When building property the first step to making decisions about the size of an apartment is to be market-led. But, as a rule of thumb, 30m2 is about right. Anything under that and you will struggle to borrow the money you need to build. Also, when it comes to selling, you will need to be a cash buyer as most mortgage products require a flat to be not too small.
Property Expert Series: Grant Erskine From Grant Erskine Architects
- Part 1: Introducing Grant Erskine from Grant Erskine Architects
- Part 2: What Are Grant Erskine Architects Currently Working On?
- Part 3: Grant Erskine’s Biggest Property Development Success
- Part 4: Tips For Property Developers
- Part 5: What Has Been Your Biggest Mistake In The Property Business?
- Part 6: How Will The Construction Sector Change Over The Next 5 Years?
- Part 7: What Could Councils Be Doing To Address The Housing Crisis In 2018?
- Part 8: What Are Modular Buildings and What Do They Mean for Investors?
- Part 9: If You Had to Choose One Investment Strategy Which Would You Choose?
- Part 10: How is Co-Living Disrupting the UK Property Market?
- Part 11: How Big Does a New-Build Apartment Need To Be?
- Part 12: How Big Does a New-Build House Need To Be?
How Big Does an Apartment Need to Be?
Amy: What apartment sizes would you aim for if you were building new developments and why would you aim for those sizes?
Grant: It should be market-led, entirely market-led.
If every other apartment in the area has big rooms then you, pretty much, need to provide that.
But if you want a hard and fast number it’s 30 square meters, minimum. The real simple reason behind that is that, at that size, you, as a developer, have more lender products available to you.
And there is also a greater number of mortgage products available to your would-be buyer when you are trying to sell.
So, every so often, more people come to us wanting to build micro-studios at sub 200 square foot. So, we’re taking 20 square metres. We can do it. There are some really clever ideas of how you live in a hundred and eighty square feet.
But we make sure that our clients understand that when they come to sell, it’s likely that their buyer will be a cash-buyer.
The truth is that the market can resist this kind of build.
We did one, recently, for Rob and Chris, here. I looked at the total square metres of the space and then worked out the flats around it.
It was a big, 4-storey townhouse. We looked at the number of flats we could build and if any flat wasn’t more than 30 square meters we knew it wouldn’t work.
So, we ended up drifting a lot of walls, a lot of structural walls across just to make sure there were those 30 square metres in each apartment.
Amy: Perfect, thank you.
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