Property consultant and surveyor Naismiths says it has seen a 5% increase in the number of development projects failing or struggling over the past 12 months.
The development sector has rarely been as active as it is at present, thanks to a mixture of international capital attracted by sterling’s weakness, permitted development rights powering countless office-to-residential developments, a rapidly growing list of lenders and overall strong demand.
But the healthy development environment is proving a double-edged sword with a growing number of less experienced players entering the market carrying out insufficient due diligence into the commercial viability of a project, while some developers are taking on increasingly complex projects and overtrading because finance is more readily available.
Register for free or sign in to continue reading
This is not a paywall. Registration allows us to enhance your experience across Construction Management and ensure we deliver you quality editorial content.
Registering also means you can manage your own CPDs, comments, newsletter sign-ups and privacy settings.
