PROPERTY MAGAZINE
IAN DOUGLAS
A NEW HOTEL IN EASTBOURNE CREATED FROM A QANDOR COLLABORATION
WITCOMBE PLACE
ANDY EDWARDS SHARES AN EXCLUSIVE CASE STUDY ON THE PROPERTY ISSUE NO. 15 | JULY 2021
IN THIS ISSUE
THE FORMALITIES
04
FOREWORD A letter from our Founder, Matt Siddell
HERITAGE
06 THE INCREDIBLE CHILHAM CASTLE By Emma Morby
PROPERTY
10 POST-PANDEMIC LIVING
Cover featuring Ian Douglas, founder of Port Hotels. who tells the behind-the-scenes of the recently opened Port Hotel Eastbourne on p. 22.
ISSUE NO. 15
By Dicky Lewis
INTERIORS
12 DARE WE MUTTER DECLUTTER By Debbie Robinson
CASE STUDIES
SUSTAINABILITY
14 CASE STUDY: ARTISTS STUDIOS
40 SWEATING IT OUT: THE OVERHEATING
By Alan Waxman
HEADACHE By Doug Johnson
18 CASE STUDY: WITCOMBE PLACE By Andy Edwards
CROWFUNDING
44 HOW THE CONVERSION OF AN OLD COVER STORY
SHOE FACTORY CAME TOGETHER
22 THE TRIAL AND TRIUMPH OF PORT
By Paul Watson
HOTEL EASTBOURNE Q&A with Ian Douglas
SDLT
46 THE HISTORY OF STAMP DUTY By Chris Ward
MORTGAGES
50 HOLIDAY LET MORTGAGES DEVELOPMENT
32 NEW PERMITTED DEVELOPMENT RIGHTS By Mike Bristow
CONSTRUCTION
36 7 TIPS FOR AVOIDING CONSTRUCTION DELAYS By David Lawrence
By Lee Langley
Qandor Founder Matthew Siddell Partner, Head of Content & Marketing George Le Roux Managing Editor of Qandor Property Magazine Gabrielle Winandy QANDOR TEAM Partner, Head of Membership Simon Podd Videographer James Evans For editorial and advertising enquiries, please email: magazine@qandor.org Visit our website: www.qandor.org Contributors Alan Waxman Andy Edwards Chris Ward David Lawrence Debbie Robinson Dicky Lewis Doug Johnson Emma Morby Ian Douglas Lee Langley Mike Bristow Paul Watson
Legal Qandor Ltd does not endorse any of the members or contributors to this publication. Always seek your own independent advice prior to investing or agreeing terms of business.
004 – Qandor – Issue No. 11
QANDOR COLLABORATION I’m very excited to share with you a truly fantastic Qandor collaboration in this month’s issue of the magazine. Ian Douglas and Peter Cadwallader met via the club in 2018 and formed Port Hotels. They have just opened their first hotel in Eastbourne and it’s an absolute beauty, which is why it has been nominated for two awards already. When we launched Qandor in 2017, the collaborations began immediately at the very first event, but the stories and images naturally took time to materialise. To date, many collaborations have been formed and we look forward to showcasing more of these exciting projects over the coming months. In his article on pg. 22, Ian discusses his project in detail and talks about the challenges he overcame amid Brexit and a global pandemic, to successfully complete the refurbishment and open his hotel. Other noteworthy articles for you this month include the article by Mike Bristow, CEO of CrowdProperty, who discusses his post- COVID-19 view of implications and opportunities for property developers on page 32. Don’t miss it. On that subject, it’s been a long time coming and I hope this month marks the beginning of the end of the restrictions that have limited the amount of facetime we can enjoy – actual facetime, not the virtual variety. Looking back over the last 18 months, I cannot say it was easy, but the team and I pushed forwards, upskilled, rolled with the punches and recruited something in the order of 80 new members to our network. Commencing with the Qandor Summer Party on 22nd July, with the restrictions out of the way, we look forward to meeting up with everyone and starting the next chapter of Qandor’s life. Thank you to all our wonderful members for the continued support. We look forward to supporting you with 2020 and 2021 in the rearview mirror! Matt Siddell Founder
JOIN
®
Qandor.
TODAY!
REQUEST A PROSPECTUS
Q. ONLINE We have adapted the club to reflect the current climate by taking all of our meetings, workshops and guest speaker events online. Through a series of regular members-only meetings, we continue to share informative and relevant content tailored to assist you and your business through these difficult times
PREVIOUS GUEST SPEAKERS
JAMIE WALLER
JAMIL QURESHI
NICHOLAS COWELL
Founder of JBW Group
Peak performance
Developer, Investor and
and author of
psyschologist and
Founder of Cowell Group
‘Unsexy Business’
investor
WWW.QANDOR.ORG
HERITAGE PROPERTY
THE INCREDIBLE CHILHAM CASTLE EMMA MORBY Director of Land Acquisition Heritage England www.heritageengland.co.uk
Chilham Castle is a Grade I listed castle in the heart of Kent and is one of the most beautiful houses and estates in the southeast of England. Built by Sir Dudley Digges, Chilham Castle is steeped in history. Originally built in 709 AD as a fortress by Wihtred King of Kent, it has been the seat of several kings over the intervening years – including Saint Louis King of France, King Edward I, King Edward II and King Henry VIII – and 006 – Qandor – Issue No. 15
as such commands a high price tag. It is architecturally outstanding and comes with 16 bedrooms, 12 bathrooms, and 13 living rooms. More recently it was purchased in 2002 by Stuart and Tessa Wheeler, who are the current owners. Stuart Wheeler sadly died in July 2020 and it was decided to put the castle up for sale. As soon as you drive through the front gate, flanked by the entrance lodges, you get a glimpse of Chilham Castle and realise you are in the grounds of something very special. The
castle is centred in the middle of a 300-acre estate and has beautifully manicured gardens, a number of terraces, a large kitchen garden and overlooks amazing views of historic
parkland. The castle is around 33,000 sq ft and has a range of impressive rooms such as formal reception rooms including the morning
Issue No. 15 – Qandor – 007
room, library, study, card room and dining room, along with kitchen, family areas, domestic offices and the striking 1920s marble indoor swimming pool. The first and second floor have a number of large bedrooms and bathrooms all with beautifully restored original features, such as large open fireplaces and wood panelling. There is also a 2-bedroom staff flat, extensive domestic offices, large cellars and additional property and outbuildings scattered throughout the grounds. Below the kitchen garden are the two
008 – Qandor – Issue No. 15
Astroturf tennis courts set at 90° to each other to allow play regardless of the position of the sun. Beyond the tennis courts is a lovely arboretum-like walk and former rockery which leads down to a large 3-acre lake with a boathouse and former cricket pitch adjacent. From the lake, there are breathtaking views back up to the castle with the Taittingerplanted vineyard below the terraces. To the west of the castle is the U-shaped stable block with outdoor flood lit manège. Chilham Castle is a truly magnificent property in a landscape of extraordinary beauty, but with all this beauty comes a price
tag to match. At just a touch over £15,000,000, this unique, breathtaking property and its estate could be yours! Q.
Issue No. 15 – Qandor – 009
ARCHITECTURE
POST-PANDEMIC LIVING. DICKY LEWIS Architect and Director White Red Architects www.whitered.co.uk
As we look to a near future of a postpandemic landscape, residential developments are at the forefront of change. Landlords and developers are looking to understand what the future of living will mean for their developments. Even omitting the impact of coronavirus, residential development has been at the forefront of a variety of controversies. Starting with the ever-expanding housing shortage, it’s clear that there is an urgent demand for residential development to pick up momentum in response. Post-Grenfell cladding issues that are clouding new developments seem
010 – Qandor – Issue No. 15
to be a long way from being resolved and have created a large amount of uncertainty, impacting progress. Rising ground rents may be a consequence of the cladding debacle but also can be symptomatic of poorly considered new build developments. The recent requirements for the majority of us to ‘work from home’ has meant that the time we have spent looking at our own four walls has enabled us to have some serious contemplation on the quality of space within which people are living. A major consequence has been the fact that work and living are now inextricably linked. Dedicated spaces for working from home can’t be overlooked in future developments. Whilst the shrewdest of
developers often look to maximise the efficiency of development, it would be amiss to overlook the provision of sufficient space to ‘WFH’ for a development to be attractive to residents. 21% of households in London are without outdoor space. The green parks of London have been a saviour for the city dwellers during the lockdown. This has put amenity and community space at the forefront of development and will play a key selling point for developments. As a practice, we have benefited from designing residential developments during one of the most disruptive and challenging years. This has positively influenced our approach to designing spaces. A recent project that we have designed in Luton takes into consideration the way in which residents live and work within the development and ensures that the scheme isn’t just perceived as a London commuter
block. The design aims to be suitable for a wide demographic such as families, first-time buyers and renters, set within an environment that has significant amenity space enabling a community to be created. Ensuring quality of design means that green spaces are thoughtfully designed and not value engineered later down the line. Cladding must respond to the identity of the development and be true to materiality and sustainability whilst technically ensuring fire compliance. It’s now more important than ever that new residential developments in the postpandemic world take lessons from it and adapt in order to progress. Most commercial sectors have been forced to innovate in response to the pandemic; however, residential remains complicated and continues to determine what solutions are available and suitable. Q.
Issue No. 15 – Qandor – 011
PROPERTY
DARE WE MUTTER DECLUTTER DEBBIE ROBINSON Managing Director House to Move www.house2home.uk
Never before have we spent so much time at home. In these slightly surreal times, our homes have become our personal sanctuaries. But with more time spent in the comfort of our own home, there is less opportunity to take a step back and really see what could be making our postlockdown life that little bit harder. For a living, I project manage people’s house moves and as part of that process, I 012 – Qandor – Issue No. 15
arrange personal storage and declutter before we even get the removal quotes in. One of the most important and underestimated stages of any move process is the thinning out and reevaluating of all of the things in your home before you move. I find my clients often put in the initial call because they don’t know where to start. It can be a bit of a mental hurdle. But I promise, once you make that first breakthrough, decluttering can become quite addictive. You’ve heard the expression about never keeping anything that isn’t of
use or not aesthetically pleasing (I can feel a few husbands shuffling awkwardly in their chairs). Well, I believe in that. I also believe that hoarding and untidiness can impact your mental wellbeing. And, of course, if you’re buying a new home, the last thing you want to do is to move all that excess with you. If for no other reason, who wants to pay more moving costs to have unwanted items moved from one place to the next! If you’re feeling inspired to have a go, here are my top tips to get you started. First off, Rome wasn’t built in a day. Take it easy. Be kind to yourself and tackle categories one at a time rather than the whole house in one. Take absolutely everything out of the space you’re organising, take a deep breath and don’t panic at what will no doubt look like utter chaos! Trust me; this how it’s supposed to look... This is good! Create groups of things by placing items together, then go through each group and put everything in either yes, no or unsure piles. Have a plan of what to do with the items in the no pile and take them out of the house as soon as possible. You can sell or simply give them away for free as a recycling / upcycling option. The other option is the tip. It takes a
brave person to simply ‘get rid of stuff ’ but afterwards you’ll feel like a weight has been lifted. If you don’t, the items have a cheeky way of working their way back into the cupboards! Organise the yes piles in your cupboards, buying storage containers if necessary to help keep them neat and tidy. This is a great time to really store your things properly so that you keep control over what you have and where it is. Use labels, labels and more labels... so everything has a home and can easily be found and stored away again. Put the unsure pile somewhere out of sight and if you don’t miss the items, they will naturally work their way out of the house. Or maybe give them a little push! TOP TIP: Think about replacing excess furniture with plants. Bringing the outside inside can really help. It’s a cheap way to improve air quality within your home. I have at least three in every room and understand they can remove toxins from the environment. I have read that nature benefits our mental health too – and can lift our mood (we could all do with a bit of that right now). Q.
Issue No. 15 – Qandor – 013
CASE STUDY
CASE STUDY: ARTISTS STUDIOS ALAN WAXMAN Founder and CEO Landmass www.landmass.co.uk
Built in 1878 as former artists studios and being Mews in style only – having no equine history –, the two-storey properties, which have a GDV of £4.2 million, have plain or painted brickwork facades with a mixture of different roof styles, surrounded by a paved surface. The owner of this particular property, located in Kensington, approached us with one main goal – to transform the current basement from a big bachelor party room to
014 – Qandor – Issue No. 15
a family-friendly space. The requests for the proposal were simple: a master bedroom, an en-suite, a walk-in wardrobe and, above all, storage! Our proposed layout made sure that every inch of the basement had a purpose and wasn’t being wasted. We kept, re-located and re-purposed what we could and heavily concentrated on making the space bright and airy – since the basements tend to have very limited natural light. The biggest challenge was getting the massive marble sheets for the master bathroom down the stairs into the basement. The entry hall and the stairs had quite a
manoeuvre – they were put back together at the end, of course! A lesson to take from this is that sometimes, if the logistics are too complicated, then certain materials aren’t worth the grief – narrow turnaround area. We ended up taking no matter how amazing they are. apart a set of built-in wardrobes to help us This refurbishment project took two
Issue No. 15 – Qandor – 015
years to complete. The total cost of the refurbishment was £190,000 +VAT. Some supplies who are worth a mention: Crosswater (bathroom fixtures), Villeroy & Boch (sanitary ceramics), Egger (wood effect finish on joinery) and Phillip Jeffries (wallpaper). Q.
For a free consultation, contact me at alan@landmass.co.uk
016 – Qandor – Issue No. 15
We work collaboratively with developers and their architects at any stage of a project to guarantee optimised and low-energy compliant buildings at minimal cost. We’re with you every step of the way.
Planning approval
Avoid surprises
You’ll have a greater chance of being granted planning permission as a result of the sustainability criteria being thoroughly addressed
You’ll avoid surprises that ensure the smooth design, build and completion of low-energy commercial developments
You’ll have an increased
You’ll increase desirability for
design and knowledge of the local planning compliance framework
low energy and low running cost solutions for occupants
Visit mesh-energy.com for more information or call 01420 481573 or email info@mesh-energy.com to discuss your project
CASE STUDY
CASE STUDY: WITCOMBE PLACE ANDY EDWARDS Director Upper Langley Group www.upperlangley.com
As a Chartered Engineer with 35 years’ experience in design and construction of commercial and industrial projects throughout the UK, I started developing my own projects in 2015. After a successful conversion of a grade 2 pub to 8-bed HMO, we went on to complete a £1.44M development of residential properties in 2018. We are now looking to acquire and develop housing sites in the Midlands area with an ideal range of 15-25 properties.
018 – Qandor – Issue No. 15
As a result of a discussion with our commercial agent, we secured a brownfield town centre site in Cheltenham in August 2016. The site had formerly accommodated both a pub and garage, but following demolition of the buildings, had been a surface carpark for the past few years. The site already had planning consent for three 3-storey townhouses plus a ground floor apartment with basement, but this was amended to omit the basement and revise some of the external detailing. The building design provided a modern twist to the existing terraced properties in the street.
The site was extremely constrained with no space for storage of materials, so an adjacent local authority car park was leased for six months to assist with logistics. The project was designed with fully piled foundations, structural slab, traditional brick/block construction and aluminium doors and windows. The fitout included Howden kitchens c/w Bosch equipment, Worcester Bosch boilers and hot water cylinders plus low-energy down lights. The works were tendered and finally awarded to a local contractor with a good reputation, with a January 2017 start date. Works progressed well initially, but began to slow in summer 2017 and unfortunately the contractor ceased trading in January
2018. We opted to employ our own site manager and find subcontractors willing to take on a part-complete project. This was a particularly challenging period but the houses were finally completed in June 2018, although there were further delays resulting from the collapse of Alpha Insurance, our 10-year structural warranty provider (CRL Ltd), delaying the building control sign off.
Issue No. 15 – Qandor – 019
“We used a mix of Director equity and HNW investment to fund the land purchase and construction.”
020 – Qandor – Issue No. 15
The project costs are summarised below:
“The project was
Land purchase....................................£320,000 Professional fees, including legals.....£92,200 Construction costs............................£770,800 Finance charges...................................£75,600 Total project cost...........................£1,258,600 End valuation.................................£1,440,000 Profit after finance.................................£181,400 Profit on cost............................................14.4%
extremely challenging at times, but with the support of the right team including investors, problems can be overcome.”
What did we learn? The project was fully designed by a professional team of consultants and then tendered to three local principal contractors. The Architect also undertook the principal designer role and administered the contract with ongoing site supervision. Since the Contractor was very poor in recording details and processing project documentation, future projects will be administered by ourselves using a construction management approach, without all ‘eggs in one basket’. The Architect chose to include a number of unique design features, such as cantilevered projections with extensive steelwork structures, large flat roofs, decking with glass balustrading and extensive use of aluminium caping and rainwater goods. All of these features resulted in building complexity and higher cost, which added no value to a rental property. We should have been a lot stronger with the Architectural team and kept the design simple with traditional materials. The utility services were all within 20 metres of the site, yet the gas supplies took
more than 10 months from initial order to installation. It is imperative to engage with utility providers at the earliest opportunity to minimise delays. We used a mix of Director equity and HNW investment to fund the land purchase and construction. This proved to be a huge benefit when the project overran by six months. From the outset of the project, we provided monthly updates to our investors, fully detailing our concerns over timescale, which allowed us to have some open and frank discussions when deciding to complete the project ourselves. The project was extremely challenging at times, but with the support of the right team including investors, problems can be overcome. The properties have been retained in our rental portfolio and continue to provide healthy returns. The use of a virtual staging company allowed us to generate fantastic images at a cost of £60/image, which have been used to good effect when securing new tenants. Q.
Issue No. 15 – Qandor – 021
COVER STORY
THE TRIAL AND TRIUMPH OF PORT HOTEL EASTBOURNE IAN DOUGLAS Founder and chairman Port Hotels www.porthotel.co.uk
The list of world-known landmarks developed by property developer Ian Douglas is astonishing: Atlantis, The Palm in Dubai; Cape Town International Convention Centre in South Af rica; the Singapore Sentosa Integrated Resort; and, most recently, the Port Hotel in the United Kingdom. In this exclusive Q&A, Ian Douglas describes his latest project in more detail and shares about his professional journey so far. 022 – Qandor – Issue No. 15
How did this project come about? My (now) business partner Peter Cadwallader and I were both early members of Quorum, which subsequently became Qandor. In 2018, Peter approached me at a Qandor meeting and asked me what I thought about the UK seaside hotel offering. I told him I had no idea, as I had never stayed in a UK seaside hotel other than one trip to Brighton sometime in the 10 years I had been living in the UK. He put it to me that he thought there was an opportunity to take unloved seaside buildings and add value to these through
Issue IssueNo. No.15 15––Qandor Qandor––xxx 023
a great believer in brands and the power of a ‘time-relevant’ brand, and we thus went to a branding guru – Liv Knight – of the company Patchworks to help us with the brand. After an efficient process to understand where we thought the market was headed and aligning this with our objectives, Port Hotels was conceptualised. Peter’s development experience with Uplift (his previous company) stood us in good stead, although I think Peter changed his approach as a business owner to getting things done far more economically and he was fantastic at squeezing every last bit of value from the subcontractors that he managed on the substantial building refurb What were the inspirations for the interiors of the hotel? The brand conceptualisation process the re-development and subsequent hotel offering. Peter and I started looking for a property and I began to get a better understanding of what was currently on offer. We found an abandoned hotel in Eastbourne and the fit was great for what we thought we wanted to do. At that time, Peter was advocating a minimum service – highly-automated – hotel. I was concerned about this, as I did not think that people going to the seaside wanted to interact primarily with technology (rather than real people) in their experience. It was an interesting discussion. We worked through it and decided that the proposition of developing an ‘affordable luxury’, design-led, seaside hotel offering with strong F&B was the way forward. I am
024 – Qandor – Issue No. 15
