Q&As

Where a section 106 obligation requires the owner of the land to sell a residential unit in the development at a discounted price, does the section 106 agreement need to detail in full the sale procedure or is the sale procedure part of the planning obligation? If the sale procedure is part of the planning obligation, can this type of planning obligation only be protected by a renewed deed of covenant on each future property transfer? Is it enough for the planning obligation to say that the unit must be sold at a discounted price? Is it possible to bind future purchasers into a sale procedure not contained in the section 106?

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Published by a LexisNexis Planning expert
Published on: 08 June 2016
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For the purposes of this Q&A we have assumed that the obligation referred to is not a planning condition. See Lexis+® UK Planning conditions: Overview for guidance on the use of planning conditions.

From the question posed, we assume that the obligation would seek to require the developer to provide a residential unit to a particular specification, set out the Requirements for the sale and marketing of this unit and the

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Jurisdiction(s):
United Kingdom
Related legal acts:
Key definition:
Planning conditions definition
What does Planning conditions mean?

Conditions imposed on planning permissions to make otherwise unacceptable developments acceptable. Conditions can be used to restrict what can be done on land or require the developer to get specific approval for aspects of the development, before development can be commenced or occupied.

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