25.10.2016, This week, the government has finally made the long awaited announcement of its intention to increase airport capacity in the South East, by creating a third runway at Heathrow.
As a consequence of this seismic decision, hundreds of businesses will be affected by compulsory purchase, and should start planning now to protect their interests, explains Mark Warnett from property consultant Carter Jonas’s Compulsory Purchase team.
"Since Heathrow’s 2014 estimate to the Davies commission, which budgeted £1.74 billion to compensation, for commercial property, values have increased significantly."
"Navigating complex compulsory purchase laws, finding suitable replacement premises and managing a timely relocation, properly funded by compensation, will be business critical challenges for those affected."
"While the Government has announced its preferred option, there are still many hurdles that will need to be crossed. There will need to be a parliamentary vote before the preferred option is confirmed as a National Policy Statement, at which point qualifying business will be able to apply for ‘Statutory Blight’, in order to bring the compulsory purchase process forward."
"In the meantime, and for those businesses that don’t qualify - those with a rateable value of over £34,800, for example - the process will create significant uncertainty and risk. This risk is compounded by a serious lack of knowledgeable and experienced surveyors in the sector, and is one of many commercial imperatives to start planning for compulsory purchase and relocation, now."
Our specialist CPO team is one of the largest in sector giving expert advice to claimants affected by major infrastructure schemes. Working together with the commercial property advisory team in our Head Office at Chapel Place, London we offer the coordinated service crucial to businesses with complex claims and relocation requirements.