determined the palette of the hotel, where the sea-facing parts of the property are inspired by the colours of the beach and the coastal weather, so sandy, pink, and stone tones. The colours of the town-facing rooms link to the Sussex downs, so tones of green. Port is a bit like an entrepreneurial family business, however, so we asked my (life) partner Imraan Ismail to work on the interiors. He is a published architectural interior designer, so it was great to work with him on this, our first project together. Imraan took the brand concept as inspiration but developed this further in a highly creative way and this has been rewarded by the project being shortlisted in The International Hotel and Property Awards in the ‘hotel under 50 rooms’ category, along with three other properties. Voting for this prestigious international award is live at the moment,
Ian Douglas and his business partner, Peter Cadwallader
so we hold thumbs that Port is recognised further by winning the award in September this year. What was your favourite part in the project, and why? A couple of things, really. Firstly, I took specific responsibility for the planting and tried to create real ‘curb appeal’ for the hotel. I am a big believer in curb appeal and ‘getting noticed’. We decided to colour the exterior beach-facing façade of the building a dark charcoal / black colour and then combined this with substantial planting to both give our customers a beautifully planted entrance and front terrace and to also have the hotel resonate with our target customer, whom we think we have identified as someone (a couple) in their 30s who are looking to escape their urban environment (rented flat Issue No. 15 – Qandor – 025
in somewhere like Balham or Battersea) and city life and get back to the sea and nature to ‘escape, connect and create’. I personally prepared and planted the vast majority of the plants at Port and also developed a large herb garden in the backyard, so our kitchen has access to fresh herbs right outside their door. The deep green of the plants is great against the dark masculine exterior, and I used wild grasses and indigenous seaside plants to create a haven and improve the privacy of our lower rooms. The other aspect of the project that I really enjoyed was working with our very talented chefs to develop the F&B concept and offering. I cannot claim to have led this as our Head Chef Alex really did this, but it was great fun to counsel him and his outstanding colleague Mani on what we thought worked and what didn’t (although there was not
026 – Qandor – Issue No. 15
much in this second category). We also all enjoyed working on the wine, beer, spirits and cocktail offering (with a little obligatory tasting involved). Our coastal restaurant offers Sussexsourced meats, eggs and vegetables, freshfrom-the-harbour seafood, regional cheeses, and award-winning English wines and spirits. The provenance of our food is within 30 miles of the property, thus supporting and celebrating Sussex’s local suppliers, who are some of the most inspiring artisan producers out there. Our location also means we’re surrounded by award-winning artisan breweries, wineries and distilleries – the best of Sussex and its surroundings. It’s also always exciting for me to work with energised staff to provide a flawless experience for our guests. Since 2000, my hotel career was at the C-suite level of the industry and, to be honest, I have loved Issue No. 15 – Qandor – 027
getting back to the coal front and working on was provided by us, and no bank financing a startup where my own capital is deployed. was involved at all. This turned out to be a major blessing What were the biggest challenges when COVID struck as we were not beholden you faced in this project, and how to any bank and thus were able to continue did you overcome them? with our plan without any further issues there. Obviously, the pandemic has been a tough Obviously, as we grow the company from this one. I am just grateful that we were not open first hotel to, say, six or nine properties in the during the height of COVID and lockdown next eight years, we will bring in external and were rather building at that time. This capital, be this from banks or other sources, obviously caused great challenges with the but I’m just grateful that (more by accident building process and Peter was the man on than design), we did not have them in this the ground who had to deal with this. first unpredictable chapter of our story. In The other challenge was financing and contrast, the local Council and indeed the the time we frankly wasted with the banks. Government have done their bit and we For various reasons, we did not find the received certain grant funding which helped financing that we wanted and could not get get us through the storm. any bank to give us debt in an acceptable form (without PGs, etc.), so my brother (Clive from What lessons do you take away SA) and I decided to loan the capital for the from this project? project, alongside the equity that Peter, Clive I think the most important lesson – which is and I had invested. So the entire capital stack an obvious one – is that you need to have a 028 – Qandor – Issue No. 15
very clear idea of what you are trying to do and whom you are trying to serve / target. Having the branding work done was essential in formulating the proposition and we then had a ‘direction of travel’ that we could expand on and mould accordingly. The other lesson is that you need to try and spot the trends and ‘societal influences’ as these take hold and try capitalise on these. This sounds pretentious, I know, but I don’t mean it that way. Brexit was decided in mid-2016 and while I am very anti-Brexit and believe it will be a major mistake for the UK for many years to come, it very clearly signals an ‘inward-looking and xenophobic position’ which we felt might translate into UK folks staying at home and hunkering down in the UK. This trend, coupled with the totally unpredictable COVID pandemic, was the ‘perfect storm’ to boost ‘staycation seaside holidays’. Time will tell if this is right, but it seems to be the case, even though the
summer weather has been rather British since lockdown eased a bit. The third lesson is that ‘social media is the key’. Neither Peter nor I are any good at this stuff (I suspect I am too old already), but it is so important for the market we are targeting and essentially important for all markets today. We have found a wonderful resource to help us with this and are gaining real tractions with the posts, stories, influencers, followers, likes and (sometimes even) loves we are getting. At the same time, one needs to recognise that everyone has instant access to this new form of commentary and adjudication and maintaining reputation is hard and requires immediate reactions every day. What’s next for the hotel? For Port Eastbourne, we are working on how to fill the property and restaurant on a Monday to Wednesday. These are the challenging days and filling the rooms requires innovative
Issue No. 15 – Qandor – 029
packaging, marketing, revenue management and distribution. We’re still learning that! Filling the restaurant requires that we partner with the local community in things that attract and serve them, so we are not perceived as the hotel for the people from London. It’s dynamic and great fun and totally dependent on the staff who really drive the experience. On the company, its about finding sites that work for our brand and about securing these at viable prices and then converting these buildings into properties that work with the brand and deliver asset value through the redevelopment process. This is what Peter will be focussed on every day (with my support) as soon as we get Port Eastbourne working soundly. Tell us a little bit about your career and how you got where you are today. I have been very fortunate really. My parents were super generous and I studied for seven years (at different times) getting a legal degree, an MA (PPE) and an MBA. I then worked for one of the largest South African conglomerates that dominated the leisure, shipping and travel sectors, serving as the EA to the Executive Chairman. It was through this company that I met Sol Kerzner, as the company was the major shareholder with Sol of Sun International /
030 – Qandor – Issue No. 15
Kerzner International. I worked directly for him for 10 years and a further eight in the company – always on the development side of the business, but also with substantial involvement and oversight on the operations of the business. When Sol retired in 2016, I decided it was time to try do some stuff for myself and have loved the last six years where I have formed my own consultancy, Port Hotels: a branded hotel development company and a property development company. They’re all pretty entrepreneurial little businesses and so different to the corporate role I played previously.
