Developer De-brief

Summer 2022

Hello and a warm welcome to our summer edition of Developer De-Brief. At Clarke Willmott, we began our new financial year on 1 May 2022, and our real estate development team are celebrating another successful year for 2021 / 2022. Our end of year financial results will be published in July, so please keep an eye out for future communications. For now, we are busy getting stuck into a new financial year and all the exciting work that comes with it.

This edition of Developer De-brief takes a deeper look at recent legislative activity, and includes relevant topics in the development sector such as the Ground Rents Act, which saw some of the most significant changes in property law for some time. These changes will put an end to ground rents in new, qualifying long residential leasehold properties in England and Wales. We also explore the Economic Crime (Transparency and Enforcement) Act 2022 and the National Security and Investment Act 2021, two Acts recently added to the statute books that will need to be taken into account when negotiating contracts to avoid delays in transactions. Sophie Bedwell, an Associate in our commercial property team, looks at the Landlord and Tenant Act 1987.

Our real estate development team continues to grow and we are delighted to welcome several new additions. Our planning team has been strengthened by partner Marianne Barker, who is the focus of our “spotlight on” feature in this issue, as well as providing an article on the Levelling up and Regen Bill. Jamie Swan and Gabrielle Roberts have joined as Senior Associates in construction and property litigation respectively. It is Gabrielle who brings you an article on the decision of the Upper Tribunal in the case of Collins & anor v Howell & anor ([2022] UKUT 72 (LC) which concerned an application to modify a restrictive covenant limiting the use of agricultural land. This case shows that developers can face an uphill struggle when it comes to developing land designated for agricultural use protected by a restrictive covenant.

We hope you find these articles helpful and we welcome your feedback. As ever if you would like to see a particular area or topic featured in future issues, please get in touch.

Peter Swinburn
Partner/Managing Director of the Commercial Property Division

In this edition

The Leasehold Reform (Ground Rent) Act 2022

The Leasehold Reform (Ground Rent) Act 2022 (“the Act”) comes into force on 30 June 2022, although it will not come into force for retirement properties before 1 April 2023.

National Security Act and Overseas Entries

Two Acts recently added to the statute books will need to be taken into account when negotiating contracts to avoid delays in transactions.

Neighbours defeat application to modify restrictive covenant on agricultural land

It is often said that ‘there is no right to a view’. A well-drafted restrictive covenant may, however, protect the setting and amenity of a property preventing development as illustrated by the decision of the Upper Tribunal in the case of Collins & anor v Howell & anor ([2022] UKUT 72 (LC).

The Levelling Up and Regeneration Bill 2022

The Levelling Up and Regeneration Bill (LURB), published on 11 May 2022, contains a number of interesting proposals for the development industry and some potentially significant changes to the planning system.

In the spotlight: Marianne Barker

As a planning lawyer Marianne is involved in both contentious issues (appeal work, judicial reviews) and non-contentious instructions (drafting complex section 106 agreements, advising on permitted development rights, CIL, green belt or heritage issues) and enjoys this mix of work.

Planning ahead: the Landlord and Tenant Act 1987

When developing mixed use premises it is important to plan ahead especially where a developer intends to dispose of the freehold of the whole building or grant a long lease of the commercial parts as an investment.

Joined up thinking – practical issues for developers: third party land

Planning and constructing a development can require a cast of thousands: all experts with their own specialisations. In order to actually construct – and more importantly sell – any units on a development as efficiently as possible, it is important to ensure that there is a level of joined up thinking between everyone involved.