It happens more often than you might think. A letter arrives in the post, an email lands in your inbox, or someone knocks on your door. A developer or land promoter is interested in your land and wants to talk.
For many landowners, this moment comes completely out of the blue. You may never have considered that your land had development potential, or you may have had a vague sense that it might be worth something but never pursued it. Either way, being approached by a developer can feel both exciting and overwhelming — and it raises a lot of important questions.
What do they actually want? Is their offer fair? Should you sign anything? Do you need a solicitor? Are there better options available?
This guide explains exactly what happens when a developer approaches you, what to watch out for, and how to make sure you get the best possible outcome for your land.
Why Has a Developer Approached You?
The first thing to understand is that developers and land promoters are professionals whose entire business model depends on identifying land with development potential — often before the landowner themselves is aware of it.
They use sophisticated mapping tools, planning databases and local market knowledge to identify sites that could be suitable for development. When they contact you, it is because they believe your land has genuine potential — and they want to secure an agreement with you before anyone else does, and ideally before you fully understand what your land is worth.
This is important context. A developer approaching you is not doing you a favour. They are making a commercial decision in their own interest. That doesn’t mean the approach isn’t a genuine opportunity — it very much can be — but it does mean you should approach any discussions with your eyes open.
What Are They Likely to Be Proposing?
When a developer or land promoter contacts you, they will typically be proposing one of the following:
An Option Agreement
An option agreement gives the developer the right — but not the obligation — to purchase your land at an agreed price or formula, usually within a set timeframe and subject to planning permission being granted.
During the option period, the developer will typically fund and manage the planning process. If planning permission is secured and they choose to exercise the option, the sale completes at the agreed terms. If they decide not to proceed — for example because planning permission was refused or the scheme is no longer viable — they can simply let the option lapse and walk away.
The key issue with option agreements is that they heavily favour the developer. The price formula is often set at the time of signing, which may not reflect the true value of your land once planning permission is granted. The developer controls the planning process and the timeline. And once you have signed, you are locked in.
A Promotion Agreement
A promotion agreement works differently. Rather than agreeing to sell to the developer directly, you appoint a land promoter to seek planning permission on your behalf. Once planning permission is granted, the land is sold on the open market — typically at auction or by informal tender — and the promoter takes an agreed percentage of the sale proceeds as their fee.
The key advantage for the landowner is that the land is sold at open market value after planning permission is secured, rather than at a price agreed before planning. This typically delivers a significantly higher return. The promoter also bears all the upfront costs and risks of the planning process.
A Conditional Contract
A conditional contract is an agreement to sell your land to a specific developer, subject to planning permission being granted. Unlike an option agreement, both parties are committed to the transaction if the condition is met — the developer cannot simply walk away if planning is secured.
Conditional contracts can offer more certainty for the landowner but less flexibility. The agreed price is typically fixed or formula-based, which means you may not fully benefit from any increase in land value during the planning process.
An Unconditional Offer
Occasionally, a developer will make an unconditional offer to purchase your land outright, without any planning condition. This offers immediate certainty and cash in hand, but the price will reflect the risk the developer is taking on — meaning it will typically be significantly lower than the value of the land with planning permission.
Unconditional offers can sometimes be the right choice — particularly where a landowner needs certainty or liquidity — but they should always be assessed against the alternatives.
What Should You Do When First Approached?
1. Don’t Sign Anything Immediately
This is the single most important piece of advice. No matter how compelling the offer sounds or how much pressure you feel, never sign any agreement without taking independent professional advice first.
Option agreements and promotion agreements are legally binding contracts that can tie up your land for years. The terms can be complex, and the implications are significant. A developer who pressures you to sign quickly is not acting in your best interests.
2. Don’t Assume the First Offer Is the Best One
Developers approach landowners speculatively, often hoping to secure an agreement before the landowner has had a chance to explore their options or understand the true value of their land. The first approach is rarely the best deal available.
Before committing to anything, it is worth understanding whether other developers or promoters might be interested in your land, and what the competitive market for your site might look like.
3. Find Out What Your Land Is Actually Worth
The value of development land — particularly land with planning potential — can be extraordinary. Understanding the realistic range of values for your site, both with and without planning permission, is essential before entering into any agreement.
A free land assessment from an independent consultant like Revive Estates Group can give you an honest, professional view of your land’s potential and the options available to you — without any obligation to proceed.
4. Get Independent Legal Advice
Any agreement you sign should be reviewed by a solicitor with experience in development land transactions. This is not optional. The legal and financial implications of option agreements and promotion agreements are significant, and a solicitor will identify terms that may be unfavourable and negotiate improvements on your behalf.
Many developers and promoters will contribute to your legal costs as part of the agreement — so you may not even need to pay for this yourself.
5. Take Your Time
You are under no obligation to respond quickly. A genuine developer or promoter will understand that you need time to take advice and consider your options. Anyone who applies undue pressure to get you to sign quickly should be treated with caution.
Key Questions to Ask Before Signing Anything
Before entering into any agreement with a developer or promoter, make sure you can answer the following questions:
What is the proposed price or price formula — and is it fair? How is the price calculated? Is it a fixed sum, a percentage of open market value, or based on a residual land value calculation? Understanding how the price is determined — and whether it reflects the true potential of your land — is critical.
