Two issues with a property we are interested in purchasing.
1) The Sec32 lists a "Drainage And Sewerage Reserve" adjacent to our property. Does this specifically mean there is a MAJOR drainage/sewerage main there, or is the term used for any run-of-the-mill water pipe?
2) The Sec32 also lists what was described as a "future easement" on the property, set aside for possible future expansion of the drainage system.
Does anyone have experience dealing with properties (a) next to major drainage/sewerage mains, and (b) subject to a future easements where development may or may not happen. In your experience, are purchasers driven away by the presence of sewerage mains, and the uncertainty about having part of your land dug up in the future? The price of this property appears relatively cheap for its location, land size, and quality of the house, so we are concerned that drains and sewers will negatively effect future re-sale value.
Any advice on dealing with "awkward" properties like this will be welcomed!
Ok , so the vendor & purchaser are on notice that the will be an easement @ sometime in the future. Does the authority have to pay the owner of the land for the land affected by the proposed easement?
Does the existing easement sit on the land or on the adjoining land? If it is on your land it will affect where you can build. If used correctly during development, ie for open space or landscaping, then you can incorporate the effects into your overall scheme.
Uncertainty decreases the value of the property, so you could either purchase as a long-term develop & hold or steer clear, depends on how you look at risk or opportunity.
Thanks for the reply.
The current drain/sewer runs next to the property we are interested in, but the "easement for possible future sewers" takes up around 140sqm of the property. So there are restrictions currently in place on what can and can't be built.
DO you know how to find out whether the authority has to pay for the affected land?
Also, does anyone have an idea as to how likely water damage, etc is to a house adjacent to a major drain/sewer?
Although this doesn’t come under compulsory acquisition, there may be some grounds for compensation however a valuer would be of more use in providing specific advice in this area.
Upon rereading it would appear that there is an existing easement. This is a pre-existing easement, compensation has been paid & the land so affected can’t be used for much other than open space.
Base your land value on the useable land area and ascribe a nominal value only to the 140 m2.
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