- Options
- Single site and combined sites
- Appraisal
- Acquisition, construction costs and potential sales
- Planning considerations
- Residential floor area, underground parking and revised design
Two development approaches
The review compared the existing site and proposed scheme with a combined development incorporating an adjoining plot. The larger option would require a revised scheme and a fresh assessment of the potential residential floor area.
The comparison covered construction costs, including groundworks and underground parking, assumed apartment sale prices and separate parking-space proceeds. The central issue was the margin remaining after site acquisition and construction.
Financial assessment
Asking prices for the land were compared with the values supported by the appraisal. A subsequent pricing review challenged the anticipated apartment sales proceeds and took the financing conditions at the time into account.
For the combined option, the work also examined how the additional economic value might be allocated between the participating sites. The analysis therefore connected the development option with practical considerations for pricing and further negotiations.
Development options and acquisition pricing assessed at BSCA Invest in August 2023.