Overcoming Fragmented Ownership to Revitalise High Streets

When we think about our future neighbourhoods and promoting positive lifestyles, high streets are an important aspect of that vision. High streets have so much potential that can not only generate community wealth and opportunities, they can simply be pleasant places to spend our free time.

Fragmented Ownership

However, one prominent factor that is interfering with the development of high streets is fragmented ownership. Not only do we have many small properties, these properties often have leases, which adds to the complicated issue of ownership. In dealing with these potential places to develop, the time and effort is needed for the negotiation process puts off most owners and developers. A particularly irksome contributor to this is the holdout problem, where property owners hold out the longest in the negotiation process, looking for the maximum possible return (which is often unattainable).

So what is the solution?

The solutions to fragmented ownership are either land assembly by cooperation or by force. By force essentially means a Compulsory Purchase Order (CPO). CPOs are arduously long and the reluctance of Local Authorities to use these powers reinforces the notion that developers should not work with authorities to use these powers. This is despite the success rate being very high. Although CPOs are a solution, the time investment is prohibitive for most people - and us too (life is short!).

Land assembly by cooperation tends to fail increasingly inline with the number of plots you are trying to assemble. We know it’s rare to see a long assembly of small plots by simply looking at planning applications.

So, ultimately, there is no simple solution. Land assembly by cooperation deserves more consideration if there is so much value to be gained.

What next for us?

If the quality of our high streets should be reflective of the surrounding areas, you cannot dismiss the fact that high streets are an important contribution for positive changes to the surrounding neighbourhoods.

We’re looking closely at the land assembly process, seeing if there is an opportunity to improve how owners and occupiers can cooperate to make a positive outcome for everyone.

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If you’re interested in learning more about our journey with high streets regeneration, please subscribe to our blog or feel free to get in touch. We’re keen to hear from our readers, particularly readers with similar aspirations or perhaps you have your own experience with fragmented ownership you’d like to share.

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