A predominantly retail property located in a prime position in a North Derbyshire town owned by a retailer who traded from the ground floor, and who let out the upper floor accommodation, consisting of approximately 1450 ft.² of poorly designed space, as a single flat on an AST.

The upper floor accommodation was run down and the main building structure and roof was in need of some refurbishment work.

Ferriby Design and Construction Ltd inspected and reported on the accommodation assessing that it would be possible to create two flats, one two-bedroom, and one one-bedroom.
Initial plans were prepared and initial costings carried out together with assessments as to likely sale values.

Upon agreement of the principle of a deal further more detailed plans were prepared and the scheme fully costed, which involved some general maintenance to the roof of benefit to the entire property.

At this stage a detailed agreement was entered into, with Ferriby Design and Construction Ltd proceeding on an open book basis, having assessed the potential costs, but endeavouring to proceed creating further savings as and where necessary.

The total development expenditure over an eight week build period was circa £55,000, falling within the assessment budgets and with all work paid for and managed by Ferriby Design and Construction Ltd.

At this stage the long leasehold interests of the completed flats were marketed and sold, with Ferriby dealing with this aspect.

The first call on the money raised from the sale of the first flat was payment of the construction costs, followed by a phased fee payment to Ferriby as the second flat sold.

The owner of the property came out of the situation having not had to put any money or time into creation of the flats.

An overall figure was achieved significantly in excess of the original value of the undeveloped flat, and, in addition to this, his building had been generally enhanced.