Questions Every Developer Should Ask Before Buying a Site
7 min read
Introduction
Buying the right development site is about far more than location and planning potential.
Many of the most expensive mistakes are made before contracts are exchanged, when enthusiasm for an opportunity overtakes careful commercial analysis.
An independent review before acquisition can often identify risks that significantly affect value, programme and profitability.
The Short Answer
Before committing to purchase, every developer should understand not only what a site could become, but also what could prevent it from achieving its full potential.
The most successful acquisitions balance opportunity with risk.
1. Is Planning Really Achievable?
Planning history tells only part of the story.
Consider:
local planning policy
neighbouring developments
conservation constraints
highways
overlooking
heritage
environmental restrictions
Planning permission is never guaranteed.
2. Does the Development Stack Up Financially?
Even attractive schemes can become commercially unviable.
Review:
expected construction costs
professional fees
finance costs
contingency
developer profit
sales values
programme assumptions
Small changes can significantly affect viability.
3. Are Ground Conditions Understood?
Unexpected ground conditions remain one of the biggest causes of cost overruns.
Potential issues include:
contamination
poor bearing capacity
high water tables
existing foundations
buried obstructions
Early investigations reduce uncertainty.
4. Are Utilities Available?
Diversions and new utility connections frequently affect programme and cost.
Review:
electricity
water
drainage
gas
fibre
existing easements
5. What Procurement Strategy Is Most Appropriate?
The procurement route influences cost certainty, programme and risk allocation.
Questions include:
traditional procurement?
design and build?
two-stage tender?
early contractor involvement?
Choosing the right strategy early often produces better outcomes.
6. Are Programme Assumptions Realistic?
Optimistic programmes frequently underestimate:
planning conditions
statutory approvals
procurement
utility works
mobilisation
Realistic programming improves investment decisions.
7. What Is Your Exit Strategy?
Successful developments begin with the end in mind.
Consider:
sales demand
rental demand
funding requirements
investor expectations
market conditions
Understanding the exit strategy often influences design and specification decisions from the outset.
Frequently Asked Questions
Should I commission surveys before buying a site?
Where practical, yes. Even limited investigations can identify significant risks before exchange.
How detailed should a viability appraisal be?
Enough to understand whether the scheme remains financially robust under different scenarios.
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Independent Acquisition Advice
Site acquisitions involve major financial commitments long before construction begins.
Mavora can support by providing independent commercial review to challenge assumptions, identify hidden risks and improve confidence before contracts are exchanged.
