Jonathan and Kieron explore the world of ‘option agreements’. They share their recent experience meeting with a landowner and explain how these legal tools can be a game-changer for property developers, allowing them to control land without the immediate need for a full purchase. They cover the benefits for both developers and landowners, various deal structures, and the importance of professional legal advice.

KEY TAKEAWAYS

An option agreement gives a developer the right, but not the obligation, to purchase a property at a pre-agreed price within a specific timeframe.

These agreements significantly reduce upfront capital requirements and allow developers to de-risk projects by securing planning permission before finalising the purchase.

Landowners can potentially achieve a higher sale price after planning is secured, while the developer funds all the associated planning costs.

Including an assignable clause in the agreement allows developers to sell the contract to another party, providing multiple exit strategies.

It is crucial to work with a commercial solicitor experienced in option and promotion agreements to ensure the contract is properly structured and protective.

BEST MOMENTS

"You don't need to buy every piece of property that you see, you can just control it."

"An option agreement gives a developer the right but not the obligation to buy land, at a pre-agreed price within a defined time period."

"Your network is your net worth; telling everybody what you're doing is true."

"To be a developer doesn't mean you have to build everything. You can have the planning uplift, you can promote the site, you can package the deal up for another developer."

"Option agreements are just a tool. They don't create the value, the developers create the value because developers are the ones that have the vision."

HOST BIOS

Jonathan is a property developer and entrepreneur with a background in finance and construction. Originally from South Africa, he holds degrees in Accounting and Auditing and relocated to England in 2003. He gained financial and operational experience at firms such as RSM, Prudential, and Baker Tilly before transitioning into property. Since 2014, Jonathan has managed major commercial-to-residential conversions and new build developments, particularly across the South West. His analytical mindset and on-the-ground experience help listeners navigate the property world with confidence.

Kieron is a construction expert and entrepreneur with over 20 years of industry experience. Starting as a mason, he went on to found Shepherd Construction in 2012, delivering projects across both the public and private sectors. From extensions to luxury new builds, Kieron has earned a reputation for quality, precision, and strong leadership. As Managing Director, he’s involved in every stage—from design to delivery—offering a no-nonsense, deeply practical perspective to anyone looking to build with success.

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