Strategy & Process
Eden focuses on brownfield and allocated development sites in urban centres or in close proximity to towns and cities where a demand/supply imbalance can be identified.
In addition to generating profit as a result of gaining planning approval, there is also the potential increase in land value whilst the planning process is underway. At no time however is land acquired simply to hold for an indefinite period for potential sale in the future; a process commonly known as “land banking”. It is the stated intention to only hold plots of land whilst planning consent is being sought, thereby maximising profit over as short a period as possible.
An important factor in respect of any land purchased for development is that investors, through their ownership of shares in the Special Purchase Vehicle (SPV) structure set up to accommodate the purchase, will hold 100% security of the asset thereby managing the investment risk. This also means there is no need for bank finance and its associated costs.
A further key component in our investment strategy is to acquire land “off market” which can be accomplished due to our extensive range of contacts in the land development market. Sites are sought that have the potential for single or mixed use which may include residential housing or student accommodation, commercial and retail, with location and proximity to transport links being key components.
A very important factor in the process is due diligence, and Eden have appointed a specialist Advisory Manager, Lambert Smith Hampton, who assess each project prior to exchange to ensure that we purchase at the right price and receive a comprehensive risk assessment. As well as having dedicated specialists in all core sectors across the UK and Ireland, their team also includes experts in real estate brokerage, debt brokerage as well as online and auction sales.
This depth of expertise means that they know each sectors peaks and troughs, the geo political, economic and infrastucture impacts on their regions, the trends that occupiers are following and which investor types are looking at which areas. They are ideally placed to ensure that our project acquisition avoids risk, exploits potential and delivers outperformance.