What is a Ransom Strip
A strip of land, owned by a third party, which limits access for development i.e limits access to site, or access to mains services.
Stokes v Cambridge Corporation - ransom strips are valued at 30% of the uplift in value of the land, as a result of the development
What is Betterment?
Where the value of the retained land has increase, as a result of the scheme.
Example: severance by a road has created potential development land due to its situation between a town and new main road.
Example: severance has created small equestrian paddock, increasing values compared to a large arable field
What is Blight?
Where the value of the retained land has reduced, to the extent there is no longer a use or market demand for the property.
A landowner can serve a ‘blight notice’ on the acquiring authority, forcing them to purchase the property.
What are Heads of Claim?
- Land Taken
- Severance
- Injurious Affection
- Disturbance
- Basic Loss Payments
- Fees and interest
What is Severance and Injurious Affection? Give examples of each.
Severance: diminution in value on retained land, as a result of land being severed from the farmsteading.
Example: holding used to be ring fence, created additional travel time, created lots of smaller fields making them unpractical and uneconomical to farm
Injurious Affection: diminution in value on retained land, not covered by severance
Example: noise/dust pollution, marriage value between house and land, impact on residential property value, impact on sporting activity
What are accommodation works? Give examples.
Works to mitigate the claimants loss, and reduce a claim for severance and injurious affection.
Examples:
- underpass/bridge to reduce travel time
- access tracks to reduce travel time
- new gateways to reduce travel time
- new fencing to manage stock
- water troughs to provide drinking
- double glazing to reduce noise pollution
What is Disturbance? Give examples.
Loss to the claimant, that do not effect the value of the land
Examples:
- time liaising with acquiring authority and agent
- time in moving stock
- time in erecting new fencing
- losses from straying/escaping stock
- crop loss
- future crop loss
- interruption to services (telephone, electricity, water)
- damage to drains and flooding
- interruption to diversification income
What is the process for compulsory purchasing land?
1.) Acquiring authority draft CPO/DCO
2.) Draft CPO/DCO is published on site, to affected landowners and in local news
3.) CPO/DCO is submitted to minister/secretary of state
4.) Public enquiry held
5.) CPO/DCO is confirmed by minister/secretary of state
6.) CPO/DCO is published within 6 weeks
7.) NTT & NofE is served or GVD is executed within three years
What is the difference between a Compulsory Purchase Order and a Development Consent Order used?
A DCO is used on Nationally Significant Infrastructure Projects and the DCO is approved/rejected by the Secretary of State, who is advised by a planning inspector
What is the process of a Notice to Treat and Notice of Entry?
1.) Notice to Treat served within three years of confirmed CPO/DCO and confirms interest/ownership in land
2.) Notice of Entry served with at least three months, gaining possession of the land
What is a General Vesting Declaration?
Used instead of a NTT and NofE, after a CPO/DCO has been confirmed.
Process:
- GVD is created and executed, stating when the transfer of ownership will take place
- transfer of interest takes place at least three months later (on the vesting date)
What are the Six Rules for Compensation?
1 - no allowance for the land being compulsory purchased
2 - value of the land is based on open market value by a willing seller
3 - no allowance for special suitability of the land to suit acquiring authorities needs
4 - no allowance if value has increased due to unlawful use of land
5 - value based of equivalent reinstatement where there is no general market or demand
6 - Rule 2 does not apply to disturbance claims
What legislation brought in the Six Rules?
Land Compensation Act 1961 - section 5
