As soon as a residential development is nearing completion, developers need to start the process of getting the houses sold. Collating the sales pack and preparing the legal documents should be done as early as possible to avoid delays after a sale is agreed. It is not necessary to wait until the houses are built and it is often better to start the sales and marketing process 4 to 6 months before the expected completion date of the construction. Preparing a comprehensive sales pack for new build plot sales is essential to facilitate a smooth sales process.

Here are some of the key elements that developers should include in a sales pack (not all will always apply):

Site plans and plot plans:
A site and plot plan that shows the location of the plot within the development, as well as the layout of roads, amenities, and shared facilities/areas must be included. Your solicitor will need these plans to prepare the sales pack, as with the selling agent. Your plans must always be Land Registry compliant:

Planning & building regulations:
a) planning permission;
b) planning condition sign off. It is important you are aware of all planning conditions which require written approval from the local authority and a formal application for approval is made at the earliest opportunity;
c) CIL/Section 106 information;
d) road adoption/highways agreements;
e) building regulation initial notices and certificates.

If you are exchanging on notice (i.e. before the property is build complete) building control sign off can follow at the point notice to complete is served on your buyer.

New build warranty:
b) the warranty provider acceptance letter/initial notice:
c) warranty policy schedule;
d) final certificate must be provided to the buyer. If you are exchanging on notice, the final certificate can follow at the point notice to complete is served on your buyer. However, a solicitor acting for the buyer will need to see evidence the warranty provide has accepted the development prior to exchange of contracts and that the final warranty certificate will be provided on completion.

EPC: an energy performance certificate must be provided for all plots.

General certificates: electrical installation certificates, gas installation certificate, whitegoods and boiler guarantees.

Service connection documents: evidence of drain/sewer connection to the mains or consent to add load, evidence of mains water supply connection.

Address and Council Tax: confirmation of postal address registration from the local authority along with confirmation of council tax registration.

Property Management: details of how the property/estate will be managed after completion, including:

a) a detailed breakdown of the service charge/estate charge budget.
b) maintenance agreements;
c) community regulations.

You should consider if the freehold of the estate/building will be transferred to a resident run management company upon the sale of the final plot.

Legal documentation: Your solicitor will draft the necessary leases (for leasehold sales) or transfer documents (for freehold sales). Here are some of the points that you will need to consider to enable these to be drafted:

a) the final plans for each plot
b) details of the lease term (if leasehold)
c) details of service charge/estate charge apportionments
d) details of any shared or visitor parking areas, common areas or shared facilities (bike store, bin store, communal garden etc). These must be shown on a plan.
e) details of any restrictions/covenants that you would like to place on the buyer and future owners
f) a list of any regulations to be applied to the estate

Our commercial property team at Lewis Denley Solicitors can work with you to create a comprehensive sales pack to help streamline the sale process to ensure your sales go through efficiency and proceeds are realised quickly.

Please contact us on 01403 627851 or at property@lewisdenley.com for more assistance.