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Swathes of stuff to wade through and I noticed this as I scratched the surface.
1.5 The applicant previously submitted a viability assessment via their architect, Beanland Associates Architects, and this was reviewed by Dixon Seale Partnership. Where possible we have followed the methodology previously applied and used inputs that were previously agreed.
1.6 The Gross Development Value for the scheme is £33,600,000 (rounded) including the residential sales income and ground rent investment value.
1.7 The Argus appraisal for the proposed development calculates a residual land value for the proposed development of -£11,200,000 (rounded). i.e. a negative land value.
1.8 The Benchmark Land Value of the existing property had previously been suggested as between £415,000 and £800,000 by Dixon Searle Partnership. We have taken the approximate midpoint and used a benchmark land value of £600,000. We have compared this benchmark with the residual land value.
1.9 The residual land value is therefore showing a shortfall of some £11,800,000.
1.10 We would therefore conclude that the proposed scheme cannot sustain any contribution towards affordable housing or S.106 contributions.