What would you say is the biggest achievement of your career? Difficult to say, really, but I loved the Cape Town International Convention Centre Company, which was really my ‘baby’. I was the CEO and formed the company from scratch, working with the Provincial and City Government in Cape Town to develop South Africa’s leading convention centre project. The project was not the largest I worked on in terms of capex, but was a 35,000m2 building with a 480-key hotel. I really enjoyed the startup nature of this project, combined with the public sector partnership. It was also great doing something that was so good for the regional economy, creating loads of jobs and tourism-related promise in a place that so badly needed this stimulus. I was rewarded by being awarded the highest Government honour, presented to me by the Governor of the Western Cape Province (The Order of the Disa).
What advice would you give for property developers starting on their journey now? It’s all about having a clear vision that aligns with a market and then about managing the performance of the people tasked with delivering that (whether your own people or hired guns) and understanding cash-flow. That’s the most important thing, in my view. What or who inspires you? Good people, great design, genuine hospitality and the quest for ‘la dolce vita’. Is there anything else you would like to add? Thank you, Matt Siddell, for starting Qandor, as I think it’s a great club and was the start of this Port Hotel business for me. Q.
Issue No. 15 – Qandor – 031
PLANNING
NEW PERMITTED DEVELOPMENT RIGHTS. MICHAEL BRISTOW CEO & Co-founder CrowdProperty www.crowdproperty.com
In this article, Mike Bristow, CEO of CrowdProperty, steps back from the barrage of permitted development rights (PDR) changes to pull together a top-level postCOVID-19 view of implications and opportunities for property developers. The increase in online shopping over the years has thrown the future of the high street into question. With the forced closure of shops due to the coronavirus pandemic, this has further taken its toll on the state of the UK high street. In an attempt to capitalise on the growing number of vacant commercial 032 – Qandor – Issue No. 15
buildings, the Ministry of Housing, Communities & Local Government announced a consultation outlining proposals for the introduction of new permitted development rights (Class MA) for premises falling within Use Class E. It was announced on 31st March that sites falling into this category will be alleviated from planning permission to convert to residential use. This follows several other changes introduced by the government this year in order to reshape the planning system, bring certainty to the planning process and support the “build, build, build” initiative. The impact of the pandemic has seen businesses move online, leaving an oversupply of vacant
commercial properties. The proposed rights would enable SME developers to repurpose these buildings, thereby supplying more homes and contributing to economic recovery. In order to prevent a development free for all, the sites must be under 1500m2, must have been commercial for two years prior and must be vacant for at least three months. They also cannot be used as an HMO (House of Multiple Occupation) and must be for residential use only. Furthermore, local authorities can designate areas where PDR is restricted under Article 4 of the new legislation – typically used to protect an area due to historical importance. Other exclusions include whether the site falls within Article 2(3) land (i.e. AONB, the Broads or National Parks), a SSSI or listed building. The changes will not come into effect until 1st August 2021; however, data from LandTech has highlighted that throughout the month of April, immediately following PDR announcement, searches on their databases for eatery sites to be converted to residential use rose by 575%. Searches for financial and professional services units for residential conversions rose to 696.6% demonstrating that developers are keen to take advantage of this opportunity. Some argue that the high streets are ideal for residential development compared to offices, as being located in towns and cities is a highly desirable location, being close to shops and restaurants. Consequently, this could create a new lease of life for the high street as more people living locally will cause an
influx of potential customers. The increase in demand will mean the high street is no longer a 9am-5pm economy as the footfall will continue into the evening as bars and restaurants remain open. The ever-growing concern is the country’s need for more housing as estimates now suggest that the UK needs to build 345,000 new homes every year. Considering this, LandTech calculates that presently there are c.800,000 high street units that fall into the appropriate size for conversion in the UK which will facilitate greatly the government’s “build, build, build” initiative. Naturally with any legislation that proposes drastic changes, there will always be an element of controversy. Councils are arguing that more should be done to preserve the high street as it’s necessary for towns to have an economic centre. By removing the planning permission originally required to convert these buildings, there is apprehension among organisations such as Royal Town Planning Institute (RTPI), the Royal Institute of British Architects (RIBA), the Chartered Institute of Builders (CIOB) and the Royal Institute of Chartered Surveyors (RICS)
Issue No. 15 – Qandor – 033
that without official oversight runs the risk of creating poor quality housing. Whilst these permitted changes remove the hassle of applying for planning permission for conversion, they will be required to go through the Prior Approval process, a shorter planning process (just 56 days typically) meaning that if they are granted, they are capable of meeting the requirements of the permitted development legislation and work can commence, typically within three years from the Prior Approval being granted. Considering all the controversy, the country needs more housing and these proposed changes could go some way in helping solve this issue. At CrowdProperty, we have funded many commercial to
034 – Qandor – Issue No. 15
residential builds across the UK including offices to residential, care homes to residential and even former chapels to residential. Our deep, hands-on asset class expertise, offering property finance by property people, ensures that we are best placed to assist in all enquiries of this nature, and our team has recently been bolstered by the appointment of a qualified Town Planner to add further deep expertise to our proposition. Q.
Find out more about funding your projects better and growing your property business faster and more profitably at www.crowdproperty.com/apply.
!"#$%&'(
booking projects “we’re into February 2021 and beyond, get in touch and start Living! Luke Crutcher - Director
We use science to design your perfect space! We’ve won yet another award for our cinema rooms! We’re not blowing our own trumpet here (well, we are) but we’ve beaten all of the compeition again! Why not experience one of our cinemas for yourself at our Essex or Dorset showrooms? Our Dolby Atmos 4K rooms will blow you away. We’ve started our waiting list for 2021 projects, so now is the time get your name down!
”
CONSTRUCTION
7 TIPS FOR AVOIDING CONSTRUCTION DELAYS JAN TORE GRINDHEIM Founder, Co-Owner and CEO Fonn Construction www.fonn.io DAVID LAWRENCE Vice President Fonn Construction
Mention construction delays to anyone in the industry and you’ll hear endless stories of projects which run on for weeks, months and years over schedule. Construction delays are so common that, according to McKinsey Global Institute, 77% of projects are behind schedule.
