A planning appraisal is an important first step for landowners, developers and property investors considering development opportunities in the UK. It can help establish whether a site has realistic development potential before significant time and money are invested in detailed plans or a planning application.
A planning appraisal examines the site, relevant planning policies, previous planning decisions, potential constraints and the type of development that may be achievable. Depending on the project, it can also consider development viability, land value and different development scenarios.
For anyone considering buying land, developing an existing property or changing its use, obtaining professional planning advice at an early stage can help identify opportunities and potential risks.
What Is a Planning Appraisal?
A planning appraisal is an initial assessment of a site or property to determine its potential for development from a planning perspective.
It typically considers the site’s location, existing use, planning history, relevant local and national planning policies and the constraints that could affect development.
The purpose is not to guarantee that planning permission will be granted. Instead, it provides an informed assessment of the opportunities and risks associated with a proposed development.
What Does a Planning Appraisal Assess?
Depending on the site and proposed development, a planning appraisal may consider:
- Existing use and site characteristics
- Local planning policies
- National planning policy
- Planning history
- Development boundaries and settlement location
- Green Belt or other planning designations
- Conservation areas and heritage assets
- Highways and access
- Flood risk and drainage
- Ecology and biodiversity
- Trees and landscaping
- Neighbouring properties and residential amenity
- Potential development capacity
- Permitted development rights
- Potential planning constraints
- The likelihood of planning permission being achievable
The level of detail required will depend on the size, location and complexity of the proposed development.
Why Is a Planning Appraisal Important?
Development decisions can involve substantial financial commitments. A planning appraisal can help identify potential planning issues before a landowner or developer commits to a particular scheme.
Government guidance recognises development appraisals as useful for examining scheme feasibility, bidding for sites, assessing potential land values and testing different development scenarios.
Identifying Planning Risks Early
A site may appear suitable for development but have planning constraints that are not immediately obvious.
For example, a site may be affected by Green Belt policy, heritage considerations, highway restrictions, flood risk or ecological constraints.
Identifying these issues early allows a developer to consider whether the proposal can be adapted before substantial design and professional costs are incurred.
Understanding Development Potential
A planning appraisal can help establish what type of development may realistically be achievable.
For example, the assessment may consider whether a site could potentially accommodate:
- A new dwelling
- Multiple residential units
- An extension
- A commercial building
- A change of use
- Agricultural or rural development
- Replacement development
- Redevelopment of an existing property
The appraisal can also consider whether the principle of development is likely to be acceptable under relevant planning policies.
Supporting Land Purchase Decisions
A planning appraisal can be particularly valuable before purchasing land.
The price of land can be heavily influenced by its development potential. However, planning policy and development costs need to be considered carefully when assessing what a site may be worth.
Government viability guidance emphasises the importance of considering development costs, risks and policy requirements when land transactions are agreed.
A planning appraisal can therefore help a prospective purchaser make a more informed decision about whether to proceed with an acquisition.
What Is Included in a Planning Appraisal?
There is no single format that applies to every planning appraisal. The scope should reflect the site and the proposed development.
Site Assessment
The first stage is generally an assessment of the site and its surroundings.
This may include reviewing the site’s existing use, access, surrounding development, settlement pattern and physical characteristics.
The relationship between the site and neighbouring properties can also be important, particularly where residential development is proposed.
Planning Policy Review
The relevant planning policies are reviewed to establish how the site is treated within the planning system.
This can include the development plan, local planning policies and relevant national planning policy.
The assessment may consider whether the site is allocated for development, located within a settlement boundary or affected by policies that restrict development.
Planning History
Previous planning applications and decisions can provide useful information about the site’s planning background.
A history of previous applications, refusals or permissions may help identify recurring planning issues or demonstrate how the local planning authority has previously approached development on the site.
However, previous planning decisions do not automatically determine the outcome of a new application. Each proposal must be assessed on its own circumstances and against the relevant policies and material considerations.
Development Constraints
A planning appraisal should identify constraints that could affect the proposed development.
These may include:
- Green Belt
- Conservation areas
- Listed buildings
- Flood zones
- Protected trees
- Ecology
- Heritage assets
- Highway access
- Rights of way
- Landscape designations
- Contaminated land
- Drainage requirements
- Neighbouring amenity
Understanding these constraints early can help determine whether the development needs to be redesigned or whether specialist assessments may be required.
Is a Planning Appraisal the Same as a Planning Application?
No. A planning appraisal is an assessment carried out before or during the early stages of development planning.
A planning application is a formal request submitted to the local planning authority seeking permission for a specific development proposal.
A planning appraisal can help inform the planning application by identifying relevant policies, opportunities and potential problems.
It does not, however, provide planning permission.
Planning Appraisal vs Planning Application
A planning appraisal can answer questions such as:
- Is development potentially acceptable on the site?
- What planning policies apply?
- What constraints could affect the proposal?
- What type of development may be suitable?
- Are there significant planning risks?
- What further investigations may be required?
A planning application takes the process further by presenting a defined development proposal to the local planning authority for formal determination.
When Should You Obtain a Planning Appraisal?
There are several stages at which a planning appraisal can be useful.
Before Buying Land
This is one of the most valuable stages for obtaining an appraisal.
