +0000</pubDate>
		<author>skywalker</author>
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			<![CDATA[London Docklands Development Corporation<br /><br />Generally speaking the developers only need to up the ante on one house of each type within a development as usually only the first one of each type finished is tested (so if you ever buy a brand new house ask which one was finished first!). The rest may be constructed as well but my experience (I've walked around a lot of big building sites) is that they are often 'less carefull' with the rest. Unless random testing is done (or all properties are routinely tested) on completion and say 2-3 years later (with a remedial cost penalty to the developer) it is my contention that no house (or at best a vanishingly small number of commercially built ones and the odd self build) gets to part l (as ammended) or stays there in terms of performance for more than a couple of years (if that). I hope I am wrong.]]>
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		<title>Economic influence to a property developer</title>
		<link>https://www.greenbuildingforum.co.uk/newforum/comments.php?DiscussionID=1008&amp;Focus=11209#Comment_11209</link>
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		<pubDate>Wed, 19 Dec 2007 11:47:02 +0000</pubDate>
		<author>tony</author>
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			<![CDATA[Building standards continue to fall yet statistics about them show that they seem to be rising. How is that?<br /><br />Green and sustainable issues seem have become a marketing tool without any more changes than are necessary under part l and planning rules.<br /><br />Minimum action seems the way ahead and as skywalker points out profits are their goal not good/green/sustainable homes these are merely incidental.]]>
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		<title>Economic influence to a property developer</title>
		<link>https://www.greenbuildingforum.co.uk/newforum/comments.php?DiscussionID=1008&amp;Focus=11238#Comment_11238</link>
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		<pubDate>Wed, 19 Dec 2007 18:29:35 +0000</pubDate>
		<author>Jeff</author>
		<description>
			<![CDATA[I agree with every comment made above.  I live in a modern house built in 2000.  This is the first one I have lived in that I have not built or converted for a considerable time.  It is rubbish.  The ground floor slab is damp and uneven.  There is a 3/4" step in the 1st floor where the joists are not level & they started boarding at both ends and simply put a bit of polyfilla from one level to the other where they met in the middle  They didn't bother using the tongue & groove - much of it is butt jointed.  There is a minimum of insulation in the loft. The double glazed units have failed (causing condensation) and have gaps around the edges through which wind whistles in.  None of the pipework is lagged.  There is minimal hot water flow and they installed the cheapest heating system possible which is inadequate for the house.  We get huge drafts from under the 1st floor.  I could go on for ever.  If I snagged this house it would run into pages.  Basic building standards are not met.  Insulation was obviously an afterthought that 'had to be done'.  To correct the faults would entail a complete gut and renovation.  This house was always to be a stop gap until we moved on but I have been apalled at the lack of quality.  Where are the standards?  Who inspected it?  Certified to inspect & sign off their own shoddy work is probably the answer.  Priced and sourced down to the lowest common denominator possible.  As I said in another post a few minutes ago there is no political will to put things right.  It is all about ticking boxes to show that you have 'done it' rather than 'actually doing it' - if you follow the logic.  Can't wait to get out and into my 'bungalow project' and rip it apart and do it right.]]>
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		<title>Economic influence to a property developer</title>
		<link>https://www.greenbuildingforum.co.uk/newforum/comments.php?DiscussionID=1008&amp;Focus=11239#Comment_11239</link>
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		<pubDate>Wed, 19 Dec 2007 18:54:53 +0000</pubDate>
		<author>jon</author>
		<description>
			<![CDATA[pricing<br /><br />Yes, it is feasible.  Providing that they haven't already paid for the land at current prices.  Of course, to get planning permission at all for a large development it takes many years so they will have already paid for a lot of land at current prices:  If buyers cap their spend, to compensate for more difficult times, they are most likely to wind down operations to keep their core businesses going, to land-bank what else they have and to stop buying land. This, of course, may make it a tad difficult for those councils looking for development partners to enable them to comply with their development allotments.  It is going to make it especially difficult given that most councils seem to be after higher social provisions (35%+) and increased Section 106/278/78 requirements:  <br /><br />Profit margins on the building component of development are generally quite tight.  The huge profit gains have been from the rising prices that buyers have been willing to spend on the right to occupy land for residential use:  So the profit is associated with the land and development rights rather then the building of that development:  All profits may have already been accounted for within the land value of many existing potential developments.  Rather than expanding supply, if buyers cap or lower spend limits, the industry is likely to contract further (we are already at an all-time low for supply).<br /><br />Hope this helps]]>