036 – Qandor – Issue No. 15
In each construction project, there are so many moving parts, not least the individuals involved in working to complete a project. With so many variables, it’s easy to understand how even the smallest change can negatively impact a project schedule. Furthermore, delays often mean additional fines and fees, which can eat into the margin, affect your reputation and ultimately lose clients. Although delays are common, not
one person benefits from them. Delays are extremely costly. While some elements of a delay may be out of a worker’s control, i.e., the weather and natural disasters or global pandemics, there are other types of delays that can be controlled to a certain degree to avoid high costs and time issues. Project controls are no guarantee against costly delays but will drastically decrease the likelihood of them occurring. So, what are the most common construction delays that hold up a project? Areas outside of the project’s control Factors like the weather are known as excusable delays. Non-excusable ones are areas that construction workers, project managers, subcontractors need to take some accountability for. These may include poor planning, bad workmanship, faulty equipment and subcontractors failing to meet deadlines. Changes to project scope Unexpected changes to scope can have a real negative impact. This can be down to the poor scheduling of tasks and an unrealistic expectation of how long things take. When inaccuracy exists from the beginning, it can be very hard to catch up or to make the right level of changes to get the project done in the time it was estimated. Codes and building regulations Make sure that any new or existing regulations are factored in from the start to avoid any unnecessary delays. Without comprehensive knowledge of relevant rules and regulations, cutting corners to speed the project up could increase any delay.
Finance and budget Financing is another common need that can be addressed at the start of the planning phase. Sometimes it can be that a project is partially funded upfront, so careful planning and tender processes throughout the project life cycle are key to keeping your end budget goal on target. Staff level balance Making sure you get the right number of staff is key. Too few and you fall behind on delivery and too many could push your budget over the edge. Plan for extra workers; consider a backup team. Be clear on your company’s limitations – don’t commit to work if you know you will not have the staff levels required. Best staff for the job Making sure you have the right skill sets on a job is key. You must carefully define these and provide a training platform for all staff. A software that can track productivity is key to monitor this. Having a good project is paramount, and I personally suggest getting them involved as early as possible. Whilst this might have a short-term cost, the benefits are worth the expense. Communication Provide a platform that allows all project staff to communicate and update on areas they are responsible for. Having everything in one place helps manage updates to clients and also provides outputs for the areas that may be falling behind. Clear and consistent communication is key to successful delivery.
Issue No. 15 – Qandor – 037
Although projects seem to be delayed more often than they’re not, construction professionals should be aware of the varying degrees of delays and their causes to avoid as many of them as possible. Some construction delays simply cannot be avoided, but the damage they cause can often be mitigated with proper planning, communication and software applications. When construction companies are prepared, delays become shorter and less frequent, helping them stay on time and budget. In turn, the more successful and on-time your project is, your ROI increases and your company now has more time and resources
038 – Qandor – Issue No. 15
to win more work. So how can we encompass all of the above to make things better for the areas you can control regarding delays? Q. Fonn is a unified construction management software solution that increases productivity through streamlined collaboration. A web application in the off ice and a mobile app on-site, Fonn is ideal for construction projects of all sizes.
PHOTOGRAPHY & FILM SPECIALISTS FOR THE PROPERTY INDUSTRY.
Creating inspiring content that works. www.wonderhatch.co.uk
Charlie Firebrace Sales Director E Charlie@wonderhatch.co.uk M +44(0) 7595 375132
SUSTAINABILITY
SWEATING IT OUT: THE OVERHEATING HEADACHE. DOUG JOHNSON Founder & Director Mesh Energy www.mesh-energy.com
Like it or not, our climate is warming and becoming more unpredic table. Weather is becoming more extreme, and winters are warmer than they have ever been. Combined with the rapid pace of materials and construction technique development and our increasingly obsessive behaviour concerning building energy losses, there is a big issue. It is calculated that over 4.5 million buildings a year suffer from overheating with the vast majority of those being newly constructed. 040 – Qandor – Issue No. 15
In fact, the problem has become so much of an issue that the regulation of building overheating in the 2021 Building Regulations under a new section Part S is also expected to come into force in Q1 2022 to ensure that sufficient due diligence is undertaken for new buildings. Paradoxically, as we advance and focus on highly insulated buildings with managed ventilation and less natural air infiltration, we make the very buildings we hope to be progressive and fit for purpose, become uninhabitable and uncomfortable. In addition, in trying to reduce build costs and improve the speed of construction, the very materials and techniques that make
this possible go against some fundamentals of building physics which have for centuries allowed buildings to remain comfortably cool throughout the year. The real risk to developers of ignoring the threat or possibility of overheating is that once a project is completed, resolving overheating issues costs considerable money and time to put even partially right. As an afterthought, this can not only be expensive but ugly and will invariably add to the long-term running and maintenance costs of the build. The good news is that this risk can be mitigated by some increased understanding of what causes it and basic analysis at the conceptual design and pre-planning stages.
Top 3 Overheating Causes There are three main causes of overheating in buildings. We will quickly cover these as well as how to reduce their impact: 1. Low thermal mass – The density of the materials used in a structure strongly affects daytime overheating and the longterm retention of heat or coolth in the structure. Lightweight structures such as SIPS and timber-framed buildings respond far quicker to high exterior temperatures. Higher density structures such as masonry and concrete respond far more slowly and peak daily internal temperatures remain lower on even the hottest days of the year. 2. Large areas of glazing – High proportions of glazing above 35% of the total wall area on east, south or west building Issue No. 15 – Qandor – 041
“The real risk to developers of ignoring the threat or possibility of overheating is that once a project is completed, resolving overheating issues costs considerable money and time to put even partially right.” elevations can be a significant cause of detrimental solar gains in spring, summer and autumn. Where increased levels of glazing are desired, solar shading should be investigated and engineered to ensure it is fully functional and appropriate for the way the building is to be used. 3. Poor natural ventilation – The poor ventilation of spaces, particularly at nighttime, in domestic dwellings is a great cause of overheating in homes. More generally lack of air movement or cross ventilation in buildings can quickly become a nuisance and lead to high levels of discomfort. Single aspect buildings such as flats are a particular example, and the use of purge ventilation should be considered at the earliest stages of design to save costs later.
042 – Qandor – Issue No. 15
The Way Forward One of the most effective ways to better understand the potential overheating risks of your development as designed is to use dynamic thermal and ventilation modelling from as early as possible in the building’s design process. Costs vary based on the building size and complexity but for as little as £1,000+VAT you can have a detailed first pass of the design and quickly identify room by room where issues may lay. Once digitally modelled, as the design develops, an intelligent and focused approach can be taken providing feedback to the design team as to appropriate changes with a high level of confidence in performance once built. Don’t let overheating cost you on your next project, and make sure you plan ahead for a risk-free and comfortable design going forward.Q.
Visit www.mesh-energy.com for more information and to start a discussion about your next project.
Together We Build CrowdProperty’s ‘Development Exit Finance’ and ‘Development Finish & Exit Finance’ products enable proactive property developers to progress and successfully exit projects without excessive costs or hidden fees.
These products are designed to help developers to bridge the period project, releasing the commitments of an expiring development project. With CrowdProperty, developers can pay back early at no cost meaning that we can grant a facility that provides plenty of breathing space to focus on the project.
