Developers have begun to eye up sites across the region – particularly in Bury St Edmunds and Thetford – with land beginning to change hands and deals getting done.
Savills associate director Richard Shuldham says landowners are beginning bring sites forward following a big policy shift in favour of development.
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Revisions to the National Planning Policy Framework (NPPF) have generated enthusiasm – but this has been slightly dented by global economic uncertainty prompted by US President Trump’s tariffs, he says.
Housebuilder Hopkins Homes recently snapped up an 18.8 acre site in Loddon in Norfolk with planning permission for 180 homes.
Savills was also involved in the recent sale of former cavalry barracks at Butt Road, Colchester, to Newell Homes which plans to build 70 homes on the site.
Hopkins Homes has also bought nearly 24 acres of land at Horkesley Manor, Great Horkesley, with outline consent for 100 homes including 30 affordable homes.
Bellway has bought a 5.3 acre site in Halstead, near Colchester, which is earmarked for 30 homes.
Agents at Savills’ Cambridge office are reporting “strong interest” for sites in Bury St Edmunds and Thetford.
Savills’ latest quarterly survey has revealed a “cautiously positive” picture in the region.
But US trade tariffs, cost pressures and the viability of sites could offset any potential growth in land values – particularly for brownfield sites it warned.
It shows the value of greenfield sites in the East of England edging up by an average of 0.1% in the first quarter of this year, resulting in a year-on-year increase of 0.8% to the end of March.
Nationally, greenfield sites fell by an average of 0.1% in value in the first three months of this year – but year-on-year they were up 1.3%.
Urban sites grew in value by 0.1% in the East of England during the first quarter of this year – although year on year values dropped by 0.3%.
Nationally, the value of urban sites also fell by 0.1% in the first three months of this year and by 1.9% year on year.
“Overall the market has remained steady, with very little change in development land values,” said Mr Shuldham.
“Encouragingly, the East of England appears to be slightly ahead of some other areas and we have seen a reasonable amount of activity since the start of the year – with more land coming to market and more housebuilders willing to commit to a purchase.
“The US trade tariffs have impacted confidence slightly – with some buyers tempted to delay deals until the effect on the UK economy becomes clearer – but the best sites in the best locations continue to command plenty of interest and in general the picture is cautiously positive.”
Many were viewing this parliament as a “window of opportunity” to secure a position on “grey belt” sites, he said.
“We are also moving towards a better supplied land market – though any significant change in the volume of planning consents will take time to feed through.”