If you are considering purchasing a site because of its potential for development, understanding the planning position before completing the purchase can help you assess the risks.
Before Preparing Detailed Designs
A planning appraisal can help establish the broad parameters of development before architects and other consultants prepare detailed designs.
This can reduce the risk of developing a scheme that conflicts with fundamental planning constraints.
Before Pre-Application Advice
Where a proposal is complex, a planning appraisal can help establish the key issues that should be raised with the local planning authority during pre-application discussions.
Before Submitting a Planning Application
An appraisal can also be used as a final strategic review before an application is submitted.
It may identify gaps in the supporting information, policy conflicts or aspects of the proposal that could be improved.
Can a Planning Appraisal Assess Development Viability?
Yes, where the appraisal includes a financial or development viability assessment.
Development viability considers whether the value generated by a proposed development is sufficient to cover development costs and provide an appropriate return. Government guidance identifies gross development value, costs, land value, landowner return and developer return as key elements of viability assessment.
What Can Affect Development Viability?
Factors can include:
- Land acquisition costs
- Construction costs
- Professional fees
- Finance costs
- Planning obligations
- Affordable housing requirements
- Infrastructure costs
- Expected sales values
- Rental income
- Developer profit
- Abnormal site costs
A viability appraisal can therefore complement the planning assessment where financial feasibility is an important part of the development decision.
What Happens After a Planning Appraisal?
The outcome of a planning appraisal will depend on the site’s circumstances and the proposed development.
Proceed With the Proposal
If the appraisal identifies a realistic planning opportunity, the next stage may involve preparing designs, seeking pre-application advice and eventually submitting a planning application.
Revise the Development
The appraisal may identify planning concerns that can potentially be addressed through changes to the proposal.
This could involve reducing the scale of development, changing the layout, improving access or addressing impacts on neighbouring properties.
Consider an Alternative Use
In some cases, the original proposal may present significant planning difficulties.
An appraisal may identify an alternative use or development strategy that has stronger planning prospects.
Do Not Proceed
Sometimes the planning risks may be significant enough to make a development proposal unsuitable.
Identifying this before substantial expenditure is committed can be one of the most valuable outcomes of an appraisal.
How Much Does a Planning Appraisal Cost?
There is no standard cost for a planning appraisal.
The fee will depend on factors such as:
- The size of the site
- The complexity of the proposal
- The location
- The planning history
- The number of planning constraints
- Whether viability is required
- Whether specialist input is necessary
- The level of detail required
A straightforward residential site may require a relatively simple assessment, while a complex regeneration, Green Belt or mixed-use proposal may require a much more detailed appraisal.
The important consideration is not simply the cost of the appraisal, but the value of identifying planning risks before committing to a major development project.
How Can a Planning Consultant Help?
A professional planning consultant can provide an independent assessment of the site’s planning position and development prospects.
They can review planning policy, identify constraints, assess potential development options and advise on the next steps.
Early professional advice can be particularly useful where a site has a complicated planning history or is affected by restrictive planning designations.
How Charrette Law Can Help With Planning Appraisals
At Charrette Law, our planning and property expertise can help landowners, developers and investors understand the planning potential of a site before committing significant resources.
Our advice can include:
- Reviewing the planning position of a site
- Assessing relevant planning policies
- Reviewing planning history
- Identifying development constraints
- Assessing potential development opportunities
- Advising on planning risks
- Considering alternative development options
- Advising on planning strategy
- Supporting pre-application discussions
- Assisting with planning applications and appeals where required
A planning appraisal can provide an important foundation for making informed property and development decisions.
If you are considering developing land or property, contact Charrette Law for professional planning advice and an assessment of your site’s development potential.
Conclusion
A planning appraisal can be a valuable first step for anyone considering property or land development.
By assessing planning policy, site characteristics, planning history, development constraints and potential development opportunities, an appraisal can help identify risks and opportunities before significant resources are committed.
For landowners and developers, obtaining professional advice at an early stage can help shape a realistic development strategy and improve the prospects of progressing a viable proposal.
Frequently Asked Questions
What is a planning appraisal?
A planning appraisal is an assessment of a site’s planning position and potential for development. It considers factors such as planning policy, site constraints, planning history and the proposed use.
Is a planning appraisal the same as a feasibility study?
They can overlap, but they are not necessarily the same. A planning appraisal focuses primarily on planning considerations, while a wider feasibility study may also examine financial viability, design, market demand, technical issues and other factors.
Can a planning appraisal guarantee planning permission?
No. A planning appraisal provides professional advice about the planning prospects of a proposal but cannot guarantee that planning permission will be granted.
Should I get a planning appraisal before buying land?
It can be particularly useful to obtain one before purchasing land where the proposed purchase price depends on development potential.
Can a planning appraisal assess Green Belt land?
Yes. Where a site is located in the Green Belt, the appraisal can consider the relevant planning policies, the nature of the proposed development and potential planning constraints.
Can a planning appraisal identify alternative development options?
Yes. Where the initial proposal presents planning difficulties, an appraisal may identify alternative uses, layouts or development approaches that could have better planning prospects.
How early should I obtain a planning appraisal?
Ideally, a planning appraisal should be obtained as early as possible, particularly before purchasing land or committing significant funds to detailed design and planning work.
