Development Management DPD - Revised Proposed Submission
Appendix 4: Marketing and Market Demand Evidence
A6 This appendix details requirements for applicants to produce evidence to demonstrate that employment, visitor accommodation and A1 retail premises are no longer in demand, viable or suitable for their continued permanent authorised use.
- Part A applies to A1 retail units in circumstances outlined by Policy DM13.
- Part A applies to the loss of visitor accommodation within Key Areas as described in Policy DM12.
- Part A and B apply to the loss of employment land in Employment Areas as defined by Policy DM11 and on the Policies Map.
- Part C applies to the loss of employment uses outside those Employment Areas defined by Policy DM11 and Policies Map.
A7 The Council may seek independent advice, funded by the applicant at a reasonable cost, to test the veracity of any marketing and/ or market demand exercise. This verification will assess the accuracy and robustness of the matters listed below.
PART A - Marketing
In instances where policies require marketing information to be submitted, the following details will be used to assess the acceptability, or otherwise, of the information submitted and any marketing undertaken.
Marketing evidence requires demonstration of an active marketing campaign for a continuous 2 year period, whilst the premises were vacant*, which has shown to be unsuccessful.
Marketing must be through a commercial agent at a price that genuinely reflects the market value of the lawful use. It must be shown to the council's satisfaction that marketing has been unsuccessful for all relevant floorspace proposed to be lost through redevelopment or Change of Use.
Active marketing should include all of the following:
- A visible advertisement board posted in a prominent location on site, including relevant contact information (subject to advertising consent, if required);
- Registration of property with at least one commercial property agent and continuously advertised on the agent’s website;
- Property details and information available to enquirers on request;
- Property marketed at a reasonable price reflecting market conditions, including in relation to use, condition, quality and location of the premises/ site;
- Property marketed for the appropriate use or uses as defined by the relevant planning policy.
Sufficient detailed information is required to be submitted alongside any planning application to demonstrate compliance with the above criteria.
Additionally, information should be submitted regarding:
- the number and details of enquiries received;
- the number of viewings;
- the number, type, proposed uses and value of offers received;
- reasons for refusal of any offer received, and/or reasons why any offers fell through;
- the asking price and/or rent that the site or property has been offered at, including a professional valuation from at least three agents to confirm that this is reasonable;
- the length of marketing period, including dates, and
- the length of the vacancy period.
* - For the purpose of Policy DM13 vacant units could include units occupied for 'meanwhile uses' or temporary uses, permitted through a temporary planning permission or under permitted development rights.
- For the purpose of Policy DM12, visitor accommodation is not required to be vacant during the marketing exercise.
PART B – Market Demand Analysis
A detailed assessment of the current, and potential future, market demand for the site or premises in question should be provided. Market demand analysis submitted alongside, or where justified, in place of marketing evidence must set out clear and up-to-date information on matters including:
- Business floorspace available in other similar properties within the market area
- Rental levels achieved for these properties
- Independent commentary on the current and likely future demand for floorspace within the market area, based on the above factors and other relevant considerations (e.g. the latest Southend Employment Land Review and Survey of Key Employment Areas).
To take account of changing economic circumstances consideration should be given to any likely changes in market conditions within a 3-5 year time horizon, which could impact on development viability.
PART C – Qualitative Appraisal
The appraisal will set out an analysis identifying the advantages and limitations of the site or premises in question to accommodate employment uses. For each limitation that is identified, a justification should be provided as to why it could not be overcome having regard to the introduction of alternative employment uses, general investment or improvements, or through competitive rental levels.
In addition, the appraisal should include, but is not limited to, the following analysis:
- The relevant national, regional, local planning and economic policy context;
- The quality of the buildings/ site;
- The accessibility of the site and its ability to serve a range of employment uses having regard to private and public transport; and
- Any constraints that will limit the future use of the site or premises for employment uses.
Additional marketing and market demand information, reflecting Part A and/ or Part B as set out above, may be used to support the appraisal.
Comparison with other employment sites or areas within the locality should discuss issues that are relevant to the site or premises.