Posted by Property Formula on Fri, 31 Aug 2012
This week I would talk about Restrictive Covenants. These have many definitions, mine is:
A clause in a deed that limits what the owner of the property can do. Restrictive covenants allow neighbouring property owners, who have similar covenants in their deeds, to enforce the terms of the covenants. They are intended to enhance property values by controlling development.
Covenants are normally drafted and put in place by the original developer and may be different for every property.
I have been to a site in Kidlington to consider the impact of restrictive covenants on the development prospects of a large period house. My client owns the neighbouring property, which could suffer the impact of any residential development. She contacted me to assess the potential impact of the covenants on the value of her property and to see if, by negotiation varying the covenants would be of financial benefit to her, whilst still protecting the value of her property.
So, if you think there may be some covenants on your property, or any of your clients when you are out and about, think about calling Property Formula.
Thank you for your time, I am Reuben Diffey of Property Formula .co.uk