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		<title>Economic influence to a property developer</title>
		<link>https://www.greenbuildingforum.co.uk/newforum/comments.php?DiscussionID=1008&amp;Focus=11247#Comment_11247</link>
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		<pubDate>Wed, 19 Dec 2007 22:18:06 +0000</pubDate>
		<author>tony</author>
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			<![CDATA[But there again with such huge profits available pre/post planning permission I cant see that happening<br /><br />It is more likely that the number of bricklayers labourers is the critical controlling factor here.]]>
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		<title>Economic influence to a property developer</title>
		<link>https://www.greenbuildingforum.co.uk/newforum/comments.php?DiscussionID=1008&amp;Focus=11250#Comment_11250</link>
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		<pubDate>Thu, 20 Dec 2007 00:37:47 +0000</pubDate>
		<author>ally.gill</author>
		<description>
			<![CDATA[supply side availability of resources tony - i like it.  so essentially we're talking about a smorgasboard of micro supply/demand relationships for labour, land, materials, council backhanders (oops).  The '..green property train' article in grnbldng mag winter 07 indicates the demand is there citing greenmoves.com 6000 visitors a month to look at just 50 available properties.  <br />regarding pre/post planning profits on land value i thought thats where the council gets in for their section 106 payments for infrastructure.  (<a href="http://www.communities.gov.uk/planningandbuilding/planning/planningpolicyimplementation/planningobligations/" target="_self" rel="nofollow">http://www.communities.gov.uk/planningandbuilding/planning/planningpolicyimplementation/planningobligations/</a>)<br /><br />so a region specific developer is predominantly going to be influenced by councils local development plans:  (<a href="http://www.communities.gov.uk/planningandbuilding/planning/regionallocal/" target="_self" rel="nofollow">http://www.communities.gov.uk/planningandbuilding/planning/regionallocal/</a>)<br />availability of local labour force, housing demand and buyers energy performance awareness, quality certification standard check-ups across all/random properties, technologies will be specified based on most efficient 'supply cost/bling credits' ratio, performance will be a side issue (similar to door hardware, undersized boilers, dg windows (thats for you jeff), floor finishes)]]>
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		<title>Economic influence to a property developer</title>
		<link>https://www.greenbuildingforum.co.uk/newforum/comments.php?DiscussionID=1008&amp;Focus=11255#Comment_11255</link>
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		<pubDate>Thu, 20 Dec 2007 08:48:09 +0000</pubDate>
		<author>jon</author>
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			<![CDATA[Maybe Tony, but the proviso was if buyers imposed a cap.  If buyers do not impose a cap then it's a supply side issue.]]>
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		<title>Economic influence to a property developer</title>
		<link>https://www.greenbuildingforum.co.uk/newforum/comments.php?DiscussionID=1008&amp;Focus=11256#Comment_11256</link>
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		<pubDate>Thu, 20 Dec 2007 08:56:10 +0000</pubDate>
		<author>tony</author>
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			<![CDATA[Do buyers have the collective power to impose a cap??]]>
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		<title>Economic influence to a property developer</title>
		<link>https://www.greenbuildingforum.co.uk/newforum/comments.php?DiscussionID=1008&amp;Focus=11257#Comment_11257</link>
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		<pubDate>Thu, 20 Dec 2007 09:03:14 +0000</pubDate>
		<author>jon</author>
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			<![CDATA[Buyers seem to be imposing a cap right now relative to trend.  Perhaps their resolve will weaken come the spring?  It should be interesting:  The changes in CGT will mean that many sellers, particularly of BTL properties, may hold off going to market until March/April.  If the buyers resolve has not weakened by then, we may see a cap effectively being introduced.]]>
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