Negotiation, Negotiation, Negotiation

UK Property Investment news and comments from Mark Harrison of YourPropertyExpert.com

Why are British housing-developer houses so boring?

Posted by markharrison on January 8, 2011

Another answer I gave to a question from Quora. This question was about why developers neither follow local styles, nor embrace modern design, but instead build bland boxes.

My short answer is “because experience has taught them that that is what sells, and is cheapest to build, and they can get approval for.”

In terms of what sells, UK property prices are at a high relative earnings (even after the declines of 2007-2010). At the cheaper end of the market, buyers typically want a set number of bedrooms, with little requirement ever articulated to developers for “design feature X.” At the upper end of the market, the term “architect-designed” is more frequently used, with houses incorporating more interesting and vernacular features.

So the question becomes one of why large numbers of entry-level houses are required. The answer is partly demographic, and partly planning-led.

The big social change that drives housing requirements over the last 40 years has been the decrease in the number of people who live in the average property. Not only have numbers of children per couple decreased, but divorce is far more common, as is an expectation that children will live away from their parents prior to marriage. The housing mix in the UK still has a disproportionately high number of large houses by historical levels, compared to the number of occupants per house.

Planning Permission is top-down, and led by Local Development Frameworks, which are renewed every 10 years (or Local Development Plans if the local authority has not hit one of its 10 year cycles since LDFs were introduced – the differences between the two not really making a huge difference to this answer.)

If a developer has a plot in area A, then the local council will generally have a strong guidance on the mix of sizes of houses / flats that should be built, in order to meet their own social objectives.

In many parts of the country, particularly the South East, councils are attempting to maximise the number of new properties, while minimising the amount of non-housing land turned over to construction. As such, guidance is in many cases for a large number of small (1-3 bedroom) properties.

Once a developer is in a situation that they need to build, say, 15, houses, then there are clear economic benefits of standardisation. The lure of paying one set of architects / structural engineers’ fees rather than 15 improves their profit, typically by about 1%-1.5% of turnover.

Add to that the possibility for re-using the same design on multiple sites across the developer’s landbank, and the “cookie cutter” approach becomes irresistible, with national designs trumping regional variations.

At the higher end of the market, designs are, indeed, far more varied, and tend to incorporate more interesting features, as do self-build houses.

About these ads

3 Responses to “Why are British housing-developer houses so boring?”

  1. AnonW said

    There is another reason. Many of our builders and so-called craftsmen can’t do things that are different. I’ve recently moved into a ten-year-old house in London with interesting features. Typical is a steel staircase held together with bolts. Half the bolts are one way and the rest, the other. Unless it’s straight you can rest assured Jerry and his mates will louse it up as they try to get the job done quickly and at the least cost.

    http://anonw.wordpress.com/2010/12/10/how-not-to-put-in-bolts/

    James

  2. One of the main reasons behind these not so good houses is the market value of property in particular areas. As we know investors and buyers are going for everything. They are paying a lot of money to buy properties. Because of this builders are not worried about design of houses these days as they know people are buying EVERY THING they can get out of the market!

  3. marketing online…

    [...]Why are British housing-developer houses so boring? « Negotiation, Negotiation, Negotiation[...]…

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

 
Follow

Get every new post delivered to your Inbox.

%d bloggers like this: