The sky’s the limit with Fruition Properties
15th January 2020
Airspace development is a term to describe a form of property development whereby unused space on rooftops of existing buildings is converted into new homes.
As London faces a chronic housing and land shortage, these developments above existing buildings provide an innovative way of unlocking potential to deliver much needed housing in dense areas. Often the freeholder and developer may first enter into an option agreement, allowing the developer the time to achieve planning for a proposed single or multiple dwelling before formally acquiring the air rights.
There are many reasons for developing the air rights above a building – not just providing new homes. These developments can also bring about significant improvements to the existing building by investing some of the money negotiated within the acquisition agreement into communal areas, which they otherwise would be unable to afford.
Such improvements could include works to the landscaping, external walls, communal doors, windows, electrical and fire systems within the building. Not only does this provide a better environment for current residents but it is likely to generate an uplift in value in the long run, creating a more valuable asset. And for the existing residents there is also the longer-term benefit of reduced service charge bills, as communal costs would be shared amongst more apartments.
So why Fruition Properties?
Fruition Properties is an award-winning London developer that has been operating since 2004, with extensive experience of creating innovative and design-led rooftop schemes across London.
As we have built several airspace schemes over the last 10 years we have a full understanding of the legal, social and technical complexities associated with rooftop developments. Mani Khiroya, Managing Director of Fruition Properties, comments: “We are highly experienced in taking on ambitious development projects, which transform tired buildings and inject them with new life.”
Having the expertise, track record and relationships with lenders, we can easily obtain funding for rooftop schemes. All costs relating to any project are funded by Fruition Properties, even before signing an agreement. Moreover, returns are always maximised for existing property owners, even in a struggling market, as deals are structured efficiently and planning consents and developments are completed quickly.