Description
Croydon mixed-use development opportunity – GDV £9.5M
Key Takeaway: Acquire a disused‐pub site in CR0 2BW with approved planning for 23 residential units + commercial space. GDV £9.5M. BMV land price £2.6M (save £400k).
Introduction
Croydon mixed-use development opportunity delivers a turnkey scheme in the heart of one of London’s fastest‐growing boroughs. Approved under planning ref 23/04018/FUL, the project comprises a basement & ground‐floor commercial unit plus 23 homes (9×1-beds, 8×2-beds, 6×3-beds) across six storeys. With a GDV of £9.5 million and a best‐minute‐value land price of £2.6 million, investors benefit from immediate equity of £400,000 and no confirmed CIL/S106 liabilities.
Site Description
Located at CR0 2BW, the former pub sits a short walk from East Croydon Station. The approved mixed-use scheme spans:- Basement & ground floor: single commercial unit
- Floors 1–5: 23 apartments (9×1-bed, 8×2-bed, 6×3-bed)
- Total floors (incl. basement): 6
Investment Highlights
- Planning Approved: Ref 23/04018/FUL – immediate start possible
- Residential Units: 23 apartments (1-, 2- & 3-beds)
- Commercial Unit: Basement + Ground Floor
- GDV: £9,500,000
- Land Price: £2,600,000 (BMV – save £400,000)
- Floors: 6 storeys (incl. basement)
- CIL & S106: TBC
Investment Performance Analysis
| Metric | Value |
|---|---|
| Gross Development Value (GDV) | £9,500,000 |
| Land Price (BMV) | £2,600,000 |
| Immediate Land Saving | £400,000 |
| Total Project Costs | £9,061,375 |
| Gross Profit | £438,625 |
| Profit Margin | 4.6% |
| Return on Investment (ROI) | 4.8% |
| Cost per Unit | £377,557 |
| Profit per Unit | £18,276 |
| Annual Rental Income | £579,000 |
| Gross Rental Yield | 6.1% |
| Estimated Development Period | 18 months |
| Annualized Return | 3.2% |
| Cost Breakdown | |
| Cost Component | Amount (£) |
| -------------------------------- | --------------- |
| Land Acquisition | 2,600,000 |
| Construction Costs | 4,487,500 |
| Professional Fees (15%) | 673,125 |
| Finance Costs (8%) | 567,000 |
| Marketing & Sales (3%) | 285,000 |
| Contingency (10%) | 448,750 |
| Total Project Costs | 9,061,375 |
| Unit Analysis | |
| Unit Type | Qty |
| --------------- | ----- |
| 1-Bedroom | 9 |
| 2-Bedroom | 8 |
| 3-Bedroom | 6 |
| Commercial | 1 |
| Total | 24 |