Apply in just 5 minutes for an initial decision in 24 hours www.crowdproperty.com/apply
PROPERTY FINANCE
HOW THE CONVERSION OF AN OLD SHOE FACTORY CAME TOGETHER. PAUL WATSON Head of Origination Blend Network www.blendnetwork.com COVID-19 brought enormous challenges for many property developers who had to face the closure of their building sites for weeks, delays in supply chains aggravated by Brexit and uncertainty over the outlook of the housing market. In this article, I share the details of how the conversion of an old shoe factory came together amid an unprecedented year of lockdowns and pandemics. 044 – Qandor – Issue No. 15
Prime Minister Boris Johnson’s addrWe are all too familiar with the challenges that most companies and individuals have had to face as a result of COVID-19. So, I will focus on a more positive story and wanted to share with you the details of a landmark property development project successfully carried out in the shadow of COVID-19 and amid a very challenging environment of lockdowns and uncertainties. Back in January 2020, when the words COVID-19, lockdown and social distancing still hadn’t become part of our day-to-day
vocabulary, Blend Network agreed to provide a £460,000 loan to part-finance the acquisition of a beautiful old Victorian shoe factory in Northamptonshire, which had planning to be converted into 24 apartments. The borrower was Provident Homes, an innovative property investment and development company acquiring off-market sites with a mission to build 100 design-led energy-efficient homes per year. The lender was Blend Network, an innovative syndicated property lending platform backed by a number of heavy-weight institutional investors, family offices and high-net-worth individuals. So, with two very innovative companies coming together, the result could hardly disappoint. The loan was funded in 29 minutes and livestreamed on the borrower’s social media page, thus attracting Blend Network a solid fan base on the way. Then suddenly came COVID-19 and on 20 March, Prime Minister Boris Johnson announced a UK-wide national lockdown. In a televised address on 23 March, Mr. Johnson announced new strict rules to slow the spread of the disease which included the closure of construction sites. Despite all these challenges, Provident Homes did a great job securing the site throughout the following months and working with the local council to improve the planning and optimise the space amid a global pandemic. Fast forward 12 months, they were ready to commence developing the site and in December 2020, the first £600,000 tranche of a £1,960,000 total lending facility was funded by 107 Blend Network investors in exactly 102 minutes. This success story shows the importance of the lender and the borrower working together as a team instead of a
traditional lender-borrower relationship. Provident Homes’ values and vision – to create sustainable luxury homes which are environmentally conscious – strongly resonates with Blend Network’s own values and mission which is to provide development finance with flexible terms and help property developers build the homes the country needs. Daniel Netzer, one of the lending managers at Blend Network who worked on this case, recently sat down with Fahd Khan, director and co-founder of Provident Homes. Over a heartwarming conversation, Fahd discussed how he and his experienced property development team up in Wellingborough had overcome the many challenges through what had been a very difficult year. The conversation between the two really captured the essence of how Blend Network lends: it is a solutions-based lender that approaches the lending process working with the borrower as a team, by putting on the developer’s hat, by understanding that in the property game unexpected things will always come up and the key is to find appropriate solutions instead of beating up the borrower with a stick. Q.
Blend Network is a peer-to-peer (P2P) property lending platform that provides development finance and bridging loans from £150,000 to £5,000,000 to experienced SME property developers and small construction companies. More information can be found at www.blendnetwork.com. Blend Loan Network Limited is is authorised and regulated by the Financial Conduct Authority (Registration Number: 913456)
Issue No. 15 – Qandor – 045
TAX
THE HISTORY OF STAMP DUTY. CHRIS WARD Director Cornerstone Tax www.ctatax.uk.com
It was clearly a very successful way of raising taxes – because by the financial year 1702/3, 3,932,933 stamps were embossed in England for a total value of £91,206.10s.4d. Onto a good thing, during the 18th and 19th centuries, various governments then extended Stamp Duty to cover 046 – Qandor – Issue No. 15
newspapers, pamphlets, lottery tickets, apprentices’ indentures, advertisements, playing cards, dice, hats, gloves, patent medicines, perfumes, insurance policies, gold and silver plates, hair powder and armorial bearings. In fact, Parliament needed to raise cash after the end of the 7 years’ war in 1763. Since the war benefitted the American colonists, they decided they should pay for it. Parliament loved the idea that it could easily enforce this tax, and so it attempted to enforce the Stamp Act 1765 in the British colonies. The American colonists were furious, and it led to the outcry “no taxation without representation”.
Although the outcry made Parliament quickly repeal its international Stamp Duty collection a year later, the indignation from the colonists whipped up over the following 10 years, gave rise to the revolutionary war, and ultimately led to American independence. Conveyancers can legitimately tell their clients that the argument over Stamp Duty being imposed contributed to the outbreak of the American War of Independence. 326 years on from Parliament enabling William and Mary to raise taxes on vellum, parchment and paper, and Stamp Duty’s successor (SDLT) has continued to dominate many headlines this year. The SDLT holiday announced last summer has hugely impacted the residential property teams around the country with enormous increases in transactions. The new 2% surcharge on non-resident buyers came into force on 1st April and, of course, the SDLT
holiday deadline was extended in the Spring budget. But apart from the fabulous fact that Stamp Duty gave rise to the American War of Independence and the SDLT holidays, there is something else that I talk about too frequently with property teams – which is that SDLT is not Stamp Duty. Whilst it has some of the same words in its name (Stamp + Duty), it is not the former tax on property deeds that existed pre-December 2003. We used to take or send property documents to the Stamp office, have our figures checked by a human who confirmed them in pencil on the face of the deed and then stamp machines would actually affix the right number of stamps (with tiny pieces of silver in them) on the documents, along with a Particulars Delivered stamp. But as we know, The Finance Act of 2003 largely repealed our old pal Stamp Duty, and Stamp Duty Land Tax (SDLT) was introduced in Issue No. 15 – Qandor – 047
its place. SDLT is a self-assessed tax like income tax, and HMRC can look into an SDLT return and can recover unpaid SDLT. They make a fine on the failure to submit returns in time, even if no tax is payable. SDLT is often miscalculated because of the following: • Pressure from the industr y (conveyancers being pushed to do everything faster, sharper and better for less and less profit); • Competition in the industry (service and pricing); • Client demands; • The (pretty) but basic SDLT calculations within quoting tools; and • 49 different complex reliefs. The problem is that there is a growing number of accountancy firms and others encouraging the public to make claims against law firms’ professional insurance, because the amount of SDLT has been overpaid. I have been told that this is the new PPI claims. These claims are either leading to higher PII fees for firms OR the firms are choosing to pay the claims themselves from their profits without going to their insurers. The law society says: “A solicitor 048 – Qandor – Issue No. 15
who does not have the necessary specialist knowledge of tax should not advise on it and may need to advise clients to obtain specialist SDLT advice, especially in relation to higher risk transactions”. And here is another fact that your teams may not be aware of – HMRC’s SDLT calculator states that it will calculate the SDLT payable for MOST transactions. They do not give you a guarantee that if you use its calculator online, your figures are correct! SDLT Compass is the answer. Just to remind you, the benefits of using SDLT Compass are: 1. Compass is a one-stop application for all your SDLT needs, helping you ensure that SDLT is calculated correctly for each of your clients first time, every time, and giving you the audit trail you need to prove it. 2. Compass produces an accurate SDLT calculation for your clients regardless of their circumstances or the type of property being purchased. 3. Compass ensures you comply with CQS and PI insurers’ requirements. 4. Compass ensures you avoid underestimated or overestimated SDLT claims against your firm. 5. Compass costs just £50 plus VAT per audit for a standard case and provides the option to refer complex cases to our SDLT tax analyst team of specialists.Q.
