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The increased burden on infrastructure from new developments is real and should be built into development costs. But is the CIL the way to do it?


The Community Infrastructure Levy (CIL) is a product of the UK Planning Act 2008 Wholesale Joe Carter Jersey , enforced since 2010, as a means of making developers pay for the increased burden on infrastructure that comes with new homes and businesses. It is an outgrowth of earlier recommendations in 2003 from economist Kate Barker, who felt that planning gains that went to developers should be partially channelled to overburdened infrastructure features (roads, schools Wholesale Roberto Alomar Jersey , utilities, etc.) and to increase the stock of social housing.


Private investors involved in land site assembly of course need to take this into consideration. Infrastructure will make the properties they develop more valuable 鈥?but only if funds from the CIL are put to use in ways that materially affect the new developments. Evidence suggests this does not always happen that way.


In its most basic form, the CIL is charged on any building that has some degree of human occupancy (i.e., not parking or warehousing) including residential Cheap Roy Halladay Jersey , commercial and retail space. Only buildings adding or constructing anew 100 square metres or more of floor space (gross internal area) on or after 6 April 2013 are subject to the levy. Changes of (existing) building uses are not liable, nor are structures that are not actually buildings (such as warehouses or wind turbines). Social housing development and buildings owned by charities are exempt as well.


Implementation of CIL has of course met some criticisms, many of which make a legitimate point. Because local planning authorities collect the levy and apply it as they choose 鈥?within prescribed parameters, of course 鈥?they are instructed to establish charging schedules. This was to be completed as of April 2014 but now is likely extended to April 2015. Those authorities can also set different rates for different sized developments Cheap Jesse Barfield Jersey , however they must establish evidence to justify those different rates.


Importantly, a 鈥淐IL in kind鈥?provision allows that developers themselves may be best suited to build certain infrastructure components using cost-effective methods. For example, when building a community of 50 homes, the developer or homebuilder might be able to establish water and other utility services with the equipment they already have in place Cheap Roger Clemens Jersey , where they are most familiar with the land and adjoining infrastructure. It could be much more cost efficient than to channel funds through a bureaucracy that then hires a third party to do the work.


A columnist for The Guardian who writes on local government issues took a swipe at the CIL for having a significant unintended consequence. Ian Blacker wrote in October 2012 that the CIL may actually be reducing the number of affordable homes. He cites how in London, the mayor wants to channel CIL funds to the gargantuan Crossrail project, not social housing. Also, that the CIL funds in any planning authority can be geographically used anywhere in that authority Cheap Paul Molitor Jersey , well removed from where the infrastructure needs are increased by new development.


Blacker concludes the CIL is uncharted territory, stating 鈥渨e are entering the realm of unintended consequences.鈥?To the developer, joint venture land investment managers as well as the local planning authorities, this may be unsettling news.


But the demand for housing is hugely unmet; investors in development still find places to build and where the return on investment makes it worthwhile. Whether or not the CIL cuts into planning gains is yet to be determined; would-be UK capital growth fund investors are encouraged to consider CIL costs and speak with an independent financial planner to see where real estate investments might fit within a broader investment portfolio.
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Why installment sales are a viable alternative to the home loans to buy a new ho

Posted by instantmoneyloans on June 6th Cheap Curtis Granderson Jersey , 2014


A very small number of people are able to afford paying the full price of a home when buying it. Most people apply for home loans in order to buy a home, but almost half of the home loan applications are rejected. In this situation, many people opt for the other alternative to home loans and that is the installment sales. Almost 5% of the property sales in South Africa at present are based on this type of deal. The installment sale reduces the burden of paying the complete amount of the property price in one go. Usually in this type of deal the seller agrees to take the full price of the property over a period of 5 years.


Although the installment sale does not give you as much leeway as a home loan, it does give you a considerable amount of time in which you can pay for the property. The Alienation of Land Act passed in 1981 has made these types of deals possible and bought the rights of the buyer Cheap Russell Martin Jersey , as well as the seller of the property, are protected with the help of this act. This act allows the buyer to purchase the property by paying the sales price in more than two installments. The period in which this price has to be paid is more than one year, but cannot exceed 5 years.


This kind of sales trans