A TOWN CENTRE DEVELOPMENT CONSISTING OF 70 ONE AND TWO BEDROOM APARTMENTS AND 35 PARKING SPACES.
LAND – Securing the project
We were approached by Savills in the autumn of 2019 with the opportunity to purchase 70 residential units that make up one of the self contained cores of London Square, Staines-Upon-Thames, a development by renowned house builder, London Square Developments.
The development comprises 260 residential units and retail space. Completion was set for March 2020.
A sale had previously been agreed with another purchaser who had failed to perform. We were offered the opportunity to purchase at a meeting with London Square and Savills in late October. We swiftly carried out our due diligence on the development and the local area and agreed a purchase price with the developer.
Heads of Terms were agreed within one week and a five week exchange deadline was agreed.
MARKETING – Market research
Our inhouse research informed us of a strong demand for modern, high specification one and two-bedroom apartments within the local area.
A combination of simple public transport links to Central London, close proximity to Heathrow Airport and an abundance of employment opportunities meant rental demand for properties within the area outweighed the supply.
We were impressed with London Square’s specification and did not need to make any changes.
CONSTRUCTION – Putting it all together
Our in-house construction team proactively undertook our due diligence review of the construction design, delivery and overall specification, working closely with the London Square team. This involved an initial site tour and discussions regarding the design detailing.
We swiftly concluded our process, and the agreed specification was attached to the contract in readiness for exchange.
Our close working relationship with London Square enabled the whole process to be smooth and efficient for all parties, ensuring we reached exchange and completion in a timely manner.
LEGAL – Getting the contract right
The pressure was on from the start with the legal process. Kooky and London Square had agreed to exchange contracts within 5 weeks for the leasehold purchase of a partly constructed building of 70 apartments.
In doing so, both teams committed to an ambitious timescale which was made possible by our quick and straightforward process.
Within the first week, we had prioritised the essential points of our legal due diligence. We began by ensuring we were compliant with the Landlord and Tenant Act 1987; this meant being considerate to the other apartment owners as they have rights of first refusal.
We then took steps to ensure we had the necessary protections and comforts under the contract, specifically regarding planning permission and the Road Adoption Agreement.
The next two weeks consisted of collaborative and daily negotiation between our in-house legal counsel, our lawyers and the seller’s lawyers. We were open and pragmatic with the seller in disclosing our requirements and agreed on compromises to allow both parties to achieve their goals.
After negotiations, we had concluded our due diligence and agreed on all the legal documents. By the end, we had exchanged contracts within a firm deadline and as a bonus developed a new and healthy relationship with London Square.
We were delighted to work with Kooky on our Staines-upon-Thames regeneration scheme, they have a proven track record and share similar values to London Square.
They were very proactive and straightforward in their dealings with us – demonstrating transparency and integrity throughout the entire process. They exchanged contracts in just five weeks, which was extremely impressive on a deal of this size.
Sales & Marketing Director, London Square
Savills have worked with Delph Property Group over many years and more recently with their new brand Kooky. We ran a targeted marketing campaign for London Square at Staines-Upon-Thames and went under offer to Kooky in November 2019 due to our confidence in their ability to trade efficiently and quickly.
Kooky showed their leading experience in the residential sector by working collaboratively, swiftly and with a pragmatic approach to the entire transaction.
As a result, we were able to exchange within five weeks, building strong relationships which will no doubt be valuable moving forward.
Associate Director, Savills