How long does the agreement last? Option agreements and promotion agreements typically run for between 3 and 10 years. During this period, your land is tied to the agreement and you cannot sell or develop it independently. Understand what happens at the end of the term if planning has not been secured.
Who controls the planning process? In an option agreement, the developer typically controls all planning decisions — what is applied for, when, and how. This may not align with your interests as a landowner. In a promotion agreement, the promoter acts on your behalf, but you should still understand the extent of your involvement and approval rights.
What costs are you responsible for? In most cases, a developer or promoter will fund all planning costs. However, you may still be liable for legal fees, overage arrangements or other costs depending on the specific terms. Make sure you fully understand your financial exposure.
What happens if planning permission is refused? Understand clearly what happens if the planning process is unsuccessful. Can the developer walk away? Are there any payments to you in this scenario? What are your options if the agreement lapses?
Is there an overage or clawback clause? Some agreements include overage provisions that entitle the developer to a share of any future increase in value if the land is subsequently developed for a higher density or more valuable use. These can significantly reduce your long-term return and should be scrutinised carefully.
What Are the Alternatives to Accepting the Developer’s Proposal?
Being approached by a developer doesn’t mean you have to accept their terms — or even deal with them at all. You have several options:
Seek competing offers — if one developer has identified your land as having potential, others may too. Getting independent advice and exploring the market can reveal whether better terms are available.
Appoint your own land promoter — rather than signing an agreement with the developer who approached you, you could appoint an independent land promoter who will act exclusively in your interests to secure planning permission and maximise the sale value of your land.
Pursue planning permission independently — depending on the nature of your site, it may be possible to apply for planning permission yourself, which would significantly increase the value of your land before any sale. This carries cost and risk but can deliver the highest returns.
Do nothing for now — if the timing isn’t right or you’re not yet ready to commit, it is perfectly reasonable to decline or defer any approach. Land doesn’t disappear, and opportunities often return.
Get a free independent assessment first — before making any decision, get an honest, independent view of your land’s potential and your options. This costs nothing and ensures you are making an informed decision rather than reacting to a developer’s agenda.
Red Flags to Watch Out For
Not all developers and promoters operate with the same level of integrity. Here are some warning signs that should prompt extra caution:
Pressure to sign quickly — any developer who pushes hard for a fast decision is not acting in your best interests. Take your time.
Vague or complex pricing formulas — if you cannot clearly understand how the price for your land will be calculated, get independent advice before proceeding.
Requests not to take legal advice — legitimate developers and promoters will actively encourage you to take independent legal advice. Anyone who discourages this should be treated with extreme caution.
Unusually long agreement terms — while planning can take time, agreements that tie your land up for more than 5 to 7 years without regular review points should be questioned.
No track record — ask for evidence of the developer’s or promoter’s track record on similar sites. A reputable operator will be happy to provide references and examples of completed schemes.
Real Landowners Are Often Surprised by What Their Land Is Worth
One of the most common things we hear from landowners who come to us after being approached by a developer is that they had no idea their land could be worth so much — and that the initial terms they were offered were far below what the land actually achieved when properly marketed.
Whether it is a large garden in a suburban area, agricultural land on the edge of a village, a redundant commercial building or equestrian property, the gap between what a developer first offers and what land actually achieves with proper independent advice can be substantial — sometimes running into hundreds of thousands of pounds.
Getting an independent assessment before you sign anything is not just sensible. For many landowners, it is the most important financial decision they will make.
Frequently Asked Questions
Do I have to respond to a developer who contacts me? No. You are under no obligation to engage with any developer or promoter who contacts you. You can take as much time as you need, seek independent advice, or simply decline the approach entirely.
Can I negotiate the terms of an option agreement? Yes. Option agreements are negotiable contracts. Key terms including the price formula, the duration of the agreement, the landowner’s consent rights over planning decisions, and legal cost contributions are all areas where landowners regularly negotiate improvements — particularly with the help of an experienced solicitor or land consultant.
What if I’ve already signed an option agreement? If you have already signed an agreement, it is important to understand the terms you have committed to. A solicitor with development land experience can review the agreement and advise you on your rights and options. In some cases, there may be grounds to renegotiate or exit the agreement.
How do I know if a developer or promoter is reputable? Ask for their track record on similar sites, check Companies House for their registered details, ask for references from other landowners they have worked with, and ensure any agreement is reviewed by your own independent solicitor.
Is a free land assessment really free? At Revive Estates Group, yes — completely. There are no upfront fees, no hidden charges and no obligation to proceed with anything. We provide an honest, professional review of your land’s potential and your options, and leave the decision entirely with you.
Get Independent Advice Before You Sign Anything
If a developer or land promoter has approached you about your land, the most important thing you can do is get independent advice before you commit to anything.
At Revive Estates Group, we offer a completely free, no-obligation land assessment for landowners across the UK. We’ll review your site, give you an honest view of its development potential, and explain all the options available to you — including whether the approach you’ve received represents a fair deal.
There are no fees, no pressure and no obligation whatsoever.
Get Your Free Land Assessment Today
Been approached by a developer? Find out what your land is really worth first.
Our assessment is completely free. No cost, no obligation, no pressure. Simply tell us about your land and we’ll come back to you with honest, expert feedback on your development options.
Revive Estates Group is an independent land development consultancy helping UK landowners identify development opportunities and maximise the value of their land, property and buildings