Contact Chris Ward at chris.ward@ sdltcompass.co.uk or visit www.sdltcompass. co.uk.
STRESS-FREE
FUNDING SOLUTIONS FOR PROPERTY DEVELOPERS Would you like to take the stress out of sourcing finance for your next development project? Have you considered delegating this task to an experienced Development Finance Broker? Whole of Market funding for Debt, Equity and Joint Ventures, tailored to meet your requirements. Residential, Student and Commercial projects in the UK and Ireland. 35+ years’ experience as a professionally qualified Development Finance Banker and Broker.
For a free, confidential and no obligation consultation please contact Gary Walsh
Regulated by the FCA. FIBA Member. Competitive, fair, and transparent fee policy and tariff. Testimonials and references available.
Telephone
0207 205 4200 E-mail
finance@optimafunding.co.uk Website
www.optimafunding.co.uk and request a call back
Stress - Free Funding Solutions for Property Developers
MORTGAGES
HOLIDAY LET MORTGAGES. LEE LANGLEY Principal OnPoint Mortgages www.onpointmortgages.com
The pandemic accelerated the rise of staycations in the UK, with locations such as Cornwall and Devon experiencing huge demand during periods when travel bans and restrictions were lifted. Yet even prior to March 2020, staycations were increasing in popularity due to factors such as Airbnb, affordability, awareness of the impact that international travel has on the environment, and the beautiful scenery that can be found on these very isles. 050 – Qandor – Issue No. 15
TikTok’s ‘staycation’ hashtag has over 1.1 billion views, influencing a new generation and challenging previous associations of holidays and going abroad. With international travel to remain an ongoing cause for concern, domestic travel is the most viable option for those seeking a break. Pre-COVID-19 for landlords, holiday lets had long grown in popularity and appeal due to a higher return per night, the potential for bigger profit margins and the tax advantages of being classed as a business as opposed to an investment, although you should be aware that there may be higher
costs when managing regular visitors, such as agent fees, cleaning and possible damages and repairs. In addition, investors have often been uncertain on the best way to fund such investments as a traditional buy-to-let mortgage is not suitable for this type of shortterm let. Lenders’ criteria and attitudes have also been changing frequently as lockdown restrictions have tightened and eased. The way holiday homes are treated can be broadly arranged into three categories with different lenders available for each. If the property is for personal use rather than investment, high street banks will treat them as second homes. Lending is typically up to 80% LTV and the loan amount is based on your personal income and expenditures, including the mortgage and running costs of your primary residence. The rates will be no
different to the standard residential products and subject to the same criteria on the length of the term and a suitable repayment strategy. Limited company applications are not possible unless you apply via a private bank. In the second category, lenders will look at the expected rent for a standard 6-month AST. This is on the basis that if it does not work out as a holiday let, you could still revert to buy-to-let. Expect the maximum LTV via this method to be 75%; interest only is widely available and you can purchase the property via a limited company or in your personal name. Foundation Home Loans have an interesting product on this basis, which can also be used for serviced accommodation units with little or no demand from holiday makers. You need to have an income, although it does not need to meet a specified Issue No. 15 – Qandor – 051
Your home may be repossessed if you do not keep up repayments on your mortgage. Some forms of buy-to-let mortgages and some forms of commercial lending are not regulated by the Financial Conduct Authority.
amount and you must own at least one other investment property. Finally, there are true holiday let products that use a combination of low, mid and high season rents to determine the borrowing. This includes building societies like Leeds and Harpenden as well as commercial lenders like Hampshire Trust Bank and Castle Trust that can also potentially fund blocks of flats as well as single units. The building societies will allow a degree of personal use; the property must have a specified demand for holidays, but they usually only lend to individuals, although the specialist and commercial banks will accept companies. Maximum LTV in the market is also usually 75%; interest only is acceptable and each lender will have their own experience requirement. As criteria continues to expand and with demand likely to continue, it is important to have a clear understanding of these assessments to ensure the correct lender is chosen for your circumstance. Q.
052 – Qandor – Issue No. 15
Lee Langley is the Principal Mortgage and Protection Adviser at OnPoint Mortgages. OnPoint Mortgages, a trading style of L&D Mortgages Limited, is an appointed representative of The On-Line Partnership Limited which is authorised and regulated by the Financial Conduct Authority. Registered address: 25 Homefield Road, Bushey, Hertfordshire, WD23 3AP. Registered in England & Wales under 10500099
™
Tropolis PROPERTY EDUCATION REDEFINED
®
Brought to you by
Qandor.
Unlock access to the best program online and start ‘building’ your dreams today!
The best property strategies for 2020 Do you... Need more knowledge Need more experience Need more time
Tropolis Accelerator Program online training
WATCH OUR FREE TUTORIAL NOW • • •
Access to live Masterclasses with over 30 experts Lifetime access to the online 10-week program Be part of a connected community
www.tropolis.uk
FREE TRAINING FROM THE UK’S PREMIER PROPERTY CLUB CASE STUDIES AND WEBINARS PRESENTED BY OUR MEMBERS FROM LEARN S! XPERT E R U O
REGISTER FOR... Live Webinars
ONLI CONT NE E STRA NT & TEGIE S
Recorded Case Studies Financials & Floorplans Planning, Legal and Tax Insight And MORE!
ALL ! E FRE
REGISTER to receive invites to future webinars and regular case studies Add freetraining@qandor.org to your contacts to avoid our emails landing in your junk folder
REGISTER NOW! WWW.QANDOR.ORG/FREE-TRAINING
Qandor Affiliates
Catax
CrowdProperty
David Phillips
Capital allowances
Crowdfunding
Interiors
Hilltop Credit Partners
Keystone Law
Leadenhall Wealth Management
Stretch senior funding
Mesh Energy Renewable Energy Consultancy
OnPoint Mortgages
98 – Qandor – Issue No. 14
Mortgage brokerage
Legal services
SSAS Pensions
Nimbus Maps
Ocean Bathrooms
Property Software
Bathrooms