GUIDANCE NOTES FOR APPLICANTS WISHING
TO PURCHASE LAND/PROPERTY OWNED BY EAC
INTRODUCTION
These guidance notes are intended to explain the processes the Council have adopted to process
independent third party applications to purchase any Council owned land or property which is not currently
being marketed for sale. Estates Management will co-ordinate requests of this nature on behalf of all
Departments of the Council.
It should be noted that it is normal Council policy to advertise surplus land or property for sale on the open
market and invite formal offers by tender unless there are special reasons to do otherwise. If, following
consideration of an application, it is subsequently established that the site is surplus to operational
requirements and is capable of being marketed for sale then the Council may decide to advertise the
subjects for sale on the open market at which time you would be invited to submit a formal offer in
accordance with the marketing procedures. Only in this circumstance would the initial application fee be
refunded.
Applicants are strongly advised to undertake pre-application discussions with the Planning Service
on the merits of their proposal prior to submitting a formal application to purchase.
CONSULTATION PROCESS
On receipt of a formal application and fee Estates Management will undertake the following consultations:
1. LEGAL SERVICES
The Solicitor to the Council will be requested to carry out a comprehensive title investigation to
confirm that the Council holds a clear title to the subjects associated with your enquiry and to
identify if there are any title restrictions which may prevent a disposal or subsequent development of
the subjects for your proposed use. It should be noted that in the event of a disposal it will be for
your solicitor to examine the Council’s title and confirm satisfaction on your behalf both of ownership
and suitability for your proposed use.
2. HOLDING DEPARTMENT
Once identified, the department currently responsible for the subjects will be consulted to determine
if they would be willing to declare the subjects surplus to their operational requirements for the
purposes of a disposal either to yourself or on the open market, if appropriate. In addition,
consultation with other Council department will be undertaken, where appropriate, to establish
whether they would have any interest in utilising the subjects.
3. PLANNING
The Planning Service will be consulted to establish any policy implications associated with the
enquiry. Any views obtained at this stage are non-binding and each detailed planning application
will be considered on its own merits. It should be noted that the Council’s role as Planning Authority
in processing planning applications is entirely separate from the Council’s role as landowner.
Accordingly, any decision to dispose of the land will not be relevant to considering a planning
application.
Where planning consent is required for the proposed use of the subjects any sale will be conditional
upon this consent being obtained. It should be noted that a fee will be payable in respect of all
planning applications including planning applications for change of use which include change of use
from open space to private garden ground.
AUTHOR: ANGELA GRAHAM
DOC. NAME: Guidance notes for applicant wishing to acquire from EAC
VERSION NO.
DATE
5.0
May 14
4. ROADS
The Council’s Roads Service will be consulted to establish if the proposal has any impact on the
existing roads network or if any improvement works may be required. Consideration will also
require to be given as to whether the proposals impact on road sightlines.
If the development involves the creation of a runway/erection of a garage, a Roads Opening permit
will be required and the appropriate fee will be payable.
5. UTILITIES
Consultation will be undertaken to determine whether there are any utilities which would be affected
by the sale of the subjects or may affect the development potential. In the event hat street lighting
equipment is contained within the subjects then the purchaser will be responsible for any relocation
costs.
East Ayrshire Council does not guarantee the adequacy/location of any services and advises all
prospective purchasers to contact the relevant utility companies to satisfy themselves as to the
position/location and condition of any services and, their suitability for future use.
It should be noted that the above list is not exhaustive and any other consultations will be
undertaken as deemed necessary.
DETERMINATION OF APPLICATION
Once all the consultation responses have been received an in principle decision will be taken as to
whether:
a. The Council should retain ownership of the subjects in which case the applicant will be advised
accordingly; or
b. It is considered that the subjects are capable of being disposed of independently in which case only
the initial application fee will be returned to the applicant. Thereafter the Council will progress this
matter and, if declared surplus to operational requirements, the subjects will be advertised for sale
on the open market at which time the applicant can submit a formal offer in accordance with the
marketing procedures; or
c. It is considered appropriate to dispose of the subjects on a negotiated basis to the applicant.
Thereafter principle terms and conditions will be issued to the applicant.
TERMS AND CONDITIONS
The principal terms and conditions associated with the sale of the subjects will include:
1. A capital consideration will be payable in respect of the sale of the subjects. In determining the
value, consideration will be given to any future development potential associated with the subjects
together with the purchaser’s existing property ownership which may arise as a result of combining
the ownership interests.
2. The purchaser will be responsible for payment of the Council’s properly incurred Estates
Management fees in connection with the transaction which will include the preparation of a formal
deed plan. In this regard, the current fees payable are 1% of the purchase price subject to a
minimum payment of £400.
3. The purchaser will be responsible for payment of the Council’s properly incurred Legal Services
fees and outlays in connection with the transaction.
4. If planning consent is required for the proposed use of the subjects, any sale will be subject to the
purchaser obtaining this consent. In this regard, purchasers are recommended to contact Planning
to establish the relevant fee payable in respect of the required application. Telephone 01563
576790.
5. If the development involves the creation of a runway/erection of a garage, a Roads Opening permit
will be required and the appropriate fee payable. Please contact May Stevenson, Admin Officer,
Roads on 01563 576407 to establish the costs and process involved.
6. The Purchaser will be responsible for obtaining all other statutory and other consents necessary for
their proposed use of the subjects and will require to meet any associated costs
It should be noted that the above list is not exhaustive and that additional or alternative terms and
conditions will be inserted as deemed appropriate to the individual application.
PROCEDURE FOR DISPOSAL
1. Upon written confirmation that the principle terms and conditions are acceptable to the purchaser
and before any sale can proceed, the subjects will require to be formally declared surplus to
operational requirements. Estates Management will prepare a report recommending that the
subjects are declared surplus for the purpose of a disposal to the purchaser.
2. If authority to proceed is granted then further authority will be sought to instruct the Solicitor to the
Council to issue a formal offer on the basis of the principal terms and conditions agreed and any
other conditions deemed necessary by the Solicitor to the Council to protect the interests of the
Council
3. Please note that where the land is held on the Housing Revenue Account, the consent of the
Scottish Government to the proposed disposal will be required in terms of Section 12 (7) of the
Housing (Scotland) Act 1987.
TRANSACTION CONCLUSION
The Solicitor to the Council will issue a formal offer to sell the subjects to the purchaser or if details are
provided in advance of agreement of the principal terms and conditions, to the purchaser’s Solicitor.
Formal legal missives for the disposal of the subjects will thereafter be concluded. It is likely that the
missives will contain suspensive conditions including for instance the requirement for planning consent for
change of use which will require to be purified before the sale can be finalised.
The sale will be finalised once any suspensive conditions have been purified. Purchasers should note that
this may be a lengthy process and that a time period of several months from the date of missives to final
settlement should be allowed to enable the conditions to be purified. At that point ownership of the
subjects will transfer to the purchaser upon payment of the purchase price and payment of the Council’s
Estates Management and legal fees and outlays.
Prospective purchasers will require to appoint a Solicitor to act on their behalf to conclude the disposal. It
will be the responsibility of your solicitor to provide clarification on the legal implications associated with the
proposed purchase of the subjects and accordingly applicants are recommended to appoint a Solicitor as
soon as possible.
SUMMARY
These guidelines have been prepared to provide prospective purchasers with a summary of the
procedures adopted by the Council when considering requests to purchase land or property which is
not being marketed for sale. The guidelines also provide prospective purchasers with an indication of
the potential cost implications and timescales associated with a property transaction of this nature and
allows consideration to be given to this matter before submitting a formal application to purchase.