Selling Kelowna Real Estate Group
Serving Kelowna, West Kelowna, Peachland and Lake Country
Are You Looking to Buy or maybe you're a Home Owner Selling Land Assembly?
We have successfully helped create land assemblies taking it right from the start with one house and creating a package to help get the homes sold for top dollar!
GIVE ME A CALL, TEXT OR EMAIL TO LEARN ABOUT OUR EXPERIENCE AND PAST ASSEMBLIES WE HAVE PUT TOGETHER TO SEE IF WE CAN HELP YOU.
TO FIND OUT THE CURRENT LAND ASSEMBLIES IN THE OKANAGAN!
250-801-0361 | MARKCOONSREALTY@GMAIL.COM
Potential with a Land Assembly
Power in Numbers
By selling a property as part of a land assembly, owners can demand a higher purchase price. The individual property is worth more to a developer when combined with adjacent properties.
What is Land Assembly? A land assembly refers to the joining of adjacent lots to make a larger parcel.
Why is Land Assembly gaining popularity? Due to the need for higher density in Kelowna, the developers are looking to redevelop and increase density in what traditionally were single-family home communities.
Where is Land Assembly happening? The frequency of land assemblies is most common along in central locations close to city center and transportation. Sometimes, adjacent property owners decide to market the sale of their properties altogether and other times a developer may initiate the process by approaching a group of owners to purchase all their properties.
How does Land Assembly benefit owners? By selling a property as part of a land assembly, owners are able to demand a higher purchase price since their individual property is worth more to a developer when combined with adjacent properties.
With all land assemblies, consideration needs to be given to the following items: Intention of all owners in the land assembly to sell; whether all properties in the land assembly will be treated equaly, or if there are special characteristics of some properties that warrant special treatment, such as a corner lot; Formula to determine purchase price of each lot and; the Official Community Plan for the areas.
Land assemblies vary from traditional property sales, in that they are dependent on all (or most) of the properties in the assembly enter into binding contracts. Furthermore, the timelines for land assemblies are often much longer, from the time of signing a contract to removal of subject conditions to the completion date, can be several months and even years.
Due to this longer timeline, there are commonly deposits given throughout the process. Consideration must be given to the amount of time a property is tied up by the contract before the subject conditions are removed, since there is no guarantee the transfer will complete until subjects are removed.
Steps to a Land Assembly
LISTING your property for sale
MARKETING your property to potential Developers
OFFER NEGOTIATION (1-2 week) presentation to acceptance
ASSEMBLY CONDITIONS (2-3 months) assembling neighbouring properties
FEASIBILITY CONDITIONS (2-3 months) Plan Submission, Level 1 Environmental, Soil Tests, Arborist Study, etc.
SUBJECT REMOVAL and DEPOSIT put in place
COMPLETION and POSSESSION: (6-12 months)
Estimated Timeframe 12-24 Months
With the land assembly, there is an opportunity to maximize the highest and best use of the land, there is a longer timeframe from start to completion, and some benefits include.
No Showings, property value typically determined by lot size
Tenants able and encouraged to stay, longer possession which should not affect leases
Time to find a new home
No signs if you choose
You don't pay until we sell
You still have the right to choose to accept price offered or decline it
Not tied to any contracts
Higher value than selling on your own
Capri Land assembly Example: Assessed Home Value Ranges ~$600,000 to$650,000
Capri Land assembly Example:Asking Price ~$1,000,000