An estimated £1.3bn worth of property development potential is currently held within Class Q sites across the market in England, according to analysis by Searchland.
Introduced in 2014, Class Q sites are a form of permitted development designed to ease the pressure with respect to housing in rural areas. They allow the reclassification of buildings from agricultural to residential use, providing they meet the required criteria.
Searchland analysed the number of Class Q sites currently available across England, the total building area they occupy and the current market value of this land if it were to be brought to market today.
The research found there are some 10,373 Class Q titles across England. The majority of these sites are located across the South East (19%), East of England (15%), East Midlands (15%), Yorkshire and the Humber (14%), North West (11%) and West Midlands (11%).
Across England, it’s estimated that Class Q buildings cover 4,363,056 sq ft, with an average building size of 421 sq ft. With developed land currently commanding £300 per square foot, the total market value is £1.308bn, averaging a potential £126,241 per building.
With the South East home to the largest proportion of Class Q buildings at present and with developed land commanding £414 per square metre, Searchland estimates that the region’s Class Q buildings could be worth £347.1m in the current market – an average £172,183 per building.
The East of England, meanwhile, has an estimated £301.5m worth of Class Q buildings. The East Midlands (£149m), Yorkshire and the Humber (£131m) and South West (£116.3m) also rank within the top five regions with the highest potential market value of Class Q development opportunities.
Mitchell Fasanya, co-founder and CEO of Searchland, commented: “The repurposing of agricultural land is becoming increasingly more common and we’ve seen a sharp uptick in the number of commercial ventures looking to under-utilised farm land in order to develop logistical hubs.
“However, there are also a wealth of existing agricultural buildings that are ripe and ready for redevelopment into residential housing and, in the current market, they are worth a considerable sum.”
